Energy Division Update
	TRADE NEWS
	FUEL AND PROPANE

• The energy markets are starting out the week lower due to concerns over the global economic picture and more evidence that fuel demand remains low.

• The eighth named storm of this year’s Atlantic Hurricane season made landfall on the southern most Texas and Mexico border. Hermine was packing 50mph winds and heavy rain. Some areas of Mexico and Texas are expected to end up with as much as a foot of rain. There have been reports of flooding and power outages but no word on the impact on oil gas instillations in the area.

• The next potential hurricane threat for the Gulf of Mexico could come from the rebirth of Tropical Storm Gaston. At this time, the storm is located over the Leeward Islands and preparing to move into the Caribbean Sea. The storm is projected to increase in strength once in the Caribbean.

• The stock market is expected to open lower due to renewed concerns over the health of the European banks. The concerns came after news that many of Europe’s major banks have risky government debt on their books. The news caused European stocks to fall and helped to prop up the dollar against the euro.

Short Term Outlook:

 The dollar is working higher; overseas equities were lower and Wall Street is expected to work lower this morning. This is putting negative pressure on the energy complex in the early going. European bank concerns have returned to the forefront. Energy values should remain lower today due to today’s European focus and no new U.S. economic reports scheduled to be released today.