WTI $99.96 -95c, Brent $106.02 -96c, Diff $6.06 -1c, NG $4.10 -5c

Oil price

A short blog this morning, there is virtually nothing going on company wise which is a good thing as I am off to the smoke to see three companies, plenty to report back on in the next few days. For those of you and there are many who are waiting for an update on Faroe, I have been playing telephone tag with Graham Stewart, my turn to call him which I will do today, the stock is way too cheap though.

The oil price fell again yesterday and as I have been banging on about it is because there are short term speculators, many who don’t understand this market, heading for the exit. Industry professionals have seen them coming and are not making life easier for them nor should they, hedge funds and other short term punters are wearing big losses in a market they cant manipulate, there is more pain to come for them.

The fundamentals are mixed, the Chinese GDP stats came in a fraction better than the whisper at 7.5% which helps a bit and the API numbers showed a draw of 4.8m barrels as refinery output tightened. Conversely, Libya continues to step up production despite civil unrest and has reported that exports are now up to 588/- b/d.

Shell

Shell has reported a ‘significant’ oil discovery in the Gulf of Mexico. The Rydberg find in the Nortphlet play found 120 metres of net oil pay which the company indicate is going to mean a field of at least 100m barrels of oil.

And finally…

Unless there is major news first thing tomorrow demanding a flash blog there will be no publication, I will be having a fact finding day with Equity Development guru Gilbert Ellacombe who has become a legend on Twitter amongst other work…

The Champions League started again last night, can you credit it? Celtic went to Reykjavik and won 0-1 with a goal 6 minutes from time. The return match is at Murrayfield would you believe as Glasgow is preparing for the Commonwealth Games!

And Jimmy Anderson has been charged by the ICC of misconduct in the last test and could miss up to four games, what is the world coming to?