The bulls are well and truly back in the oil market, with many analysts and traders predicting $100 oil by Christmas. But upon closer inspection, these claims appear to be driven fear and greed as opposed to fundamentals. On Wednesday, the EIA reported a huge build in U.S. inventories, 7.9 million bpd , but oil markets barely noticed. In fact, a few minutes after the EIA’s data release on Wednesday, oil prices posted a new high of $85 before breaking $86 later in the day. For oil traders who focus on fundamentals, the response from oil markets will have come across as strange to say the least. In a less bullish market, an increase in U.S. inventories of this magnitude could well have sent prices down by a few dollars – they certainly wouldn’t have soared to new highs. The same rally happened on the back of a report […]