WTI At 5-Week Highs As US-Iran Fighting Resumes; US Production At Record High As Cushing & SPR Hit ‘Tank Bottoms’
“The market is now clearly pricing in a direct military confrontation, while the prospect of a negotiated solution has diminished,” said Arne Lohmann Rasmussen, chief analyst at Global Risk Management in Copenhagen.
“This is a worse combination for the energy market than the situation we faced just a few days ago and even in April. Today, inventories are even more depleted.”
US Crude stocks declined for the first time in five weeks (more than expected and more than API reported) while Gasoline stocks continued to drawdown and Cushing saw a de minimus build. Distillates stocks did see a build (good news) for the first time in five weeks…
I suspect we find out soon enough whether all the “mongering “about “tank bottoms” is real or fiction