Hurricane Isaias Poses Strong Threat to an Already Pressured Energy Trade

record setting we saw in September. But gas and diesel prices do remain elevated. For more, let's bring in our panel. Joining us tJake Hanley, chief growth officer and director of investments at Teucrium ETF's. And Ellen PhD, and author of Inc. and President at Transversal Consultingt to have you both with us. E let's start with you. And this hurricane threat in the Gulf, we've got roughly 2 million barrels a day of refin capacity te potentially in the path of this storm. How significant of a risk is this posing to gas and diesel prices? This is a pretty significant risk because we're in a po where we've basically been running our refineries flat since this crisis started, and some refineries are even delaying maintenance. Therome pretty major refineries there. And, you know, it could be that they don't have any damage, that its by and nothing is really affected. Although even som flooding damage c pose problems to transportatio just getting that gasoline where it needs to go. But because we're in such a tight situation, anyd of disruption is going to play out across the market and we would be temporary because the damage will be, you know, fixed. It will be reversed. They will come back online. this is just not a good time for a hurricane to come right i path of major refiningters. And Jake Ellen, talking about this already tight fuel inventories. We've got gasoline and diesel supplies currently 1w much more vulnerable does this make the market to even a temporary refinery disruption? I mean, incredibly vulne I mean, you you don't want to call it a pe storm, but it is a storm at the perfect time, you know, or the worst however you want to phrase it. I mean, you know, you look across the globe right now, I think Reuters puts us at about 9% of global refiningity is offline because of the wars in the Russia and Ukraine as well, of course, in the Middle East. so another 2 million barrels a day in rg capacity, potentiallyne for an extended period of time. Well, that's another 2% or s of global refining capacity. So yeah, this this is not coming at a good time. And Ellen, we're talking about a gas and diesel here. But in terms of crude and the hurricane risk there, is there also a risk here. I would say that there is aomewhat there's a potential for risk always when there's a big oil producers out there taking precautions, evacuating platforms that could potentially be in path of a hurricanr tropical storm. It's very important, you know, to protect the personnel who tht this point, we're we'reing any of these evacuations impact actual production. But the storm is still developing. And, you know, it really could impact it could impact production if it gets stronger h go or if depending on how oil companies choose to take precautions, s these platforms could be floating platforms and could be moved away, which would certainly prevent them from being damaged. But could, you know, decrease oil production in the Gulf of Mexico for a period of time? And we're at a point where, you know, we do really need that production. We need that oil. Yes. The biggest b here is in refining, but any hitr additional hit to crude supplies is going to be reflected in the m And Jake, we just got this agreement for the emergency reof oil last week. But then we had Saudi Aramco come out and say that the rebuilding of these global stockpiles could take as much as two years. What are you seeinghat are your your outlook here for oil prices going forwa structurally elevated evenay after we get through this immediate supply crisis? Yeah, we certainly could see them elevated structurally. You know, I would say it might take two years to bring refining capacity back up toormal and for, you know, sovereign nations who are releasing petroleum out of their supplies to rebuildhose supplies and the distillates as well, which is a big story. But even if it take years, I would say that's not necessarily a new catalysthelp push prices higher, but would rather be providing somewhat of a floor of support underneath prices to help keep them elevatean extended period of t But I just point out to that, that that conversation of rebuilding and getting back to to normal, I think that's little far looking. We're behind that story right now. As know, the wars continue to be the major drivers. And unfortunately, we're not seeing any any let back in in the kinetic activity where we stand today. All right. We've got WTIt now. Brant just north of 101, the national average for gas at 4.36. And diesel is about 631 per gallon. Really appreciate you both being with us. To take a closer look at oil and energy today, Jake Hanley, Chief Growth