Man plans, God laughsMigraineCell: Excellent post on "the makret knows"
The paragraph that jumped out at me was this:
"It knows Biden can't buy oil at $72 now as he said he would, as he must first complete or cancel the 30M bbls of Congressional mandated SPR sale releases for 2023. SPR pipes do not run in both directions at the same time. The next SPR releases are not so much of an issue, as they are mostly light sweet, not what refiners want."
When push comes to shove the two things that we can count on are that the politicians will almost always get it wrong and they will always do what they want regardless of how much damage it does.
As MigraineCell pointed out, what is going to drive oil prices higher before Biden punches out (or cancels) the final 30mm bbls and then buys back enough oil to replenish the SPR to some degree if not fully???
Now that OPEC can no longer count on Russia as a legitimate bargaining chip for defense (the Russians have been using Iranian drones and North Korean munitions for heavens sake), who is going to oppose lower oil and gas prices as the world is trying to tackle inflation?????
Unless we get hit with another black swan event, I'm guessing that it is going to take some time before we see higher oil prices.
But what the heck do I know. I certainly wouldn't listen to me as I dont have a clue as to what is going to happen with the price of oil at any given time. Oil is the poster child of: "Man plans, God laughs"