China's imports have surged in recent years from OPEC nations such as Saudi Arabia, Iraq and the United Arab Emirates, according to Chinese customs data. The U.S. is still No. 1 in crude imports from the entire world.
Brent crude is gaining on West Texas Intermediate contract as fears are rising that the situation in Egypt could spin out of control. That tension added more upward momentum to Brent, which already was being supported by labor unrest in Libya.
As if you need another reminder about how the explosion in U.S. shale oil and gas production is rocking OPEC's world, you only have to go as far as the International Energy Agency’s most recent report.
The oil bulls that have controlled oil for the month of July are in trouble. With near record long positions in both Brent and WTI crude and chart formations that are looking ominous they need the Fed to justify their bullishness.
Once again West Texas Intermediate oil is trying to regain its historical stature as the world’s global benchmark. WTI is reasserted itself in the global market as U.S. exports soar as oil starts to move out of Cushing, Okla.
While Chicago is thrilled with being the World Champions of hockey, it is tired of being number one in gasoline prices. Just as hopes were being raised that we could see gas prices start to fall, a storm cut the power to the refinery in Lemont, Illinois.
The oil market also got support from the falling dollar but also from tropical Storm Andrea that will slow imports into the Gulf of Mexico. Nat gas got blindsided by a wildly bearish weekly EIA report.