https://finance.yahoo.com/news/us-playing-fire-oil-reserves-165205457.html
Zahra Tayeb
Wed, September 13, 2023 at 9:52 AM PDT
The US is "playing with fire" as its oil reserves drop to a 40-year low at a time when crude prices are surging, Larry McDonald warned in a post on X.
"Queasy, indeed..." the markets guru wrote in a previous post illustrating falling US strategic petroleum reserves.
The Biden administration has been draining the SPR since the start of the Ukraine war to help cap energy prices.
The US is "playing with fire" as its oil reserves plunge to a 40-year low at a time when global crude prices are rallying again, markets guru Larry McDonald said.
The founder of "The Bear Traps Report" has taken to X, formerly known as Twitter, to warn about the steep drop in US oil inventories.
"Queasy, indeed...," he wrote in an earlier post with a graph showing a steep drop in US strategic petroleum reserves. McDonald is a former Lehman Brothers trader and the author of "A Colossal Failure of Common Sense," which chronicles how the investment bank ended up collapsing in September 2008 and sparking a global financial crisis.
The plunge in oil stocks highlights the mounting risks to America's energy security. Low domestic reserves could increase the US's reliance on imports, potentially making it more vulnerable to supply disruptions and price volatility in the global oil market.
Energy security is national security. Should not be an R or D thing. National security is in everyone's best interest.
mspart