Daily oil and LNG price update (time to short?)

Sunday 17 July 2016

The Brent oil price jumped Friday night to $47.98 and Henry Hub was flat at $2.75mmbtu:

The driver of the oil price was Exxon declaring force majeure on technical difficulties in Nigeria and the Turkish coup. In other news there is more Libyan unity developing and US rigs continue to be deployed, up 6 to 345:

At this stage I’m still looking for oil to fall back to $40 and below to push US rigs out. The three year chart is kind of useful looking at June peaks:

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific's leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.