Oil Price Watch

**uls** · March 10th, 2017 01:09 PM

expect Brent-WTI spread to widen

brent is performing better than wti based on the performance of BNO compared to USO (BNO is the ETF that tracks brent, USO is the ETF that tracks wti)

**StockEngine** · March 10th, 2017 05:05 PM

the graph maker is limited to wti only..

i look at brent and wti...who knew?

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**uls** · March 10th, 2017 05:49 PM

Brent was stuck in a trading range since December 2016

OPEC's promise to limit production kept brent up while the persistent oversupply kept it down -- those market forces are pretty well matched that brent got stuck in a range for 3 months

US shale producers benefited from OPEC's decision to limit production

US producers restarted idled production as the price of WTI rose

the Saudis aren't stupid

they know they're doing US producers a favor by limiting production

they're not gonna limit production indefinitely

**uls** · March 10th, 2017 05:57 PM

and because US producers are back in business, their stockpiles rose

that sent wti below $50

**StockEngine** · March 11th, 2017 04:15 AM

8% must hurt...

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**uls** · March 11th, 2017 01:18 PM

for oil bulls it's a buying opportunity

**uls** · March 11th, 2017 01:37 PM

OPEC's output cut was supposed to rebalance supply and demand

with less oil being produced global stockpiles will be drawn down

that was how it was supposed to work

and OPEC sort of signaled to hedge funds and other institutional investors that oil prices will rise to $60 and beyond

well it seems it's not working out as expected -- stockpiles are being drawn down as fast as expected

with investment/speculative funds already holding record long positions in both brent and wti they're getting a bit impatient seeing oil prices unable to get to $60

it's now gonna take a lot more convincing to keep funds interested

**uls** · March 11th, 2017 01:38 PM

edit: stockpiles aren't being drawn down as fast as expected

**Monseratto** · March 12th, 2017 11:15 AM

Energy Undersecretary Felix Fuentebella estimated that gasoline prices will be cut down by P0.29 per liter, diesel by P0.44 per liter, and kerosene by P0.49 per liter.

- See more at: Another oil price rollback seen next week | Money | GMA News Online