www.zerohedge.com BY TYLER DURDEN
With oil slumping into a deep bear market, tumbling (briefly) below $100 yesterday and just shy of where it traded before the Ukraine war, the Biden administration is preemptively declaring victory: after all, between sliding oil prices, refineries finally working in lockstep and spreads collapsing, it’s no surprise we have seen gasoline prices drop for the past 22 days, the longest stretch since the covid depression.
Average gasoline price in U.S. has been declining for past 22 days … most recent daily drop was largest since March 2020 pic.twitter.com/A2Vz7sAJMo
— Liz Ann Sonders (@LizAnnSonders) July 7, 2022
Sadly for Biden, this steep drop in both oil and gasoline prices is unlikely to stick, and not just because the fund liquidation that sent oil so sharply lower is in wild contrast with the wildly bullish dynamics in the physical market where the prompt WTI spread surged higher on Wednesday, climbing by the most in four months and hitting the highest in recent history.
