Just turn off the news……
“Davidson” submits:
Each week crude inventory reports are met with salacious headlines. It did take me a period to understand first that this was not a true response to data being misinterpreted because I believed analysts expressed their true beliefs. Later on, after much studying the data vs headlines, I came to the conclusion that it was pure “click-bait” to drive advertising revenue. It is the equivalent of saying “The sky is falling” with the follow up, “I made them look, so pay me!!”. Traders continue to tout various forms of catastrophe in the media to generate favorable trading activity as opposed to the facts of the actual US Oil Situation.
I find this behavior throughout the media these days in an effort to spur viewership and advertising revenue with the Internet now providing many alternatives true and imagined analysis. It is what it is.
This week’s data continues to reflect a stable crude supply trend. The continued low rig count reflects the efficiencies using rigs to drill longer laterals resulting in more crude production with less cost.
Article by ToddSullivan, ValuePlays
