It's Only Thursday -- November 8, 2018

Thursday? It already feels like Friday. What a week!

Making America great: note the price of diesel and the weekly petroleum report (below). Some would consider diesel fuel demand a proxy for the health of the US economy. 

Diesel: I noticed the same thing in the north Texas (DFW) area -- the spread between diesel and gasoline -- if I recall correctly, unleaded regular is selling for $2.34 in the local area; diesel, around $2.99.  See weekly US petroleum report here. Note distillate product increased 6% compared to same period a year ago. From twitter:

"Widowmaker." In trading circles, when the price spread of diesel (distillate fuel) / gasoline widens by a larger-than-normal gap, it is known as a "widowmaker." At this link, and as of moments ago, not behind a paywall.


OPEC+ split? No link but over at twitter a link to an FT story suggesting Russian wants to continue with max crude oil production; Saudi Arabia wants to look at need to reduce production in light of inventories, price. 

Earnings: I believe DNR and NOG report today. Others reporting: CNP, LNG, WIN, PLUG.

• DNR easily beats forecasts; shares up 5%. Press release here.
• NOG: forecast;  
• MRO: beats revenue and earnings estimates for 3Q18;

Disclaimer; this is not an investment site. Do not make any investment, financial, job, travel, or relationship decisions based on what you read here or what you think you may have read here.

Natural gas fill rate: pending. Historically, according to a reader, the first weekend in November is the last weekend for the calendar year in which there is a "net increase in NG storage." After the first weekend, the heating season begins, and US natural gas inventories will start to decrease. The reader says that because of a mild autumn, we may see the natural gas fill rate extend through the second weekend of November this year. It should be noted that the weather forecast is for a very, very cold weekend across the eastern United States this weekend. Last week's report: a net increase in natural gas storage by 48 Bcf.

Weekly unemployment claims report: in-line with forecasts.

• previous: 214,000
• revised upward to 215,00
• forecast: 210,000
• actual: 214,00

Nuclear energy in Japan: worth a read. Some nice data points. Over at oilpprice.

• Japan's effort to increase nuclear energy showing results
• target: 20% of Japan's electricity provided by nuclear energy by 2030
• will likely fall short; at best, 14%
• to reach 20%, would require 30 more nuclear plants (or one really, really big one)
• from the linked article:

Japan is currently on track to have nine reactors back up and running in the very near future, with 8 already functioning and one slated to begin operations later this month. Yes, this is a just a tiny fraction of the 54 nuclear power plants that were powering Japan until 2011, but it’s still much more than many experts expected after the lasting devastation of the Fukushima disaster and the subsequent widespread resentment of nuclear plants.

Now, nuclear has even finally managed to outpace the production of renewable energy plants in Japan  (with the exception of hydroelectric power) for the first time since the 2011 disaster, thanks to major campaigning by the industry itself along with government support. 

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Back to the Bakken

Wells coming off the confidential list today -- Thursday, November 8, 2018:

• 34494, SI/NC, WPX, Howling Wolf 28-33HF, Wolf Bay, no production data,
• 33221, 1,696, CLR, Miles 7-6H, Dimmick Lake, 4 sections, 63 stages; 12.9 stages, t7/18; cum 68K 9/18;

Active rigs:

$61.83→	11/8/2018	11/08/2017	11/08/2016	11/08/2015	11/08/2014
Active Rigs	67	53	38	64	193

RBN Energy: pending