Normally there's an ebb and flow in nearly every market. But oil isn't trading like a normal market. It's been up for seven straight weeks and even after the weekend easing of Iran sanctions on civilian nuclear technology, the dip was extremely short-lived.
Today WTI crude fell to $90.73 but has quickly rebounded to $92.32, up fractionally on the day.
Goldman Sachs commodity analyst Jeff Currie has been touting the bullish case on commodities for a year and today he delivered some of his starkest comments yet.
He said markets are "incredibly tight from a physical perspective" and warned on shortages of many commodities. "We are out of everything, I don't care if its oil, gas, coal, copper, aluminum, you name it we're out of it."
He highlighted 'super backwardation' in markets, something which looks like declining prices on the futures curve but signals that people are pulling commodities out of inventories.
“I’ve been doing this 30 years and I’ve never seen markets like this,” Currie said. “This is a molecule crisis."