AMERICAS OIL: WTI crude has come under pressure today amid trade uncertainty
Jul-31 18:35
July 31 - Americas End-of-Day Oil Summary: WTI crude has come under pressure today amid trade uncertainty, though remains near its highest since late-June given Trump’s threats of secondary tariffs on Russia.
- The market is watching for any signs of progress towards a peace agreement that could see Russia avoid Trump’s threat of sanctions/secondary tariffs as part of his 10-day deadline.
- Trump on Wednesday announced tariffs of 15% on imports from South Korea that matched the rate for Japan, while India faces 25%. Trump on Thursday extended the tariff deal with Mexico for 90 days.
- U.S. Treasury Secretary Scott Bessent said on Tuesday he warned Chinese officials that continuing to buy Russian oil would lead to big tariffs due to legislation in Congress.
- U.S. crude oil inventories rose by 7.7 million barrels in the week ending July 25 to 426.7 million barrels, driven by lower exports, the Energy Information Administration said on Wednesday.
- The U.S. Treasury Department announced fresh sanctions on Wednesday on over 115 Iran-linked individuals, entities and vessels.
- The US sanctioned a fourth Chinese oil terminal as part of the new wave of sanctions.
- Indian state refiners have stopped buying Russian oil in the past week as discounts narrowed this month and as US President Trump warned against purchasing oil from Moscow, industry sources told Reuters.
- Azeri BTC arriving at the BTC Ceyhan terminal in Turkey is returning to normal spec a BP spokesperson told Reuters.
- Asia is expected to step up imports of US WTI crude in Q4 after Middle East oil prices strengthened and opened the arbitrage window, trade sources told Reuters.
- Global oil demand surged in the final week of July, primarily driven by increased demand for gasoline and jet fuel in the US, coupled with heightened trade and port activity in China, according to JP Morgan.
- US cracks are mixed as gasoline cracks were under slight pressure despite bullish near-term fundamentals, while diesel cracks have risen off tightness in the distillate market.
- WTI Sep futures were down 1% at $69.26
- WTI Oct futures were down 1% at $68.24
- RBOB Aug futures were down 1.8% at $2.22
- ULSD Aug futures were down 0.8% at $2.40
- US gasoline crack down 0.1$/bbl at 22.04$/bbl
- US ULSD crack down 0.2$/bbl at 31.35/bbl
Want to read more?
Find more articles and bullets on these widgets:
Historical bullets
US STOCKS: Late Equities Roundup: Still Mixed, Off Lows After Budget Bill Passes
Jul-01 18:33
- Stocks remain mixed in late Tuesday trade, the Dow continues to outperform weaker Nasdaq stocks while SPX eminis see-saw around steady. Currently, the DJIA trades up 426.94 points (+0.97%) at 44521.18, S&P E-Minis down 0.5 points (-0.12%) at 6253.25, Nasdaq down 127.80 points (-0.6%) at 20241.96.
- Trade negotiation headlines took a backseat to the Senate's US budget bill vote that needs a simple majority of 50 votes to pass, rather than the 60 required to pass under regular Senate order. In the case of a 50-50 vote, Vice President JD Vance would cast the tie-breaking vote.
- Stocks drifted higher after the Senate narrowly passed the budget bill which now goes to the House where GOP leaders want to see a final vote tomorrow, allowing Congress to send the completed bill to President Trump's desk on July 4.
- Materials, Health Care and Retail sectors led gainers in the second half with a fair amount of discretionary stocks as well: Builders FirstSource +9.44%, Las Vegas Sands +8.83%, Wynn Resorts +8.64%, Packaging Corp of America +7.44%, MGM Resorts International +7.21%, Smurfit WestRock PL +6.00%, Target Corp +5.62%, Hershey Co +5.49% and Best Buy Co +5.35%.
- Technology and energy related shares continued to underperform in late trade, the latter under pressure as an amendment to the budget bill struck down state-level bans on AI regulation: Palantir Technologies -4.60%, Broadcom -3.58%, Advanced Micro Devices -3.22%, Arista Networks -3.11% and Nvidia -2.11%. Perhaps ironically, energy stocks were under pressure for the same reasons as high speed chips use a lot of energy: Williams Cos -5.68%, GE Vernova -5.22%, Expand Energy -4.16% and Vistra -3.85%.
USDJPY TECHS: Bearish Theme
Jul-01 18:30
- RES 4: 149.28 High Apr 3
- RES 3: 148.65 High May 12 and a reversal trigger
- RES 2: 146.19/148.03 High Jun 24 / 23
- RES 1: 145.04 50-day EMA
- PRICE: 143.59 @ 16:22 BST Jul 1
- SUP 1: 142.68 Intraday low
- SUP 2: 142.12 Low May 27 and a key short-term support
- SUP 3: 141.96 76.4% retracement of the Apr 22 - May 12 upleg
- SUP 4: 141.49 Low Apr 23
A bear threat in USDJPY remains intact and Tuesday’s sell-off reinforces this theme. The Jun 23 shooting star candle formation highlighted a reversal of the recent recovery. Note too that price has traded through the 20- and 50-day EMAs. A clear break of the averages strengthens a bearish threat and opens 142.12, the May 27 low and a key short-term support. On the upside, a move above 148.03, the Jun 23 high, would reinstate a bullish theme.
US TSY FUTURES: BLOCK: Sep'25 2Y Sale
Jul-01 18:10
- -12,035 TUU5 103-28.5, sell through 103-28.75 post time bid at 1354:06ET, DV01 $465,000.
- The 2Y trades 103-28.38 last (-4)
Trending Top
Jan-30 21:43
Jan-30 21:11
