WTI and Brent crude futures trade in positive territory after shrugging off a build in DOE inventories in expectation of additional quantative easing that accompanied the unchanged rate announcement. Risk on assets such as oil were boosted and the USD pressured, by anticipation of, and then the announcement by the Fed that it will increase its stimulus to the economy. Also contributing to the move to the upside was the news of a fire at the Port Arthur, Motiva refinery in Texas, it was reported yesterday that the 174,000BPD refinery was flaring and today markets heard news that the refineries restart has been aborted. In addition today saw the OPEC meeting in Vienna where it was announced that they will maintain their current production ceiling of 30mln BPD despite forecasts for sluggish demand in 2013, however this had little effect on the energy complex as participants were looking ahead to the main event of the day, the FOMC rate decision.
12 Dec 2012 - 20:33 - Energy - Source: RANsquawk
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