Last week there was a downward trend in crude oil price and natural gas spot price (except for New York City Gate Spot) as I will present in this weekly recap analysis of major energy commodities for the week of January 3-7:
Prices Analysis:
Crude oil
* This figure is calculated based on the percent change from the price at the beginning of the week compare to the price at the end of the week
Crude oil price after showing an upward trend at the last week of the year, presented in this passing week a downward trend.
The table above shows the changes in crude oil price: the WTI crude oil price ranged between 88.03 $/b and 91.55 $/b – a range of 3.52$/b, which is twice as high as last week’s range. This fluctuation represents an increase in crude oil price volatility compare to last week.
Crude oil price (WTI) weekly average was lower this week by 1.6% compare to last week’s average price. On average, crude oil price (WTI) daily change was -0.74%, and its price decreased by 3.84% from beginning to end of the week.
Europe Brent spot price showed a moderate downward trend as it declined by 1.5% from beginning to end of the week; the average weekly Brent price, however, was 0.7% higher compare to last week’s average.
Crude oil Stocks for the passing week –highlights:
According to the recent EIA report, crude oil stocks continue to fall as the winter progresses in the U.S. For the week of December 30th the stocks fell by 0.4%, a decrease of over 6 million barrels of crude oil. This ongoing decline is part of the rise in demand for energy throughout the U.S mainly for heating purposes.
The Stocks of Total Gasoline, however, inclined by 1.5% which is 3.2 million barrels, and has reached 218.1 million barrels.
Natural gas
Natural gas spot price: as a result of the increase in the demand for natural gas due to the cold weather, natural gas spot price (Henry Hub) and Nymex Henry Hub Future Price weekly average rose by 8.7% and 5.9%, respectively, compare to last week’s average prices. For the NY gate natural gas spot price this passing week’s average price fell by 17.5% compare to last week’s average price.
Nonetheless, when analyzing this week’s performance of natural gas we can see that: natural gas spot price (Henry Hub) and Nymex Henry Hub Future Price had a decline of 2.42% and 4.95%, respectively, from beginning to end of the week; NY gate natural gas spot price has shown this passing week an upward trend, as it rose by over 12.5% from beginning to end of the week, however, it was still lower than the high price levels it was at the last week of the year.
* This figure is calculated based on the percent change from the price at the beginning of the week compare to the price at the end of the week
Natural gas Storage for the passing week –highlights:
The EIA issued its weekly report on natural gas, in my recent review about U.S. natural gas storage, for the week of 30th of December there was a decline of 4.2% in natural gas storage, which is a decline of over 135 Billion cubic feet.
For this report’s figures, the natural gas storage reached a total of 3,097 (Billion Cubic Feet) for all lower 48 states.
Oil and Natural gas Charts
The following charts show the changes of WTI spot price and Europe Brent spot price:
The final graph shows the crude oil price and natural gas future prices (Nymex Henry Hub Future Prices) daily percent change ranging between 5.5 percent incline for Nymex Henry Hub Future Prices at the beginning of the week, and a 4.3 percent decline at the middle of the week for Nymex Henry Hub Future Prices.
For further reading:
- Natural gas spot price & storage review – Jan 7 (in this site)
- Crude oil stocks review – Jan 6 (in this site)
- Crude oil price in 2010 and outlook for 2011 (in this site)