Wednesday, January 28, 2015

Oil Collapse: Build In Inventories Double Estimate; Goldman Says Sell

March WTI $45.25 down 98 cents after trading down to $44.52.
We're going lower.
From ZeroHedge:

Crude Supplies Surge To Highest Since At Least 1982
EIA Inventory build was double expectations at 8.87 million barrels...

With Total Crude Supply at its highest since at least 1982...

*  *  *
Remember how exuberant yesterday's small gains in Crude Oil were perceived to be? Yeah - that's all over, with WTI back near a $44 handle - following a large 12.7 million barrel inventory build according to API (EIA reports the 'main event' at 1030ET today - which Saxo Bank warns "a bigger-than-expected build would likely push the mkt over the cliff edge.") Additional weakness overnight is also likely due to Goldman's shift to a 'sell' for the next 3 months.