Gartman Says New Sources of Supply and Low Demand to Blame for Low Oil

Usually when there is trouble in the Middle East, oil prices spike. However, despite recent airstrikes on oil refineries in Syria, that wasn’t the case Thursday. Crude held steady in choppy trading, and Dennis Gartman said the reason for the muted reaction is twofold.
“We are, in fact, creating a lot more, finding a lot more, producing a lot more crude oil here in the United States than anyone would have guessed a mere two years ago,” Gartman, editor and publisher of “The Gartman Letter” said in an interview with “Closing Bell.”
In addition, he said, demand for gasoline is down and that had been the real product driving prices to the upside.
“Demand is falling not because the economy is weakening but because we’re simply learning how to use our cars better … and we’re doing more and more of our shopping online.”

via CNBC

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.