Tuesday, May 03, 2016

Things that go bump in the night.

The dollar is the weakest it's been all year. Yet oil inventories are a mere 1000 barrels from an all time high. We are barely drawing at all.

Normally a weak dollar makes oil prices rise and inflation start to stir. But there is just so much inventory. They are going to have to start setting refineries on fire I guess. Or have some unexpected maintenance.

Who knows what will happen in this broken feedback loop.

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