Propane inventory, prices climb: Here’s why
July 2, 2018 By Mark Rachal and Dale Delay
Export activity in July and its resulting impact on U.S. inventory builds should be very interesting to monitor.
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Export activity in July and its resulting impact on U.S. inventory builds should be very interesting to monitor.
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The pricing pattern for March and May turned out to be very similar, but April was a little different.
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Propane has certainly been bullish in the last 10 days.
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Propane prices saw a significant change in April. Get more details on this shift.
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Changes in the price of Brent crude oil, as well as higher temperatures and lower inventories all impacted the price of propane this winter.
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A report from the U.S. Energy Information Administration (EIA) examines U.S. propane’s relationship with world propane prices and crude oil prices.
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As the impacts of winter demand wane this time of year, it is not unusual to see Conway prices move toward the weak side.
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There have been two primary factors behind the late-winter weakness in propane prices: rising propane production and lower propane exports.
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Cost Management Solutions’ Mark Rachal takes a look at propane’s relative value to crude and how it is trending compared with last year.
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It is now the homestretch for winter, but forecasts for a cold February mean there is much work still to be done.
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