NEWS / Foreign Exchange

Strike continues to block oil tankers in France

- The EIA releases its weekly natural gas inventory data today at 10:30 a.m. According to a widely followed wire survey, natural gas inventories are expected to have fallen 18bcf last week. Yesterday the EIA reported that crude oil inventories fell by 846K barrels, gasoline inventories declined less than expected by 258K barrels and distillate inventories declined less than expected by 700K barrels.

- In was announced over night that the ongoing strike at Fos-Lavera oil hub currently block 57 ships, includes 33 oil tankers, 6 gas tankers

- The EU??™s Solona said overnight that the actions of the Iranian government in arresting 15 British military servicemen is unacceptable, acknowledging that the message has already been sent to Iran on behalf of the EU. Solona said that the only solution would be a diplomatic one.

- According to the Indian Times the US Senate Foreign Relations Committee has approved two measures seeking formal agreements with India and China on international energy crisis response mechanisms and engaging them in a dialogue on climate change.

- Coal prices in Asia may rise next year as China moves to become a net importer of fuel according to a Deutsche Bank analyst. Prices may rise to highs of $58 per metric ton in 2008, and $59.50 in 2009.