Crude oil prices recovered after another shocking increase in oil inventory after traders started to focus on the fact that refiners are beginning the long road out of seasonal maintenance. The 5.0-million-barrel crude supply increase was driven by a huge 902,000-barrel increase in crude imports mainly from Canada of all places and a slight 20,000 barrel a day in U.S. oil production. U.S. oil production hit 9.129 million barrels per day, slightly above one year ago but still down from the 9.422 million barrels a day we were pumping two years ago.
During a rather informative meeting with the Bloomberg Metals Team in New York last week and also add a little information that I have gleaned from a recent interview with the Mining Minister of Chile and I think it’s time to share with you my current viewpoint on Copper.
Normally, when crude oil makes a decisive move it is usually because of oil inventories or a headline out of the Middle East. Yesterday oil moved because of healthcare uncertainty. Speaker of the House Paul Ryan may get a bit of a complex because as soon as his press conference began about the American Healthcare Act the stock market became unglued and sold off, dragging the oil market down with it.