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Alaron Energy CommentCHICAGO - Feb 7/08 - SNS -- Following is the energy futures comment from Alaron Trading Corp. Well the Energy Information Agency report has some good news and some bad news. The good news is that US oil gage is pointing up but the bad news is at the same time the US economic indicator gage is pointing down.
Even a flood of oil, gasoline and distillate won't mask the fact that the EIA report shows that the US economy is experiencing some difficult times. The Department of Energy showed crude supply surging by 7.5 million barrels which was the biggest one week increase in almost four years. US gasoline supplies hit a 14 year high hitting 227.5 million barrels in storage. US gas demand on the four week average is only about 1 percent more than last year where demand growth in a growing economy normally averages 1.5 to 2 percent. Reports by major refiners are also indicating that they see a slowdown in demand. Despite what some have been saying it is clear that if the US economy continues to slow it will not be pretty for the price of oil.
The EIA agrees in their weekly petroleum report. They say that a recession in the US will have a significant effect on the demand for petroleum products.
It's a short report due to a huge snow storm and all kinds of travel problems. You can call me for updates and to open your account. Phil Flynn at 800-935-6487.
See me today on the Fox Business Network! If you don't get it, call your cable operator and demand it! Also as long as you're in a demanding mood call me and demand a free trial to Alaronenergies Also get on the Phil Flynn Energy Blast! Just call 800-935-6487 and if you're worried about the volatility call for some safer option recommendations! Or if it's easier for you email me at pflynn@alaron.com.
Sell March crude 8700 - stop 9200.
We're short March RBOB from apprx 22900 - stop 23500.
Sell March heating oil at 245 - stop 255.
Sell March natural gas at 812 - stop 820.
Have a GREAT day!
Past performance is not indicative of future results. Phil Flynn Alaron Research Team 800.563.9510 pflynn@alaron.com DISCLAIMER: Futures and options trading involve substantial risk. The valuation of futures and options may fluctuate, and as a result, clients may lose more then their original investment. In no event should the content of this website be construed as an express of an implied promise, guarantee or implication by of from the author(s) that you will profit or that losses can or will be limited in any manner whatsoever. Past performance is not necessarily indicative of future results. Information provided on this website is intended solely for informative purposes and is obtained from sources believed to be reliable. Information is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Alaron Trading Corp. its officers, directors, employees and brokers may in the normal course of business have positions, which may or may not agree with the opinions expressed in this report. Information on this page is derived from third parties and is deemed to be reliable. STAT Communications Ltd. accepts no responsibility for errors, omissions or inaccuracies in any of the material presented on this web site. Opinions expressed on this web site are those of the respective individuals and/or institutions and do not represent the opinions of STAT Communications Ltd. and/or STAT Publishing or its staff and/or management.
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