The OilSpot News by DTN
Monday, June 1, 2009 VOLUME 7 ISSUE 354  



IEA: Oil, Gas Producers Cut 2009 Upstream Investment by $170 Billion
OPEC Leaves Oil Production Quotas Unchanged
April Truck Tonnage Sinks 13.2% on Year
DOT shows Vehicle Mileage Driven in March Down 1.2% vs. Year Ago
Gasoline Consumption in California Tumbles 7.4% in February
Sunoco CEO Points to Bearish Outlook for Oil Refiners


US Retail Gasoline Average Surges 12.6cts to 7-Month High
On-Highway U.S. Diesel Average Up 4.3cts at $2.274 Gal
US Propane Stockpiles Up 1.4 Million Bbl Week-ended May 22


Valero, Tennessee Fuel Wholesalers Reach Compromise on Biofuels Bill
Oregon Senate Committee OKs B2—Rejects Ethanol Blend Change
Washington State Fails to Meet its Biofuels Mandate
Biofuel Energy Threatens Bankruptcy after Default Notice
CME Plans New Settlement Procedures for Energy Products
BP Fined $1 Million by California Air Resources Board


Economic Indicators


Weekly Rack Postings

Long-term Demand to Climb
EIA Expects World Energy Consumption to Grow 44% by 2030

World energy consumption is projected to grow 44 percent between 2006 and 2030, driven by strong long-term economic growth in developing countries, the Energy Information Administration reported last week in its International Energy Outlook 2009.

While near-term demand will be impacted by the current global economic downturn, once the recovery begins, most nations are expected to see energy consumption grow at rates anticipated prior to the recession. Economic recovery is expected to begin within the next 12 to 24 months.

Total energy demand in the non-Organization for Economic Cooperation and Development countries is projected to surge 73 percent in EIA’s reference case compared to an increase of 15 percent in OECD countries. The strong energy growth in the non-OECD countries is attributed to strong long-term GDP growth. In all the non-OECD regions combined, economic activity—measured by GDP in purchasing power parity terms—increases 4.9 percent per year on average compared to 2.2 percent yearly for OECD countries.


[FULL STORY]
 

Oil Prices Tripped Up Auto Industry
Decline in Auto Sales Alone Brought US GDP Down 0.5% says Expert

1927 Model T Ford

The decline in U.S. auto sales alone pulled the nation’s gross domestic product down by half a percent between the third quarter of 2007 and the third quarter of 2008, according to research by James D. Hamilton, a professor of economics at University of California, San Diego.

In the absence of auto sales declines, Hamilton states, the real GDP would have grown over the period, and it is unlikely that economists would have deemed the time period as a true economic recession.

Auto sales are not the only impact on the nation’s economy from the U.S. auto industry; automaker job losses also had a profound impact. One-hundred and twenty-five thousand jobs were lost in U.S. auto manufacturing between July 2007 and August 2008, according to Hamilton’s research.


[FULL STORY]
 



NYMEX nearby delivery crude futures is starting June by rallying to near $70 bbl. What do you expect to trade first by the nearby delivery crude contract; $80 or $50 bbl?
$80 bbl
$50 bbl
Not sure
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RECENT ISSUES

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Vol. 7 Issue 353
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