Last week, which ended December 8, 2017, proved highly favorable for granular urea prices but not so much for prilled urea.
CVR Partners (UAN) emerged as the top gainer last week, rising 17.4% week-over-week to close at $3.70. CF Industries (CF) followed, rising 4.4% to close at $39.30.
At 4:05 AM EST on December 11, the West Texas Intermediate crude oil futures for January 2018 delivery were trading at $56.95 per barrel—a fall of 0.71%.
On December 7, 2017, natural gas’s implied volatility was 40.5% or ~7.5% less than its 15-day average. On November 29, the implied volatility rose to 47.7%.
On December 7, 2017, US crude oil’s implied volatility was 20% or ~1.1% less than its 15-day average. On December 1, the implied volatility fell to 19.8%.
On November 30–December 7, XOP had the highest correlation of 95.1% with US crude oil January 2018 futures on our list of energy subsector ETFs.
On November 30–December 7, 2017, the S&P Mid-Cap 400 Index (IVOO) had the highest correlation of 43.8% with US crude oil January 2018 futures.
On December 7, 2017, US crude oil (USO) (USL) January 2018 futures rose 1.3% and closed at $56.69 per barrel.
January US natural gas futures (GASL) contracts were below their 20-day, 50-day, and 100-day moving averages on December 7, 2017.
US dry natural gas production fell by 0.5 Bcf per day or 0.7% to 76.2 Bcf per day on November 30–December 6, 2017, according to PointLogic.
Baker Hughes will publish its US natural gas rig count report on December 8, 2017. Gas rigs rose by four to 180 on November 22–December 1, 2017.
The EIA estimated that US natural gas inventories rose by 2 Bcf (billion cubic feet) to 3,695 Bcf on November 24–December 1, 2017.
January natural gas (UNG) (UGAZ) futures contracts rose 0.8% to $2.78 per MMBtu (million British thermal units) at 1:08 AM EST on December 8, 2017.
An unexpected increase in US natural gas inventories during the withdrawal season pressured natural gas (FCG) (GASL) prices on December 7, 2017.
Aluminum was among the best-performing base metals in 1H17. It outperformed several other industrial metals including copper.
Copper tends to be sensitive to geopolitical developments. This month, we’ve seen some interesting geopolitical developments.
Copper prices have come off their 2017 highs. Copper, which closed almost flat last month, has lost 3.3% in December.
In November, aluminum shed almost 5.0% and copper lost ~0.3%. However, we’ve seen a fresh wave of selling in industrial metals this month.
Gold fell to four-month low price levels amid the improved global market sentiment and the strong dollar.
Sibanye has seen its three-year correlation to gold drop from 0.53 to a YTD correlation of 0.25.