Business

It was just last week when we said that Cushing may be about to overflow in the face of an acute crude oil supply glut.

“Even the highly adaptive US storage system appears to be reaching its limits,” we wrote, before plotting Cushing capacity versus inventory levels. We also took a look at the EIA’s latest take on the subject and showed you the following chart which depicts how much higher inventory levels are today versus their five-year averages.

Via Dana Lyons' Tumblr,

An indicator based on the first hour versus last hour of stock trading has undergone a shift similar to those seen at the prior 2 cyclical tops.

With algos not exactly enthralled by their initial several million reads of the key soundbites in the Yellen speech, they - along with carbon-based traders - are looking for guidance elsewhere. One place they traditionally go to is Fed mouthpiece Jon Hilsenrath, who unfortunately appears to be out of the loop lately, and the best he could do was underscore what the market already noted.

The Central Banks are getting desperate. The interventions are so obvious now you’d have to be on drugs not so notice them.

On Monday afternoon, at 3PM “someone” stepped in to prop up stocks. They did it again yesterday at 10AM. These were obvious interventions.

How do we know this was intervention and not real buying?

Because no real buyer guns the markets 20+ points higher in a matter of minutes.

WTI Crude futures are tumbling as Yellen's prepared remarks offered little for the doves and played down growth due to "financial strains." Back in the red after some overnight hope from Europe, WTI is back to a $27 handle once again...