Energy & Commodities

U.S. Jet Fuel Stocks Continue To Rise As Production Outpaces Demand

Posted by Charles Kennedy, oilprice.com

on Wednesday, 4 August 2021 10:47

Despite a marked rise in U.S. air travel numbers this year compared to 2020, jet fuel inventories have climbed in recent months as refiners boosted production, while jet fuel demand is still lower than pre-pandemic levels.

Refiners in the United States have raised jet fuel production by almost 8 percent, or 102,000 barrels per day (bpd), since the first week of May, the Energy Information Administration (EIA) said on Wednesday.

However, as of July 23, the combined total U.S. jet fuel inventory was 9.9 percent higher than the five-year (2016–2020) combined average due to increased jet fuel production and lower product supplied.

To compare, as of the same day, July 23, U.S. gasoline inventories were down 0.6 percent, and the combined total distillate fuel oil inventory was 6.8 percent below the five-year combined average.

Airline travel across the United States is picking up, but not at the same rate as car travel, which has led the recovery in gasoline consumption…read more.

Canadian Home Buyers Need Up To 34 Years Of Savings For A Down Payment: NBC

Posted by Stephen Punwasi, betterdwelling.com

on Tuesday, 3 August 2021 11:37

Canadian real estate affordability deteriorated so fast, it will delay buyers by years. National Bank of Canada (NBC) crunched the numbers on how long it would take to save a down payment in Q2 2021. Not buy the home, but to just have the minimum required down payment to get a mortgage. Over one quarter, home buyers in some markets saw the time needed to save extend by years. That was on top of a timeline that already took up to three and a half decades to save the bare minimum down payment.

Canadian Months To Save A Down Payment
Today we’re looking at how long it takes to save the minimum down payment to buy non-condo housing. The savings are using 10% of the median gross household income for each region. Non-condo housing means any single-family dwelling (e.g. detached, semi, town, etc.).

The length of time is then expressed in years, with a small catch. For the time to be true, incomes need to keep pace with home prices for the whole period. The last part is obviously unrealistic, but not much more unrealistic than expecting 30 years of savings to buy a home, right? More likely home prices fall, or absurd inflation causes incomes to rise in line with prices. The latter sounds better but is usually so disastrous it causes the former as well — making it much worse. Got it? On to the data…read more.

Help with the Special Olympics Golf Tournament

on Friday, 30 July 2021 13:38

As you may know, our good friend Michael Campbell is Past President and an Executive Board Member of the BC Special Olympics. He is also actively involved as the Chairman of the Newmont Invitational Golf Tournament which supports the BCSO.

Throughout its history, the Newmont Invitational has been known for its premium golf experience and its power to make a difference for Special Olympics BC’s inspiring athletes and empowering programs. Too often, people with intellectual disabilities are forgotten and left behind by our society, and the pandemic has intensified their isolation. The 2021 Newmont Invitational will be your opportunity to make a critical difference in the lives of athletes who rely on Special Olympics for sport, health, skill building, and most of all, friendships.

We need your help, especially this year.

Sponsoring or Donating an auction item to the Newmont Invitational Golf Tournament directly supports the lives of the athletes. All donations are greatly appreciated!

Examples of past auction items that have been generously donated include:

  • Vacation packages and hotel stays
  • Precious metal bars
  • Media / ad buys
  • Experience packages
  • Stadium suite memberships
  • Luxury alcohol
  • Electronics
  • Gift certificates

If you can’t think of anything that you might have readily available, we encourage you to provide support by reaching out to partners and suppliers for auction item donations. The only way any of this gets done – the only way to break through the noise and bustle of everyday life is to ask people you know – ask your contacts. And that’s where you come in.

These children and adults, along with their families, deserve our support. Special O helps build a bridge to the community at large for many individuals who, before joining Special Olympics, were isolated and alone. This is where our 4,800 athletes across the province and tens of thousands more across the country build friendships and self-esteem. It’s not an exaggeration to say these donations literally change people’s lives.

Sure hope you may be able to help, Please email me at nina@highpci.com.

Nina Parente

Robinhood has the worst debut ever for IPO of its size

Posted by Drew Singer, Bloomberg News

on Friday, 30 July 2021 7:35

Robinhood Markets Inc. wanted to make history with its initial public offering, and now it has — for the wrong reason.

Shares in the broker behind the meme-stock revolution fell 8.4 per cent below the IPO price in the company’s first trading session. That’s the worst debut on record among 51 U.S. firms that raised as much cash as Robinhood or more, according to data compiled by Bloomberg.

It dethroned the 2007 IPO by another brokerage, MF Global Holdings Ltd., as the worst debut among qualifying firms. MF Global ended its first day down 8.2 per cent.

Robinhood opened at the US$38 initial public offering price. For an IPO of Robinhood’s size and larger, that’s the weakest opening trade since Uber Technologies Inc. in May of 2019 among U.S. firms. Uber finished its debut session down 7.6 per cent…read more.

Oil Majors Are Primed For A Massive Earnings Season

Posted by Alex Kimani, oilprice.com

on Thursday, 29 July 2021 9:40

Earnings season is here with us once again, with a quarter of S&P 500 companies having reported second-quarter 2021 earnings. According to FactSet data, 88% of S&P 500 companies have reported a positive EPS surprise, while 86% have reported a positive revenue surprise.

The good news for oil and gas investors: The long-suffering sector is on course for a repeat of a stellar first quarter by posting blowout earnings, again, in large part due to an increase in oil and gas prices.

Three-quarters of energy companies that have reported earnings have exceeded expectations, while half have managed to surpass revenue expectations.

Even better: The energy sector’s expected revenue growth of 92.1% is a high watermark for the entire U.S. market.

The energy sector is expected to report earnings of $13.9 billion for Q2 2021 compared to a loss of -$10.6 billion in Q2 2020, thanks to vast improvements in commodity prices especially crude, which averaged $$66.17/bbl in Q2 2021 compared to $28/bbl in Q2 2020 and $61/bbl in Q1 2021.

All five sub-industries of the energy sector, namely Integrated Oil & Gas, Oil & Gas: Exploration & Production, Oil & Gas Refining & Marketing, Oil & Gas Equipment & Services and Oil & Gas Storage & Transportation, are reporting (or are projected to report) a year-over-year increase in earnings.

Here’s where it gets interesting: American oil and gas supermajor ExxonMobil (NYSE:XOM) and Chevron (NYSE:CVX) are expected to be the largest contributors to the improved earnings for the sector, with the two companies expected to account for $13.3 billion of the $24.6 billion year-over-year increase in earnings for the sector...read more.