Oil Price - June 12

dan_s · Post by **dan_s** » Wed Jun 12, 2019 8:13 am

WTI is down this morning to $51.80/bbl as I am posting this note. Why???

1. U.S. futures broke their winning streak on Wednesday, as investors turned their focus back to trade wars and their impact on the economy, after President Donald Trump reiterated his opposition to a deal with China at the present time. Trump told reporters Tuesday that he had no interest in moving ahead with a trade deal with China unless they agree to five “major points,” although he didn't specify which major points he was referring to. He once again accused China of reneging on previous commitments - something that Beijing has denied. His comments appear to reduce chance of any de-escalation of the dispute between the two countries at the G20 summit meeting at the end of month.

2. After the markets closed yesterday, API reported a 4.85 million barrel increase in U.S. crude oil inventories for the week ending June 7. The EIA weekly "guess" will be out at 10:30 AM ET.