This page has been archived and commenting is disabled.
WTI Follows Algo-Idiot-Inventory Template: Slides Back Below $50
Yesterday we exposed the deja vu-ness of the API vs DOE inventory price moves in WTI. Today we begin to get some confirmation as a growing divergence between excess supply (and weak demand) for WTI and rising demand for Brent push the spread over $11 and the contango above $2...
»
- 7389 reads
- Printer-friendly version
- Send to friend
- advertisements -
The quadruple Evel Knievel is in the formulation phase.
Let them do whatever they want to the commodity. Liquidate nearly infinite duration financial assets to raise cash and buy gold (both senior to their phantom and fraudulent fractional reserve banking claims) to them redeploy into commodity producers if/as they get pummeled from the engineered distress.
Yeah, talking about "markets".
if they can take interest to zero or negative....they can take everything else with it.
tee shirt seen at the crimex:
i got stuffed on the doe
The 15 million added to storage over the past 2 weeks simply BEGS the ? of WTF happens when Cushing is full?
Just BTFD! Storage in empty milk jugs? How many storage tankers can fit in Puget Sound?
And BTW - FUC* you Saudi assholes that think you can make yer not so subtle statements about everything is ok - demand is firming up. Ass clowns.
http://finviz.com/futures_charts.ashx?t=CL&p=h1
Its like no one wants to talk about running out of storage
Sure they do and they talked it up three years ago with NG and the people that said storage would be full by Nov in Feb were fools and paid with big losses in their foolish shorts by the end of September, it was a bloodbath for the shorts in Sep 2012, go check it out. At the very least, more storage will become available that people were previously unaware of because it quit getting used. A year ago oil was in backwardation and Cushing was barely used. There is 85m bbl storage there but that's not really what matters anyway, people are just taking advantage of contango and when the storage fills, contango will drop. Last year they were talking about how it would take scrapping storage for the market to get into contango again but no one counted on the dumping of oil by the ME which is what is causing the storage fill.
What happens is that the ships will be turned away and the spread between WTI and Brent will close, with either Brent falling or WTI rising. What you people that continue to focus on storage fail to look at is that US production has risen way more than imports have fallen.
Hey, when you never use the commodity and make money from trading the same contract 10,000 times, fundamentals don't matter.
All that matters is that you can sell the contract for more than you bought it for, then short that same contract, then buy it again.
Everything is bullshit....
Everything is great when Yellen is part of your team...
Everything is bullshit...
Everything is yours when the middle class is set up to ream...
markets are very confused about oil. turmOIL. it will sort itself out over next 3 months. after the largest and fastest drop EVER, yea things are choppy...
some perspective on yesterday's move
http://bullandbearmash.com/chart/wti-oil-daily-moves-higher-supply-data-...
the reality is that pumping oil at $50 per bbl is still hugely profitable for many
historically, oil has moved between $15 and $30 per bbl and now that "peak oil" is now seen as a lie, this is where oil is headed
with oil at $50 per bbl, rig techs may not be getting paid $200K anymore
orangegeek,
Pumping oil at $50 per bbl is hugely profitable for many. Do you mean the USA? Because if you do, I'd like to see some data and not just a press release from an executive talking his book.
only idiot is who follows the nonesense on zerohedge with oil comments.....this has proven to me this siteis horiibly biased
Now that this pattern has been conditioned into the market, risk reward in favour of a moonshot today.
Oil is going to $40. Forget all the noise. https://www.youtube.com/watch?v=J2AXtsnMjtc
the oil work here is horrible...any fool can see the inv build is seasonal made worse by strikes and strip....yet bozo keeps with sensational headlines
facys is prd has been FLAT SINCE LATE DEC....does tyler pt this out? No/.....
Today crude goes to 52.
lol at all you oil bugs.
every time there is a little dip in crude we get to hear about it at Zero Hedge...why, because it's the only thing that has corrected of late and *could* be thought of as bearish, well, the big crash is probably finished or close to it, and stocks kept powering on, so obviously one of the two is wrong and it appears to be crude traders
The Saudi plan in action - this shows that it was not anti-Russian but rather anti-Fracking in the US. Now the Saudis get to sell THEIR oil at higher world prices while US frackers get squeezed even more. But this is just the 'free' market???
When storage is full, all dumpers are fucked. The pipeline system is what the refineries are tied to and ships can sit out and wait if there is no storage, they will be turned away and the oil that has been dumped on the market will have to be dumped somewhere else.