Between a resurgent dollar, surprise gasoline inventory build, surging US production, and UAE leaders questioning the oil market’s rebalancing, WTI and RBOB futures are tumbling…
This has erased more than half the end-March/early-April bounce in the energy complex.
“The glaring rise in U.S. gasoline refined product inventories, in combination with persistent lower-48 production growth, keeps us cautious on oil prices,” said Chris Kettenmann, chief energy strategist at Macro Risk Advisors LLC in New York. “We would not buy the intraday dip.”
This post originally appeared on Zero Hedge