Tighter Supplies Driving Oils to the HIGHS of the year

Oil rose to the highest intraday price this year as slowing flows from Russia, production cuts by OPEC+ and falling US inventories pointed to a tightening market.  West Texas Intermediate rallied above $82 a barrel, bolstered by a broader relief rally triggered by signs of moderating US inflation. Russian shipments slid below 3 million barrels a day for the first time in eight weeks, after Moscow vowed to cut production. And, in the US, oil inventories at the key Cushing, Oklahoma, storage hub slid for a sixth week to hover near the lowest since January. Oil prices are likely to “move a bit higher from here as a result,” said Rob Thummel, a portfolio manager at Tortoise Capital Advisors.

Crude has rebounded from the 15-month low seen in March, after the Organization of Petroleum Exporting Countries and its allies cut output. Traders are also sticking to the view that Chinese demand will pick up. In the Middle East, pipeline flows from Iraq’s semi-autonomous Kurdistan region remain halted. The commodity’s strength is also reflected in measures tracking the oil market’s structure. WTI’s prompt spread — the difference between its two nearest contracts — is trading near 9 cents in backwardation, the highest this year on a closing basis. NN: Its a binary trade. $120 oil here we come.. and if you stuck to your guns and had the 3 things to throw at this trade your dancing a JIG. What are these 3 things you might ask. Why its the 3 B’s. BRAINS ,BALLS AND BUCKS!!