KIT

Still the 'Most Hated Rally in History'

Mark to Fantasy allowed a return to Price chasing Price. Support the price at all costs damn the fundamentals. Reality has been put to the side for now.

If a tree falls in the forest and the market has its fingers in its ears does it make a sound?

Oil Inventory Nears a 20-Year High: Does It Matter?

>Since the market is mostly efficient if high inventories were bearish it would already be reflected in the price. But instead oil prices and stocks are rising in lockstep

Oil and Nat gas are in vast storage ( dead economy does not have use for it ). Obvious bear signal. Oil has replaced gold as a stronger play against the USD ( gold lately has moved with USD ) . Fed prints, people expect the dollar to fall so they hedge with oil futures. That how you get high price with high storage rates. You are suggesting a mostly efficient market would pay more for a commodity that is in oversupply.

You dont look for the highest price gas when you fill your car do you? If two of the four corner stations were out of gas you would have to pay more as there would be a true shortage. But what if 4 mutual funds came to town and bought all the gas in all the stations biding up the price. You would have to pay more even though there is no shortage. This is going on on a global scale with super tankers holding supply for profit..