CNN Breaking News: Crude futures rally after bigger-than-expected decline in gasoline inventories.

the report was ultra bullish on gas and pretty bullish on everything else yet crude is down 63 cents and moving down 20 minutes later. I don't understand what this sell off is about

You're looking at a 30-minute delayed quote.

CNN is now reporting that the rally was short-lived:



However, gasoline set a new record. Could traders be cutting the tie between gasoline and crude oil now?

Lot of times there is a little delay.....

Check back after lunch when everyone has had a chance to think about it.

http://chart.bigcharts.com/custom/usato ... symb=CRUDE

Can you guess when the report came out?

At the end of the day you are looking at an above average gasoline draw but still during a period of the year when gasoline is expected to draw.

Crude stocks are building contra-seasonally, not surprising in my opinion but that's another story.. andf stocks are huge.

Heat/Distillate... this is looking quite healthy for the 4th qtr at the mo, stocks are well above seasonal average and have built at rates exceeding expectations.

I would not read these stats as ultra bullish even though I am bullish in the medium term. This market is due a quick correction and this would apprear to be it

CNN's article now claims that the reason prices dropped after the initial rally is that traders are looking to next week. They expect that next week, the report will be better, and oil imports will increase.

I thought these folks were short term analyst. If there going to use next week mentality they should change it to a monthly report.

So they read the results from this week, and think buy, buy, buy!

Then they read a bit further and see the projections for next week and based on that they go: sell, sell, sell!

That is a very good way to get rid of your money very fast

offtopic: is it just me or are these forum posts a day off?? Last i checked today is the 17th... god i hope so or i'm late for work! lol

change your profile settings to get the date to match up to where you are.

I just read that the drop in oil prices was likely the result of concerns about demand destruction caused by the high oil prices. Some hedgefunds got out.

The American Petroleum Institute reported that oil demand in July dropped 3% compared to July 2004.

Demand meets Supply, proof that the system works!

Now, we need to see alternatives kick in.
And yes we are in Brazil where ethanol are aplenty.
Also, EU starting to use bio-oil in a mixture with diesel!
US has same thing- blended bio-oil and blended ethanol gasoline.

Oh yes the system is working perfectly.

Yeah, right.