Another staggering increase in crude oil supplies swelled inventories to levels not seen since 1990, but the response of prices was surprisingly muted despite the bearish data. Crude oil futures bounced back from early losses today, preferring to follow the stock market, rather than supply and demand fundamentals.
It was hard to cast the weekly Petroleum Inventory released this morning as anything but bearish. The government reported crude supplies up 5.6 million barrels in the latest week. Though analysts surveyed earlier expected just a 1.9 million barrel hike, the bigger increase was not a big shock, because the American Petroleum Institute's survey on Tuesday afternoon put the build at 6.5 million barrels.
To read Bryce Knorr's complete weekly energy review, click HERE.
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