Patrick Reames - Author Archive

Commodity Trading Advisors, puzzled by Fed, head for third year of losses

From Reuters By Barani Krishnan NEW YORK | Fri Sep 27, 2013 2:23pm EDT (Reuters) – Long-term trend-following hedge funds are heading for a third straight year of losses unless the commodity and financial markets they trade in settle into a more predictable pattern, which does not seem likely given... continue reading

Trivia Question – How many people do CTRM software vendors employee?

The answer:  There are about 4900 people (on a FTE basis) working for CTRM product vendors around the globe, and even more than that if you take into account part-timers and contractors. How do we know that? Look for our inaugural Commodity Technology Advisory 2013 CTRM Global Market Sizing Report... continue reading

Natural Gas Steady Near One-Month Low on Stockpile Outlook

From Bloomberg – By Naureen S. Malik & Christine Buurma – Sep 25, 2013 3:03 PM CT Natural gas futures were little changed in New York on speculation that a supply gain last week may match year-earlier levels, and as traders closed out of October futures positions before expiration tomorrow.... continue reading

CME Plans Swap-Trading Platform

By Jacob Bunge;  The Wall Street Journal CME Group Inc. (CME) said Wednesday it submitted an application to operate a platform for trading swap contracts, adding the world’s largest futures exchange operator to the slate of companies jockeying for business under new financial regulations. CME filed an application with the... continue reading

No, its not “Fracking”

This morning I was asked my thoughts about whether the correct spelling of the shorthand for “hydraulic fracturing” is “fracing” or “fracking”, and I was a bit surprised at my almost visceral reaction to the question. As someone who has spent a not insignificant portion of my youth in the... continue reading

Goldman Sachs CEO says commodities trading is ‘core’ to Bank

(Reuters) – Goldman Sachs Group Inc (GS.N) Chief Executive Lloyd Blankfein made his most public commitment to the bank’s commodity trading business on Wednesday, even as regulators consider measures that may push Wall Street out of physical markets. While rival JPMorgan Chase & Co (JPM.N) decided in July to quit... continue reading

CFTC signals it may tighten rules on high-speed trading

Washington Post By Dina ElBoghdady Federal regulators signaled on Monday that they may more strictly oversee the high-speed trading that’s come to dominate financial markets and impose risk controls in response to a series of market-disrupting technology glitches.The 137-page “concept release” from the Commodity Futures Trading Commission comes at a... continue reading

Sisu Group Adds New Win

Sisu Group, Inc., a small Tulsa-based CTRM vendor who specializes in refined products solutions, announced yesterday that they have licensed their PetroMan product to Hawaii Pacific Energy LLC, a subsidiary of Houston-based Par Petroleum Corp. The company recently purchased the 94,000 bpd Kapolei Hawaii refinery from Tesoro.  According to the... continue reading

Fracking Boom Seen Raising Household Incomes by $1,200

From Bloomberg BusinessWeek By Jim Efstathiou Jr. Surging oil and natural gas production brought on by hydraulic fracturing is lifting the U.S. economy by lowering energy costs for consumers and manufacturers, according an industry-funded report. In 2012, the energy boom supported 2.1 million jobs, added almost $75 billion in federal... continue reading

Glencore Xstrata writes down $7.7bn in assets

BBC News – Newly-formed mining giant Glencore Xstrata has written down the value of Xstrata’s assets by $7.7bn (£4.9bn), and reported a drop in revenues. The firm, which was created in May, said the write-down reflected tougher conditions in the mining sector. Revenues in the first half of 2013 fell... continue reading

Euro Zone Returns to Growth, but Malaise Lingers

Wall Street Journal  BERLIN—The euro zone’s return to slow growth—confirmed by data Wednesday showing a 0.3% economic expansion in the second quarter—is likely to encourage European politicians to claim that the region’s crisis is ending. But most economists say the recovery is too sluggish to overcome the deep problems ailing... continue reading

Financial Pressures Raise Speculation of Enron-Like Failures

Ken Silverstein in Forbes – 08/08/13 It is not Enron. But it is raising questions: Two major electricity and gas trading firms are under investigation by a federal agency. How much has changed over a dozen years and is market manipulation even possible nowadays? The regulatory process is now much... continue reading

Aluminum Costs Falling as Lawmakers Focus on Long Waits

From Bloomberg By Agnieszka Troszkiewicz – Aug 5, 2013 9:13 AM CT The rates to obtain aluminum tumbled the most in 20 months in Europe last month and retreated from a record in the U.S. as lawmakers and regulators scrutinize long lines for metal that buyers say raised their overheads.... continue reading

Aspect Enterprise Solutions Announces Enhanced Features For Argus Media News And Prices In Market Data And Analytics Portal

August 1, 2013 – Aspect Enterprise Solutions, a leading provider of multi-commodity trading and risk management Software-as-a-Service (SaaS) applications delivered in the Cloud, today announces new delivery choices for the way traders can view and leverage Argus Media news and pricing services in AspectDSC, its Decision Support Center for traders.... continue reading

Seminole Energy Services Selects Allegro to Manage its Energy Products and Services Business

DALLAS, July 30, 2013 – Allegro Development Corporation, a leading provider of energy trading and risk management (ETRM) solutions, announced today that Seminole Energy Services, L.L.C. selected Allegro 8 as a comprehensive solution to manage its energy products and services operations. Seminole is a results-oriented, integrated energy products and services... continue reading

Agency says JPMorgan manipulated power prices

Posted on July 29, 2013 at 5:35 pm by Associated Press: WASHINGTON — U.S. energy regulators are accusing JPMorgan Chase & Co. of manipulating electricity prices in California and the Midwest in 2010 and 2011. The Federal Energy Regulatory Commission said in an enforcement notice Monday that bank used improper... continue reading