Blue Lacy Advisors, LLC - Trade and Exports Commentary
Minneapolis, MN | August 30, 2022 | By: Steve Sinos, Blue Lacy Advisors, LLC
We are still watching trade and trade-related currencies this week. Exports of refined products from the US remained strong. Through the first half of 2022, US exported products have accounted for 70% of clean product imports into Latin America, with Mexico the most significant importer at 865 thousand barrels per day (“kbd”) of waterborne imports. Exported US products are also finding homes as far away as Asia. China, South Korea, and Japan represent the 3rd, 4th, and 5th largest importers of US exports over the same period, all importing >250kbd. Crude oil exports reached a record 5mm bpd, according to the EIA's release for the week ending 12 Aug 22. EIA import/export estimates are noisy, but Vortexa departure data suggests an approx. 3.55mm bpd of crude oil departed from US ports over the last four weeks, in line with the 4-week average from the EIA. Like refined products, many of these cargoes went to China. Over the same period, an est. 220 kbd of US crude has sailed for China. Considering this is just a US-focused snapshot of trade, it is no wonder trade and related currencies rank among the top statistical drivers of many pricing models.
A free summary excerpt, such as this one, will be published on a delay periodically. This is an excerpt from Blue Lacy Advisors, LLC's (“Blue Lacy”) weekly commentary for clients, which is based on a collection of models, research/analytical subscriptions, and bespoke work. Each week Blue Lacy explores how market drivers included in these analyses might affect or be used in clients' planning, budgeting, and execution of strategy. Call Blue Lacy to make an appointment today!
Meet the Author:
Steve has spent his career in strategy, risk, trading, and investment. He works with investors to source investments in opportunistic or high growth sectors, with particular interest in early-stage companies solving clearly defined problems.
He is currently a Managing Partner with Blue Lacy Advisors LLC, giving management teams and investors confidence in their decision making by supporting strategic planning and execution, risk management, commodity trading, and market analysis.
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