As WTI Crude tests new lows this morning (Dec contract $45.32) after API reported a huge build...
Brent resumes downward trend, briefly dips below $48 to lowest level in over 2-weeks. WTI extends drop toward $45 after API reports larger 7m bbl increase in U.S. crude inventories.
"API showed another huge build in crude stock yesterday -- now markets are awaiting today's official EIA report for confirmation of the trend," says Global Risk Management oil risk manager Michael Poulsen.
Related: Day Of Reckoning For U.S. Shale Will Have To Wait
"Refinery utilization continues to be low due to maintenance season; could be a reason for the larger-than-expected build"
WTI at 3-week lows...
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...we can't help but wonder "what happens next" in Dow Transports as the exuberant index has decoupled from oil for the 3rd time in a week...
Related: The End Of The European Refining Boom Or Just A Pause?
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Related: Is Oil Trending? How Twitter Influences Oil Price Volatility
Is third time the charm?
There is only one problem!!
Gartman on WTI CRUDE OIL:
The Contango Widens and Trend Lines Are Broken: We were fortunate enough to have exited long positions, now we have to find a point at which to enter from the short side for we fear that this could get very, very ugly and do so very, very quickly.
Charts: Bloomberg
By Zerohedge
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