Just when traders start to think that oil’s price can’t go anywhere but up, new data puts crude under pressure all over again. The most recent complication in rising crude prices is that the U.S.’s oil reserves are near an all time high point, about 488 million barrels. This is 105 million more barrels than what were being stored at this point last year, and it is only 2.7 million short of the all time record of 490.9 million.
This report, released by API, comes right ahead of OPEC’s meeting later this week in Vienna. Oil has been on a steady drop over the last couple years, fall from well over $100 per barrel, to hitting below $40 a couple times this year. OPEC countries benefit from higher oil prices, but Saudi Arabia—the world’s leading oil exporter—is pumping out more oil than ever before. ...continue reading