The logic behind strong oil rally: US oil inventories down again

Exactly as some analysts anticipated, the EIA, the US Energy Information Administration, released its much-awaited data yesterday while confirming that US oil inventories were down again for the week ending December 25. The drop was much more than what was expected - 6.06 million barrels. The value w…

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Steady oil price: is another drop in US crude oil inventories in the offing?

Oil price is on the rise and the EIA, the US Energy Information Administration, has not released its latest US oil inventory report yet – a reliable factor that influences the current crude oil price. The confidence of investors, however, indicates the inventories may have been down during the Chris…

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Why are investors still fond oil markets? There is a reason!

We are, in more than one way, living in the greatest crisis since the Second World War. Yet, our lives go on, at a relatively slow pace, of course, with no danger of a hunger, a famine or chaos breaking out on a global scale or at national level. That’s the difference. In addition, unlike in the Sec…

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Oil price outlook in 2021: encouraging signs of a stable recovery

Oil price recovery continued on Monday when markets opened for business after a very quiet Christmas. Despite the absence of usual Boxing Day sales and corresponding gloom in the retail sector, oil price rally continues defying some analysts and the forecasts on the same wavelength. The markets may …

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Russia supports OPEC+ production hike in February: signs of oil price recovery

Russia says it will support the move by the OPEC+ - OPEC + Russia – to increase the production of oil by 500,000 barrels per day, most probably to cash in on the steady increase in demand. The group plans to increase the production from February, after a crucial summit scheduled in January. Alexander…

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Oil price remains strong: clear signs of Coronavirus fatigue

Oil price does not seem to be dependent on the Coronavirus news any more whether the latter comes in the form of spikes, waves or even the formulation of new vaccines. The price remains strong defying the factors that could otherwise have brought it down significantly. The investors have finally re…

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Oil price forecast from models: not a substitute for an investor's instinct

Change Weekly Data: Data Source: EIA "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beats the guy with 130 IQ." - Warrent Buffett The crude oil price recorded its lowest ever value on April 20 this year, when it went negative for the first…

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Why does oil price remain high despite uncertainties? EIA data sheds ligh on the development

Oil price remains fairly buoyant despite the ripple effect of the new variant of the Coronavirus that almost drowned the hopes of the efficacy of the vaccines that grab headlines. The latest data released by the EIA, the US Energy Information Administration, sheds light on the unexpected phenomenon.…

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Cairn Energy wins an arbitration in its favour in India

Cairn Energy PLC, an independent, UK-based oil and gas exploration, development and production company, has won arbitration against the Indian government on Wednesday. It was over levying Rs 10,247 crore - in Indian currency - or $1.2 billion in retrospective taxes, that the Indian government had cl…

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Coronavirus New Strain: Oil price remains fairly stable

Change Period: Data Source: EIA The news about the new Coronavirus strain, quite unfairly, stigmatized the United Kingdom with some countries banning any physical contacts with its inhabitants. The evolution of a virus in nothing new; the seasonal flu viruses do it all the time, while staying a st…

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Oil prices extend gains and rig count shows a healthy growth

There is plenty of bad news on the Coronavirus front, especially in Europe, owing to the discovery of a new strain that has the potential to spread fast.  The oil price, much to analysts' surprise, maintained the upward momentum, though, defying the gloomy news on the new infections. Things may c…

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Oil price boom continues despite the gloomy forecasts

Oil price rise continued throughout the week despite worrying economic activities due to increased virus infections - across the world. It's the third wave that is yet to reach its peak and policy makers are collectively scratching their heads to find solutions to mitigate the inevitable impact. …

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Electric Vehicle Boom: Toyota CEO talks about the elephant in the room

Electric charging points are mushrooming in the Western world and so is the visibility of electric vehicles on our roads with an ever increasing frequency. Of course, electric cars do not pollute the environment with carbon emissions; there is no sound pollution either, as their presence on roads is…

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Oil price goes up as EIA forecasts a decline in oil inventories

The EIA, the Energy Information Administration of the US, once again proved its undisputed influence in determining the trend of crude oil price by announcing that the US crude oil stocks has declined. In inverse proportion to the forecast, the oil price is on the increase significantly relative to …

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Bitcoin smashes through $20k barrier

In a further sign of economic recovery, the value of Bitcoin moved above $20,000 for the first time since its inception, taking the cryptocurrency enthusiasts to a new level of excitement.  Invented in 2008 by a Japanese inventor, whose true identity is still shouded in mystery, it made a remarkable…

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Oil price shows remakable resilience despite negative factors

Despite the usual negative factors weighing heavily on the price of crude oil, we haven’t seen a price crash, forecast by some analysts in the energy realm. The OPEC+ - at least some members – have second thoughts about the production cuts; the US oil inventories have increased, according to the EIA…

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Oil prices show signs of recovery despite strict lockdowns

The oil price shows signs of recovery despite the obvious impact on it due to new lockdowns in Europe. The lockdown are relatively strict and there are reports of new variants of the Coronavirus; whether it’s a milder form of the same virus remains to be seen. On a positive note, the Asian demand for…

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European lockdowns: the need of innovative ideas for the airline industry

As major European nations stare into the abyss of yet another lockdown, the ghost of economic consequences creates disturbing ripples in every sector. The demand for oil – and to some extent, gas too – will definitely suffer and in inverse proportion to the decline, the crude oil stocks will go up i…

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US oil rig count falls - oil price dropped too!

The US rig count, a reliable indicator to reflect the scale of demand of crude oil, went down during the last few days, despite showing a recovery since the peak of the first wave of the pandemic. It has gone down from 323 to 258, according to Baker Hughes rig count data – a significant drop. During …

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US Oil Inventories: sudden hike may affect oil price

The US crude stocks, according to the EIA, the Energy Information Administration data, have gone up by a few million barrels, bucking the trend that was downward for months. Since this is a major factor in determining the crude oil price, its effect will be felt in the oil markets in the coming days…

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Energy from Renewable Sources: it's still just 11% in the US

The above graph shows that the energy obtained from renewable sources in the US was just 11% in 2019, despite the growing enthusiasm for going green. It's almost a three-fold increase since what it was in 2000; however, it was not impressive enough to see the end of the usage of fossil fuels. As …

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Challenges against the Green Energy: wind turbines

Wind turbines are propping up along certain shore lines – off-shore as well – in proportion to our Green ambitions. They do make some contribution to the national grid of the country in question. Of course, there is sizeable opposition to the project on aesthetic grounds; they just spoil the landsca…

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