My thought is : the increased gasoline demand in US has supported the current oil price..
The crude oil distruption can easily be filled by IRAN and other oil producing countries. Hence, I don' t think this outage led increase, if any, will be sustained for more than 2-3 day. Market is very efficient.
Oil rigs count drops or the calling or reporting of oil freeze agreement, the bottomline is still inventory build up.
possible catalyst .
1. Ezra drop from 0.11 to 0.04. possible to go back to 0.11 again by next week.
2. Pipeline outages in Iraq and Nigeria have removed more than 800,000 barrels of crude oil per day from the market for at least the next two weeks. The disruptions should offset recent increases to supply from Iran,
3. Data from the U.S. Energy Information Administration showed gasoline inventories falling last week for the first time since early November, suggesting that consumers could gobble up more of the world' s oil products than expected
4. SA and Russia freeze production at Jan level. oil price at least stabilize.
Did our market surge in the afternoon because of the news below ?
Singapore?s Bourse Submits Bid for London?s Baltic Exchange
Bloomberg 12 hrs ago
Jonathan Burgos and Eduard Gismatullin
(Bloomberg) -- Singapore Exchange Ltd. said it?s seeking to buy Baltic Exchange Ltd., the 272-year-old London-based provider of information on global shipping costs.
SGX has made a non-binding bid for the Baltic, Southeast Asia?s biggest bourse operator said in a statement Friday after Reuters reported that talks were taking place. Discussions are preliminary, SGX said.
The Baltic Exchange confirmed in an e-mail that it has received multiple approaches and is now in talks with several firms. Reuters earlier said the Baltic Exchange had held talks with London Metal Exchange, CME Group Inc., Intercontinental Exchange Inc. and Platts. The agency?s report cited unidentified people familiar with the matter.
The news of the offer comes days after London Stock Exchange Group Plc and Deutsche Boerse AG said they were in merger talks, potentially igniting a new round of merger-and- acquisition activity between exchanges. For SGX, contracts using the Baltic?s freight-rate data are an appealing target.
?This acquisition will help SGX strengthen their derivatives business,? Bernard Aw, a strategist at IG Asia Pte in Singapore, said by phone. ?Their derivatives business has been doing quite well. If equity trading continues to stagnate, derivatives will become increasingly dominant.?
Derivatives accounted for about 40 percent of SGX?s most recent quarterly revenue as demand grows for contracts tied to equities and commodities, including iron ore. The exchange also offers freight contracts tied to shipping costs compiled by the Baltic Exchange.
London Coffeehouses
The Baltic, which publishes benchmark freight rates, is one of the City of London?s most famous trading names. Like insurance market Lloyd?s of London, it grew out of 18th-century coffeehouses, where shipowners and merchants matched vessels with cargoes such as grain. Its name is derived from the trade in tallow, used to make candles and soap, and other goods that originated from the Baltic states.
The company is owned by its bulk shipping industry members, according to its website, one of the last member-owned exchanges in an age of for-profit businesses. London Metal Exchange surrendered its member-owned status after it was bought by Hong Kong Exchanges & Clearing Ltd. in 2012. The Baltic rejected a proposal from the LME in 2010 to cooperate on starting a freight derivatives exchange.
The company has 30 staff in London, Athens, Singapore and Shanghai. It reported net income of 1.34 million pounds ($1.88 million) in the year ended March 31, 2015 and revenue of 6 million pounds, according to its website.
SGX has been developing its derivatives business to offset lackluster equity trading volume in the city state. While the average daily value of shares traded in the Singapore market increased 5.1 percent to S$1.1 billion ($785 million) in 2015, it remains well below the S$1.7 billion that changed hands every day before the global financial crisis, data compiled by Bloomberg show.
Singapore Expansion
?Singapore Exchange has quite poor home liquidity,? said Tony Tanaka, a Tokyo-based analyst at Haitong International. ?They have to expand liquidity, they have to expand outside Singapore. It has always been a focus for them.?
SGX in 2011 failed to purchase ASX Ltd., Australia?s main exchange operator, after the country?s government blocked the bid citing national interests. Loh Boon Chye, who became SGX CEO last year, said in July that the bourse is open to making acquisitions.
?SGX wishes to emphasize that as discussions are still preliminary, there is no certainty or assurance that the possible transaction will materialize or that any definitive or binding agreement will result from such discussions,? the exchange said in an e-mailed statement.
The Baltic Exchange has appointed Nomura Holdings Inc. and Norton Rose Fulbright LLP as advisers.
--With assistance from Saijel Kishan.
To contact the reporters on this story: Jonathan Burgos in Singapore at jburgos4@bloomberg.net Eduard Gismatullin in Hong Kong at egismatullin@bloomberg.net To contact the editors responsible for this story: Sam Mamudi at smamudi@bloomberg.net Sarah McDonald at smcdonald23@bloomberg.net
What' s the catalyst ah? Unable to find any new information on the net. Seems like all the BBs having insider news hence such a massive buyup towards end of the session..
oil price very cheong now
LOL so better enjoy cheap oil price now ....
drive more often before oil price move up and the new ERP system set-up
Yep, oil gonna hit USD 100 again given a couple of years as most of the Wells in Saudi are running at full capacity to produce more than 11M bblpd and if one or two big ones hit trouble, production will be hard hit and wham.. price will shoot up!By 2030, some of the current oil wells will run out by then.. we may see oil above USD 150 a barrel !
yes ...very likely .people only think oil over supplied but nvr think of oil also can drill till dry up and is faster than schedule with earth temperature inch up monthly/yearly.. few more years middle east temp will hit 50 c believe they can' t produce oil anymore
Yep, oil gonna hit USD 100 again given a couple of years as most of the Wells in Saudi are running at full capacity to produce more than 11M bblpd and if one or two big ones hit trouble, production will be hard hit and wham.. price will shoot up!
By 2030, some of the current oil wells will run out by then.. we may see oil above USD 150 a barrel !
yes ...very likely .people only think oil over supplied but nvr think of oil also can drill till dry up and is faster than schedule with earth temperature inch up monthly/yearly.. few more years middle east temp will hit 50 c believe they can' t produce oil anymore
Or some big bums speculating oil' s gonna spike big?
I belive they will " play " above 20 cents to avoid the MPA
Going to 10 cents levels liao..
Going to 10 cents levels liao..
yes ...very likely .
people only think oil over supplied but nvr think of oil also can drill till dry up and is faster than schedule with earth temperature inch up monthly/yearly.. few more years middle east temp will hit 50 c believe they can' t produce oil anymore
Or some big bums speculating oil' s gonna spike big?
LOL 17.3 % is only 0.009 nia nia no even 1 cent....
anyway could be someting on the way, dun miss .....
Or some big bums speculating oil' s gonna spike big?
LOL 17.3 % is only 0.009 nia nia no even 1 centanyway could be someting on the way, dun miss .....
Today it hit top Vol and gone up 17.3%... so something must be brewing.. Announcement will come if SGX query them.. check sgx site later.. huat ahh
LOL 17.3 % is only 0.009 nia nia no even 1 cent ....
anyway could be someting on the way, dun miss .....
Today it hit top Vol and gone up 17.3%... so something must be brewing.. Announcement will come if SGX query them.. check sgx site later.. huat ahh
Today it hit top Vol and gone up 17.3%... so something must be brewing.. Announcement will come if SGX query them.. check sgx site later.. huat ahh
could Ezra clinches big contract ?
Will have to see if shortists will try to push it below $0.05 again
