Central Valley Cooperative

The energy complex trade is trading mixed to lower as the dollar gains value. March crude oil is trading $1.11 per barrel lower to $96.73. Generally, the stronger dollar is pressuring the energy markets. Weather forecasts are changing to a cooler cycle. It will be interesting to see how the market will handle this. Israel threats toward Iran supported Friday’s energy trade. Although the U.S. supports Israel, the U.S. appears not in support of any such attack, but rather that Iran retreats on their nuclear ambitions. Economic reports last week supported the U.S. economy as unemployment dropped to 8.3%, factory orders increased 1.1%, and the ISM manufacturing index climbed to 56.8, the strongest level in a year. All of this pushed the energy markets higher last Friday.