There is a disconnect between what analysts are saying about the economy and market fundamentals and the amount of buying in the market the past couple of days. While it is true that first time unemployment claims were down 31,000, the four week rolling average is still the highest in ten months. The economy hasn't sufficiently improved to significantly decrease the jobless rate. What is incontrovertible are the high levels of supply and the low levels of demand. As we approach the end of the summer driving season, supply is abundant. However, for the second straight day prices went up.
Today, crude +87¢, $73.36; gasoline 4.46¢, $1.9085; distillate +3.86¢, $2.0092.
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