Friday, December 19, 2014

Oil Report ( December 19 , 2014 ) Oil rebounds December 19 , 2014 , but for how long actually ? Gartman contrary indicator ( expect oil to go lower rather than stabilize ) ...... volatility high and lots of traders caught at higher prices , hedges might not be effective .... low prices reflected by rig counts and industry concerns from US / UK / Norway / Iran / Venezuela / Syria - GCC still humming along quietly though ....West putting heat on Russia - even as " costs " start to hit the West and Global trade ( Ukraine sinking fast so time is slipping away ) ....


Death Rites......

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Oil price items....



Tyler Durden's picture

Saudi Arabia Refuses To Cut Oil Output Even If Non-OPEC Members Do


As even Reuters observes this morning when discussing the ongoing crude rout, "the market slide has triggered conspiracy theories, ranging from the Saudis seeking to curb the U.S. oil boom, to Riyadh looking to undermine Iran and Russia for their support of Syria." It appears said theories will continue raging for a long time, because as Saudi Arabia's oil minister who has been extensively in the news in the past couple (that means "two" as per Janet Yellen) of month explained, the biggest OPEC oil producer said on Sunday it would not cut output to prop up oil markets even if non-OPEC nations did so, in one of the toughest signals yet that the world's top petroleum exporter plans to ride out the market's biggest slump in years, and that the price of crude is not going up any time soon.






Tyler Durden's picture

"Houston, You Have A Problem" - Texas Is Headed For A Recession Due To Oil Crash, JPM Warns


Fast forward to today when we are about to learn that Newton's third law of Keynesian economics states that every boom, has an equal and opposite bust. Which brings us to Texas, the one state that more than any other, has benefited over the past 5 years from the Shale miracle. And now with crude sinking by the day, it is time to unwind all those gains, and give back all those jobs. Did we mention: highly compensated, very well-paying jobs, not the restaurant, clerical, waiter, retail, part-time minimum-wage jobs the "recovery" has been flooded with. Here is JPM's Michael Feroli explaining why Houston suddenly has a very big problem.









Tweets.....


Doubt oil will go much lower: Gartman: Noted investor Dennis Gartman told CNBC he's like to think oil is stabi...



14 ho







RT : Looks like plenty of would-be knife-catchers in oil





Chart: Oil implied volatility index -






When Shale Hedges Fail: The Downside Of Three-Ways









Canada rig count -40 in past week, from 431 to 391, -9.3% plunge






US Oil Rig Count Tumbles Most In Over 5 Years,"Demand From Oilfield Customers Dropping Rapidly"







oil minister says oil price drop a political plot via


Trade council: 2014 worst year in Venezuelan economic history








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It's not quite as exciting as the ruble, but the Norwegian krone is back at 1992 levels against the Swedish krona





Norway Surprise - Central Bank Cuts Interest Rates To Record Low Amid Oil Price Plunge




Connecting dots to Ukraine...





http://globaleconomicanalysis.blogspot.com/2014/12/ukraine-vows-more-for-military-spending.html

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War Has Made Us Stronger

Ukraine president says "War has made us stronger".

That lie is so stupid my dead grandmother knows it from the grave. The evidence is a CCC- debt rating, a step or so 

above 

above default, with default imminent.

The story gets even stranger. 

To avoid default, Ukraine needs a "Russian contribution to the package” according to Pierre Moscovici, the economic 

policy 

commissioner for the European Commission.

Amazing Irony

Europe and the US have crippling sanctions on Russia for the conflict in Ukraine, yet the EC wants Russia to bail out 

Ukraine 

while accusing Russia of invading Ukraine.

Icing on the wonderland-cake is the Russian Ruble has plunged nearly 50% this year, but Ukraine needs money from 

Russia 

to fight Russia.

Is this complete lunacy or what?



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NBU expects financial assistance from IMF to be increased by $15 bln of Ukraine expects 15 billion by end of Feb2015






  1. G7 Officials to Discuss Ukraine Funding Gap

    Wall Street Journal-8 hours ago
    BRUSSELS—Senior officials from the Group of Seven developed nations will discuss Ukraine's financing needs on Saturdayafternoon, ...



Poroshenko urges IMF to consider increasing financial aid for Ukraine






The IMF estimates that Ukraine would need $15 billion in the short term to avoid a full-blown financial crisis.







UKRAINE FX RESERVES DROPPED TO JUST OVER $9B END NOV:BBG





Jaresko: Ukraine to make second payment to Gazprom by end of year ? Ukraine reserves will be reduced a/o two billion






Ukraine downgraded to CCC-, outlook Negative from CCC by S&P









MORE: US imposes new trade restrictions, - White House







will not give in to pressure over Ukrainian conflict - Experts









will respond to depending on how is going to implement it - Foreign Ministry







55% of Europeans against additional financial aid to








40% of Europeans believe anti-Russian should not be lifted








False Dawn today , Saudis still going to put the hammer down




Global markets rejoice as prices stabilize to near $60/bbl






fred walton @fredwalton216




UPDATE 3-MIDEAST STOCKS-Gulf markets surge after oil rebounds - Zawya via Just a small point to consider . This reflect trading from Thursday!










Projections of American economic growth with oil at $40, $60 and $80-a-barrel next year:








Why would the Saudis deliberately crash the oil markets?






is expressing concerns on the irregular supply of oil, as it has been unable to meet Syrian fuel needs


Monkey shines and liquidity desert....



Collateral damage as global economy slows down.....