Dennis Gartman did nothing wrong. His call for a top in crude is looking good today, with oil down sharply after EIA data showed a bigger than expected build in distillates. Essentially, people are using less gasoline and other refined products.
EIA Petroleum Inventory Data
The EIA reports that for the week ending Dec 2:
Crude oil inventories had a draw of -2.389 mln barrels (consensus called for a draw of -1.032 mln barrels)
Gasoline inventories had a build of +3.425 mln barrels (consensus called for a build of +1.948 mln barrels)
Distillate inventories had a build of +2.501 mln barrels
WTI is on the brink of breaking $50. Again, this is fucking nonsense, since WTI is up 20% over the past week — ever since the Saudis jimmy-rigged prices higher.
Our area is losing 86 jobs next year due to the closing of Alabama Metal Industries. They are closing three other production sites. These were $16.50 to $30 an hour jobs. These sties make bar grating which is used by domestic oil industries. Because domestic oil production costs cannot compete with foreign oil, there is no longer a demand for the grating product. Even though these plants have been profitable and well-run, it is easier to import than buy domestic.
You just wrote piece on Gartman shoes and now say he didn’t do anything wrong!
Dr. Fly has an uncanny ability to walk and chew gum at the same time.