CL Redux
- Thread starter schizo
- Start date
Question: Why do you guys assume EIA report will be a bearish inventory report?
Maybe you guys are assuming the seasonal pattern whereby this part of the year witnesses a build in inventories, however, do you guys know the Houston shipping channel was closed last week and snow storms have affected supplies in these last 10 days.
Maybe you guys are assuming the seasonal pattern whereby this part of the year witnesses a build in inventories, however, do you guys know the Houston shipping channel was closed last week and snow storms have affected supplies in these last 10 days.
The storm has stopped people from driving and stopped heating oil deliveries
That is even more bullish. Not the place to start discussing fundamentals but when deliveries are not taking place, demand pressure starts increasing and so does the average price a consumer is willing to pay. What would refineries do in case of less crude coming in and less gasoline demand? This translates into both bullish crude and gasoline inv.
Anyways I strongly believe we are going up tomorrow. It would be a spike up and we would close near the open. $73 has proven to be a very strong support
Crude oil is pipelined to refineries. Not over the road. If people cannot drive then less gasoline is used. That means more gasoline sitting at refineries; heating oil too.
1)And where does this crude oil comes from? Is this crude oil drilled up in USA and immediately transported via pipelines or is imported via oil tankers from all over the world ? Guess what shipping channel and port most of these tankers use
2)If you own a refinery what would you do in case you know about below normal temperatures all over and occurrence of snow storms in the country?