asia market thoughts and contango.....thoughts:
re asia opening
rest of world can have affect on oil demand and trend in output
Can it have effect on US Chemicals wanting NG
Can it have effect on unfaltering NG injection rate?
R Bull
Thanks for effort for clear view
but seems to be one major interpretation/assumption
Why does OCT come up to Nov?
the contango suggests Nov is just going to come down towards the 2.66 OCT
so HNU degrades. ( and HND rises)
Say at some point they may converge at/towards say 3.00
( not necessarily spot coming all the way up to present Nov )
then a narrow contango suggests a turn
I expect Tgar can confirm with better description
( ie do you agree that Nov and Oct can converge towards a middle? )and HNU slips
Seems R B still misses major point
Demand is down and production has not reduced significantly ( injection price should fall in Oct)
And NG market is special as it is geared to filling storage once a year by Nov 1st
And it's pace ( filling ) is out of whack
Actually the why is simple - America shafted itself on finance/ recession
Now chemical/industrial demand is down sharply
and NG producers need to meet bills/loans -- and others overproduce with wise hedging contracts
( until full in Oct ? )
Futures are reacting normally
U