tag:blogger.com,1999:blog-11027528911364475.post318847296704310179..comments2024-02-18T21:10:05.205-08:00Comments on EconomPic: Crude at Levels Not Seen in 16+ Years + Tiny Distillate Drop = "Shocked" TradersJakehttp://www.blogger.com/profile/07946497592651234440noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-11027528911364475.post-42823621100465078442009-04-09T10:06:00.000-07:002009-04-09T10:06:00.000-07:00thanks for the infothanks for the infoJakehttps://www.blogger.com/profile/07946497592651234440noreply@blogger.comtag:blogger.com,1999:blog-11027528911364475.post-74162264824127940222009-04-09T09:19:00.000-07:002009-04-09T09:19:00.000-07:00You must remember that the total supply is already...You must remember that the total supply is already priced into the futures contract ahead of the EIA announcement. Fluctuations in price action immediately following the announcement come from ANNOUNCEMENT:EXPECTATIONS, not ANNOUNCEMENT:TOTAL SUPPLY. However, total working inventory will come back into play as people get their heads back during the session -- which may take five minutes to a day to not happening at all.<BR/><BR/>One thing that the Reuters piece missed was the API number that came out on Tuesday afternoon. It pegged a 6.9 million barrel build, which set the stage for bearish trading ahead of the EIA number. That modified trader expectations and presumed a larger build announcement that didn't come. Boom... bullish crude impulse. <BR/><BR/>Also, wholesale inventories were down sharply in Feb according to the Commerce Department -- announced around the same time yesterday. Less of a direct driver, but still bullish for energy as it was considered by many to be an opening for new orders with corresponding increased industrial demand.Anonymousnoreply@blogger.com