Oil is due for a relief rally and it looked like one was coming earlier today after the shutdown of the Keystone pipeline but sellers attacked the rally and a $3.50 jump was wiped out (and more).
That put the settlement at the lowest since last December when omicron was spreading and a Russian oil price cap wasn't even contemplated.
The drag for the oil market is growing worry about a recession and the idea that central banks have overtightened. Circularly, the fall in oil prices also reverses inflation, helping central banks.
There is some support at $70 because that's when the White House talked about refilling the SPR and that could set off some alarm bells at OPEC. Technically, the $62.43 level from last December is also one to watch. The way crude is going, it might not take long to get there.
