It has been an event-filled day. Crude briefly jumped over the $80 barrier before settling barely below this marker. Gasoline and distillate followed suit for price levels not seen since early August. Just to emphasize the direction of the market, Brent futures settled at $82.36 on the I.C.E.
Obviously, the stock market rise has given some impetus to the commodities market but events in the economy seem to be mirrored by fundamentals in the oil markets. However, 2 revisions of the GDP are worrying because there may be some effort to manipulate the markets this close to the elections just as there are rumblings that the Fed's easy money policies are allowing companies to buy stock relatively easily.
U.S. GDP was revised upward to 1.7% from 1.6% but the original estimate was 3.7%.
Gasoline demand did grow 6.1% to 9.38 million barrels daily. There was a draw on crude inventories of 500,000 barrels. More telling was the draw on gasoline of 3,500,000 barrels.
For the month, crude +$8.18, $79.97; gasoline +15.54¢, $2.0448; distillate +24.96¢, $2.244.
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