[video] Quick Take: Easy-Money Yellen Good For Oil?
NEW YORK (TheStreet) -- Although crude oil inventories had a large unexpected rise, Alan Harry, CEO of Spartan Commodity Partners, told TheStreet's Joe Deaux that there're different catalysts behind the move.
While he did admit the build in inventories was bearish for the fundamentals of crude oil, the new chairwoman of the Federal Reserve should help bolster oil prices.
Assuming 'easy money' or quantitative easing continues, crude oil prices should continue to trend higher, Harry said.
But what about the debt ceiling?It's hard to trust that Congress will handle the situation correctly, but Harry suggested that many traders who sold into the event last time around got burned pretty bad when oil prices rallied. That's left a lot of sellers out of the mix and is partly responsible for the less-than-expected move lower on what was perceived as a quite bearish inventory result. He concluded that the bearish inventory builds will continue to grow in the coming weeks, until the heating oil season arrives. Video
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