Crude Volatility Continues

by George Belekos, KPI Bridge Oil
Wednesday July 6, 2016

The overall trend continues to be volatility. 

During the morning hours continued fear over global economies had the dollar rising pushing oil markets lower.

Additional impetus was created by the perceived US gasoline oversupply, it is being heavily reported that tankers are awaiting discharge and shore tanks are overflowing with gasoline.

During the day, however, doubts about Saudi Arabia’s real reserves balanced the oil markets, after the NYMEX close the overnight has continued to climb.

API inventories reported today show a draw of 6.7 million barrels of crude in the USA.

The bunker markets direction tomorrow is expected to be largely determined by EIA’s inventory statistics released late this week due to the holiday.

Expectations are for a draw of 2.5 million barrels of crude.

Bunker markets were mixed today.