CL Redux

http://www.cnn.com/2013/09/15/world/meast/syria-civil-war-diplomacy/index.html?hpt=wo_c1

U.N. Secretary-General Ban Ki-moon said Friday his team is preparing a report for the Security Council that he believes will be an "overwhelming report that chemical weapons were used." <b>The report is expected to be delivered Monday morning </b>, according to three diplomatic sources.

The U.N. team's mandate did not include determining who was responsible for the attack.
 
Today OIL News
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OIL Bear impact
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1/ Fears the U.S. and its allies would respond with a military intervention had boosted crude prices in recent weeks, as investors worried that such an action could interfere with the flow of crude through major pipelines and sea routes in the Middle East , which produces roughly a third of the world's oil.

- Under terms of the agreement struck by the U.S. and Russia on Saturday, Syrian President Bashar al-Assad <b> must fully declare his chemical-weapons stockpiles to the Organization for the Prohibition of Chemical Weapons by Friday. </b>

2/ Market participants are awaiting some details on the Fed's plans to scale back its so-called easy-money program from the<b> central bank's policy meeting on Tuesday and Wednesday.</b>

OIL BULL impact
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1/ Meanwhile, traders say oil prices were helped somewhat by the news Lawrence Summers withdrew his name from consideration to become the next chairman of the Federal Reserve. Investors believe Mr. Summers was likely to be more aggressive in reducing the central bank's $85-billion -a-month bond-buying program than other top candidates such as Janet Yellen , the Fed's current vice chairwoman.
 
For the first time, WTI options traded >50% electronic in August

This added strength to WTI has increased the preference for the contract among market participants. We’ve seen a flow of volume out of Brent to WTI as outflows at Cushing have picked up and the spread – which reached $23 a year ago – has narrowed.

- The near-term favorability toward WTI can also be seen in the 12-month forward curve for the WTI-Brent spread, which is moving to steep backwardation.
- In February, the front month of the spread was at .82, with the forward curve showing $11.38 backwardation within nine months.
- Put another way, the closer a WTI contract gets to expiring, the more valuable it becomes.

2/ like interest rates and equities – have traditionally attracted more electronic trading when it comes to trading options. With enhancements in trading technology now available to futures traders, more are now trading crude oil options electronically. In fact, electronic trading in WTI in August was more than 50 percent for the first time ever.

3/ By seeing the flexibility to make more complex trades electronically, market participants are also saving on transaction costs they might have previously paid to a broker. <b>And, there is simply more liquidity in the WTI options market now</b>.
- Some of those firms accustomed to trading interest rates and equities electronically have opened energy trading desks, and developed a business trading WTI options.

WTI-Electronic-Volume-640x297.png

BrentWTI-Chart-640x578.png


http://openmarkets.cmegroup.com/6799/todays-number-trading-crude-oil-electronically
 
Oil prices still risk off mode

http://www.cmegroup.com/education/market-commentary/energy/2013/09/recap-crude_13833.html

The bigger story in the world of oil spreads is the absolute crashing of the US based crack spreads… in particular the RBOB crack. The November RBOB crack has lost more than half of its value over the last twelve trading sessions. The spot RBOB crack is now trading at the lowest level since the end of November of 2011.

The supply situation for gasoline remains robust with current inventories well above both last year and the so called normal five year average. With refiners running to maximize diesel for exports and for heating oil for the upcoming winter heating season gasoline is almost a byproduct at the moment as unneeded supply continues to hit the market.

Quickview Short Term Market Overview
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recap-crude_13833_chart3.gif
 
Quote from Aitch Ef Tee:

No credibility then.
More...

How is that no credibility? He is posting when he enters and exits the trades. Clearly you can see when he makes a profit or loss and he makes quite a few good calls.
 
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