Dan Dicker, energy trader, oil analyst, television and web commentator, author and general provocateur doesn’t mince words, especially about the new players brought in through electronic trading of the markets.
The energy markets are really moving today, with AUG13 crude oil now trading up $1.31 to $107.80. We believe this market could quickly approach $110. Heating oil is another related market that has been on fire recently.
While manufacturing reported weakness caused a drop in oil, heating oil led a product comeback. Yet it was natural gas that quietly closed above $4.00 that was perhaps the most interesting move of the day.
The petroleum markets are having a hard time deciding whether they should rally on the cold temperatures, or sell-off on a forecast that puts most of the eastern half of the United States to back above normal temperatures.