According to the chart below all of the oil is somewhere in inventory as the build up is going off the charts. We know here in the US that gasoline demand is down which would correlate in a decrease in oil but you would think that China, India or other emerging growth countries would pick up the slack. Maybe this is an indication that China is actually slowing which would confirm their recently released GDP numbers which have been in decline.
What this doesn't help explain is why gasoline prices are so high if crude oil inventories are so high. For that answer I believe that you have to look to the refiners and the reduction in refining capacity. But there has to be something else. Any ideas?
Chart courtesy of Bespoke
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