After the US Federal Reserve took no action yesterday, markets were clearly disappointed, but selling was minimal as hopes remained that the European Central Bank would act today. Stocks and Commodities across the globe were up before Mario began speaking, and while he made it clear that the ECB intends to act, the reality that there would be nothing done immediately has just sent shockwaves through the markets.
RBOB and HO prices have fallen 3.5 cents in the past 10 minutes, as stocks have dropped around 1 percent on the – lack of – news.
Yesterday’s DOE report showed that the US Export market remains capable of offsetting weak domestic demand, despite refineries running at high levels to take advantage of big cracking margins. Watch the $2.90 level as the next major hurdle to the upside, with support coming in lower on the charts in the mid $2.70s.