Iran deal fails as France has second thoughts about giving Iran too much and getting nothing back in return. At the same time oil products, such as gasoline and ultra-low sulfur diesel, look like they wants to bottom.
Word that the Citgo Lamont Refinery was listing raised fear in the broader RBOB futures market that that refinery could be down for many months. Today is Fed day and I am talking about supply and demand and not about the Fed!
The November Brent/WTI spread has continued to narrow declining for the last two sessions in a row. As the supply issues that I have been discussing for weeks start to resolve themselves the spread will resume its path toward parity.
Global petroleum markets continue to price in the odds of war and peace. Tough negotiations between the U.S. and Russia continue in Geneva as they seek a way to avoid war and to rid Syria of those nasty chemical weapons.
Japan growth misses the mark as its GDP came in at a disappointing 2.6%. This comes after oil rejected breaking out to the downside on the heels of terror threats to oil out of Yemen and embassy closings as well as strong data out of China.
In a high stakes game of chicken between the renewable fuel industry, the refining industry and the Environmental Protection Agency, it appear that the EPA just made a turn before hitting the brick blendwall.