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March 14th, 2016

Market Summary for the Week of March 7 - March 11, 2016

by Meghan Nee and Michelle Tham, Analysts

Synopsis of Last Week's Energy Markets

WTI and Brent both continued to move downward last week, a general trend since late June. Both OPEC and the International 
Energy Agency lowered their 2015 global demand forecasts, and the EIA reported a forecast for a 1 million barrel increase in 
domestic production for 2015 over 2014 estimates. Natural gas prices capped a weekly gain last week on forecasts for lingering 
heat and on speculation that low gas prices will boost demand from electricity generators. Thursday's EIA storage report brought 
news of the largest gain in seven weeks, cutting the deficit to the five-year average levels to 14.2%

WTI moved up for a third week and Brent shot to $40 on Monday, remaining in that range throughout the week. OPEC and Russia are trying to move ahead with a production level freeze, while domestically, gasoline demand is projected to be high this driving season due to low prices. Natural gas futures jumped 9.4% last week after falling to a 17-year low on March 3. Low prices have boosted consumption from power plants, and futures rose every day last week in response to this increased demand.

To view the complete Market Summary, click here.

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