New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1889-01-28
THE PETROLEUM MARKET.
NEWS FROM THE FIELD AND RANGE OF PRIc

NEWS FROM THE FIELD AND RAN6E oF rhtOES-
The most important occurrence IN petroleum circles
last week was the conference on Thursday between
the Standard OIL Company and the Executive and
Advisory Committees OF the Producers Protective AS
ISOLATION, which resulted in the Standard extending
tho CALI privilege 3,5000O0 barrels OF reserve
oil to July /, 1850, guaranteeing 10 the producers
net profit Of 5 cents per barrel on the amount TO
naming unsold at that date. The original cost OF mis-
reserve oil to the producers 81 cents per barrel;
the addition of interest storage charges for twenty
months from November /, 1857, TO July i, 1853,
would bring the cost the latter date up 10 aoous
as cents It should be understood perfectly that the
producers retain freedom TO sell any portion Oh tnis
reserve oil at any time within tho EXTENDED peroo
and It is a question of business Judgment wnetnef
they should sell thergoods now or risk the chances
of an Improvement In the next few months eeyono
90 cents Because Of this liberty Of action, the bear
marty have endeayored to view the agreement a.
really boar card and they deduce number Oh con-
cIusions which, IL correct, would DO enough 10 stsrs
the producers at the work Of selling right away. ~
Is of course impossible to foreteIl how speculation
win be affected by tho transaction, for recently the
oil trade has been I'm such state Of depressed
snIrits that every occurrence and every
feature Of the situation takes distorted shapes In their
eyes Not only does nearly every trader wear piuo
suectacles when he looks at the indicator, out INC
glasses appear prepared to throw objects out Oh tne
true relations and proportions But 1t voudN seem
that the speculative situation were not worse on IMAM
Il was before the guarantee, for even the producers
oil still ahangs over tho MARKET it Is now SUSPENDED
from oo-cent hook, which was not the case before.
So far as the producers likely to DO governed oy
Legitimate considerations In dsposing OF their reserve
OIL a few points may be mentioned that are nkeiy 70
exert some influence. There Is an assured pront -
them Of cents per barrel IN any contingency, even
involving disaster In establishing this minimum
value OF 80 cents the Standard OIL people ofhcialY
sNd fhafrr depression
appeared probable from the present general range OF
yalues Nor short Of 9 new field, does there appear
10 be any substantial reason for looking for macih
decline. Tho Tribune called attention week ago 70
the improving prospects Of easier ocean freight rates.
which Of course means help TO our competition with
Russia AS matter Of fact, the export trade has
been stronger under increased inquiry and the
estimated xpors of crude refined, ETC.. from January
TO date Is % $50 900 gallons, an increase OF 415o,-
600 gallons the corresponding perioc OF 1885.
Thscharors arc much larger this month than In Jan-
ary wear ago. and they nearly equal tho whole vol
MN. 81 nina line runs No change in the course Of
production Is be expected, and by July tbs per.
Sons who are worried about the $500 600 barrels OF
reserve Oh win in all probability be confronted with
record showing reduction IN net stocas OF about 50oo
900 barrels or say roughly NON o Osrseis On
80, 1883. With such outlook before the trade is
not the question can q. ds EN- saq
The new arrangement, moreover, indicates a hoeru
disposition the part OF the Standard which ogghs
the agreement of the two interests removes con-
troversy that seriously aneeted The speculative
The pipe lines figures, far as received this
month"; show q daily Average Of runs OF S3,Oo3 bar
rels against 5o,49f barrels I'm December Sses
26723 barrels tn-January, 1sS5; 0Js5@I barrels
IN January 1887: 5e,1e6 barrels IN 1886, aud
so o9s barrels In 1885. The deliveries have aver
aged 1875 barrels day, against I7,7I9 barrels IN
december, 1888; 74,4eo barrels in January, lSss;
"a o34 barrels in January, 1887; e6.153 barrels IN
1856 and SO $50 barrels IN 1855. The report fron
January to "a is as follows; v~..
Runs Deliveries. deliveries Charters
Az per day 42,o03 e9,s75 27,s72 1850
fairly large speculation was enjoyed in crude Ger
professionals character In the main. The early rally
from "a 3S TO 81 cents was the natural result o. mo
overseng Of the preceding week. out IL wss qucchsy
followed by renewed pressure hoE the bears, wnicn
bore the market down to 81 liz cents. The proposed
conference between the refining and producing inter
rs (which was held Thursday gave the operators
fuil opportunity TO circulate reports OF dsrupton
and disbursement between Them they paid the pen.
sity of their rashness when Fridays market opened
cents The market lost in both It's activity and IN
u5ce IN the late dealings, but its net gain tor the
week Il 3 cents II is evident that the bear party
have NOT given up the contest however, and renewed
Attacks on values may be expected this week Hold
e Of oil are In better shape TO resist the eect OF any
stemnted scare and there are temptations TO buy
ON the reactions which not In existence prior %
the new Standard Producers agreement Inc markcs
closed firm at the figures. -, ,.,,.. A.. ~.
tlonal transit certificates at the Consolidated STOCK
- Exchange for the last three weeks were