WTI Slides Back Below $78 As Gasoline Demand Plunges

Refinaria da JX Nippon Oil & Energy em Yokohama, Japão 07/02/2017 REUTERS/Kim Kyung-Hoon

AssessmentCushing crude stocks grew another week, making it now two months of growing inventories at the commercial storage hub. The storage depot is now sitting at the largest volume since July, after the biggest increase since February …

In 2021 the reverse-Robinhood wealth transfer mechanism better known as the Federal Reserve destroyed what little credibility it has by claiming, arrogantly and foolishly, that inflation is transitory for months and month, only to see inflation keep rising in a very non-transitory fashion, until one day Powell bit the bullet and admitted that the Fed – and assorted macrotourist hangers on – had been dead wrong all along and it was now time to “retire” the word “transitory.”

So having learned absolutely nothing from 2021, and eager to continue exposing its career academics in charge of the world’s biggest economy as a bunch of idiots, on Tuesday the New York Fed released a new index meant to evaluate the pressure on global supply chains. The Global Supply Chain Pressure Index (GSCPI) surged early in the pandemic when China imposed lockdown measures, but pressures eased as production resumed , then picked back up during the winter of 2020 as COVID-19 infections jumped.

The good news: the historically high pressures on global supply chain networks that have contributed to shortages of key goods and materials and a surge in inflation – the same inflation that the Fed claimed all along was “transitory” mind you – may have peaked.

Airline staffing shortages and weather disruptions forced thousands of flight cancellations over the past two weeks appear to have impacted product inventories dramatically, along with the plunge in gasoline demand…

US gasoline demand fell by the most since April 2020…

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