The trend is definitely upward. Just 2 weeks ago, crude was settling at $69.66 and could have been headed any way including sideways but 8 trading sessions later the price is $10 higher at $79.60 and finished the third straight day above the $75 line. Distillate, as expected, is also up significantly 24.62 cents in the same time period while gasoline has risen 22.11 cents. Locally, street prices have risen 25 cents in the past week including 10 cents over the weekend.
Some news affecting prices:
- more supertankers are being chartered, no word yet on whether these supertankers are slated to move cargo or to serve as floating storage.
- 3Q economic data including industrial production is positive.
- China claims 9% 3Q growth.
- Demand is still not robust. Inventories are low because of fewer imports and refinery shutdowns. Economic growth and falling unemployment are the keys for greater demand.
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