For anyone needing an informed view on crude' s price band in the short- to medium-term, getting a handle on the trajectory of US tight oil production is critical.
Unfortunately, this element has become a major unknown in the process of forecasting the world’ s oil supply-demand balances of late, despite the relative transparency and promptness of data around it. Oil tycoon and shale pioneer Harold Hamm Thursday reignited the debate around what he called the “overforecasting” of US oil production growth by the Energy Information Administration, arguing that data with the shale producers showed a far more moderate rise. Kudos to the EIA for accommodating an opposing point of view in its webinar on US crude production growth Thursday, but the debate is far from settled and the oil market will likely be on the edge of its seat looking for answers for some time to come.
- The growing chasm over the outlook for US crude production growth and what it portends for the stubborn contango at the front of the WTI curve as well as for the US benchmark’s wide discount to Brent.
- Factors that complicate taking a call on US output trajectory, and why the weekly rig count, despite offering only a sliver of the whole picture, is bound to spur volatility in WTI prices.
- Shale producers may have eased up on oil rig additions in recent months, but the run-up in crude prices in recent weeks has provided them an attractive opportunity to hedge 2018 production.
- With less than a fortnight to go before OPEC’s meeting to decide on its production cuts beyond March, a rollover, possibly to the end of 2018, doesn’t look like a certainty. We believe the organization will not risk sending a bearish signal to the market
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Already, lubricant players have established their footholds here in Bangladesh, with international brands.
However, the situation is being tough as too many brands entered in this market. So, it is clear, the lubricants brands are struggling to sustain their market shares.
For this reason, we recommend an impression of “Lubricants shelf” to evaluate your brand visibility, which can a key indicator of the market shares of the existing brands.
Every retailer shop has different display shelves and the sellers place different product cans for the end-users. By nature, the sellers have the sole control of those shelves for the preferred product cans.The idea of “Lubricants shelf” may give the marketer an impression, how to penetrate in this competitive market.
The well-known lubricants brands automatically seized the product shelves because of the user demand. But for the struggling brands, this idea can be a key identifier of the business strategy to take over other brands.
The key objective of this impression of “Lubricants shelf” is to create an overview of your brand positioning in this competitive market.
A discussion on Lubricants Shelves; from the evaluation perspective, a discussion ground has been created to solely represent this trade, as well as its other stakeholders.Why “Lubricants shelf” is key to monitor engine oil market?
The lubricants shelves of the overall market have already placed more than 100 brands altogether and the number of brands is increasing day by day.
And the situation is being worsened while so many by name products are taking the different shelves of different clusters. This market has become more overstated in terms of brand names and local products.
You may argue with us; lubricants shelves have no more space to place your new brands. You might get surprised by hearing such a statement. For your information, it’s not a surprising one.
Regularly, lubricants retailers have to welcome the representatives of newly entered brands.
And, business Insiders has depicted this lubricants market as a silent trade with a lot of floating traders.
On an assumption, the annual domestic demand for lubricants oils is around 100 million litres, whereas base oil demand around 140 million litres.
However, the lack of market monitoring and the least reporting makes the lubricants trade unnoticeable to the public.
Headline crude prices for the week beginning 11 February 2019 – Brent: US$61/b; WTI: US$52/b
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