Advertisements
oil OPEC

Aaaand Oil Absolutely Collapses

"The crude market is losing patience"...

Yeah, so about that little bump we saw in crude on Wednesday morning after EIA data confirmed a huge inventory build but came in lower than last night’s API number…

Bigly

It turns out the “crude” reality of record stockpiles set in over the course of the day. At this point, I think it’s fair to describe it as a veritable rout.

WTI fell to its lowest since December and closed below its 100-day MA of ~$50.90 for the first time since November as imports jumped a second week and production hit a 1-year high…

Crude

…taking SPDR Energy Select Sector ETF along for the ride. The popular vehicle fell below its 200-DMA for the first time since April 18.

CrudeXLE

Meanwhile, the CBOE/Nymex Oil Volatility Index climbed to ~32.26 – its highest in a month. “The crude market is losing patience,” Mike Wittner, head of commodities research at SocGen told Bloomberg by phone.

“The catalysts that we expected from changes in inventory levels have not played out as we expected,” one energy sales specialist said. “The market needs several catalysts to move the space higher.”

I see. Kind of seems like maybe all those longs are liquidating…

Oil

(SocGen)

Advertisements

2 comments on “Aaaand Oil Absolutely Collapses

  1. Curt Tyner

    There she BLOWS!

  2. Pierre Tavernier

    Did I hear that OPEC members will abandon limiting its output?

Speak On It

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Skip to toolbar