MARKETWIRE ALERTS

MARKETWIRE ALERTS 

MarketWire Afternoon News for November 6th

Updated at 5:00 PM ET 

HEADLINES:

— SIGMA: Government Shutdown May Hurt Confidence

— SIGMA: E15 Sales to Face Uncertainty Amid API Withdrawal

—  CEC: California Gasoline Stocks Climb 7Kb on Week

—  EIA reports 33 Bcf Injection into US NatGas Storage Last Wk

NEWS:

SIGMA: E15 Sales to Face Uncertainty Amid API Withdrawal

The future of year-round E15 sales faces new uncertainty following the decision by the American Petroleum Institute (API) to withdraw its support for expanded ethanol use, according to SIGMA’s Government Relations Team and Legislative Committee.

The API pivot dismantles the long-standing alliance between refiners and renewable fuel advocates, effectively removing any legislative pathway remaining for E15, the committee said at the SIGMA 2025 Annual Conference.

The team also reviewed complications from the spring-to-summer fuel transition, when emergency waivers for E15 and E10 left refiners “holding the bag.”

According to SIGMA, API’s withdrawal of support marked a decisive turning point, ending industry alignment at a time when several key lawmakers were already hesitant to advance E15 legislation.

“If you lose the refining community advocating for E15, we don’t see a way this gets through Congress,” the committee stated, noting that senators from major refining states remained skeptical regardless of lobbying efforts.

To prevent a repeat of last year’s disruptions, SIGMA is coordinating with state officials to secure early Reid Vapor Pressure (RVP) opt-out extensions from the Environmental Protection Agency (EPA).

Ohio has already submitted its request for this, with several other states expected to follow in the coming weeks.  The committee described the action as a proactive measure aimed at avoiding the last-minute decisions seen last spring, when governors delayed decisions under competing pressures from agricultural groups seeking a legislative fix.

Due to the lack of clear federal action, the committee anticipates that next year’s transition will likely mirror the current year’s, with potential emergency waivers again required around May.

CEC: California Gasoline Stocks Climb 7Kb on Week

California gasoline inventories inched higher in the week ending October 31, led by modest builds in Northern California, according to the California Energy Commission’s Weekly Fuels Report released Thursday (11/6).

Statewide gasoline stocks, including CARB reformulated, non-California, and blending components, climbed by 7,000 bbl to 10.813 million bbl in the reference week, and was up 11% year over year.

Northern California gasoline inventories posted the largest movement, rising by 307,000 bbl to 5.399 million bbl. CARB reformulated gasoline increased by 330,000 bbl to 3.061 million bbl, while non-California gasoline declined by 100,000 bbl to 387,000 bbl. Gasoline blending components advanced by 77,000 bbl to 1.951 million bbl.

Southern California gasoline inventories contracted by 300,000 bbl to 5.414 million bbl, with reductions concentrated in reformulated gasoline. CARB gasoline dropped by 297,000 bbl to 2.188 million bbl, while non-California gasoline slipped by 37,000 bbl to 559,000 bbl. Blending component stocks edged up by 34,000 bbl to 2.667 million bbl.

Statewide gasoline production decreased by 59,000 bbl to 5.072 million bbl in the week ending October 31, down 19% year over year. Southern California led the decline, with total production down 75,000 bbl to 3.389 million bbl, as CARB gasoline output fell by 296,000 bbl to 2.922 million bbl and non-California gasoline increased by 221,000 bbl to 467,000 bbl.

Northern California gasoline production edged higher by 16,000 bbl to 1.683 million bbl, marking a 19% annual decrease. Northern CARB output climbed by 147,000 bbl to 1.643 million bbl, while non-California gasoline dropped by 131,000 bbl to 40,000 bbl.

EIA reports 33 Bcf Injection into US NatGas Storage Last Wk

Energy Information Administration data released midmorning Thursday (11/6) show a 33 billion cubic feet injection into U.S. natural gas storage to 3.915 trillion cubic feet in the week ended October 31.

Natural gas in U.S. storage is 0.2% lower than last year and 4.3% above the five-year average of 3.753 Tcf.

Regionally, EIA reports the East registered a 4 Bcf withdrawal to 909 Bcf, 2.5% less than a year ago and 0.2% lower than the five-year average.

Natural gas in storage in the Midwest increased 20 Bcf week-on-week to 1105 Bcf, a 1.8% deficit compared to the same week a year ago and 0.9% higher than the five-year average.

Mountain region natural gas in storage increased 2 Bcf, down 1% year-on-year to 19.5% above the five-year average.

South Central storage rose 14 Bcf to 1296 Bcf, 2.6% more than in the same week last year and 6% above the five-year average.

SIGMA: Government Shutdown May Hurt Confidence

The U.S. government shutdown, the largest in the country’s history, could deepen fiscal uncertainty and weigh on economic confidence heading into the new year, according to SIGMA.

During its 2025 Annual Conference, members of SIGMA GR Team and Legislative Committee on Thursday (11/5) said the best-case scenario would see a reopening of the government late next week. However, with healthcare subsidies, spending thresholds, and election-year politics in play, this could easily stretch into January.

While Senate leaders have discussed combining several appropriations bills to reopen the government, SIGMA members cautioned that procedural and political hurdles remain.

However, even if the Senate advances a package next week, there’s no assurance the House will follow as both sides appear more focused on positioning for the election than on governing, one of the members of the group said.

SIGMA’s committee concluded that markets haven’t fully priced in the longer-term the policy uncertainty this creates, and that trust between the White House and Congress is “at a historic low.”