What Is Driving the Oil Market?

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Nov. 22 (Bloomberg) -- Bloomberg's Alix Steel and Tom Reilly, broker at SCS Commodities, put futures in focus with a look at the factors driving the price of oil in "On The Markets." They speak on Bloomberg Television's "In The Loop."

We had the inventory numbers coming out.

That kind of turned things around.

We had brent lead the way higher.

That has been up.

We got back above 95. we are getting back almost one dollar.

Talk to me about the significance of the oil inventories.

They did - up, but not as much as estimated.

Does that -- they did build up, but not as much as estimated.

The number that shocked people was the heating oil draw that they saw.

As we get another draw next week and the week after, that could give some surprised -- some support to the t.i. price.

Are you seeing a lot of longs come into the market on that possibility?

Not as much as you would think.

This market is range bound between 90 and 98. we have been there for the past reminds or so.

We will get to 97 over the next few weeks.

If we get down to 90 is up or discussion.

We will get to 97 and selloff rum there.

Are you a seller on rallies?

You can buy at 91 and sell at 97 and you can do that a few times before the spring happens.

What is the correlation to brent wiright now?

Brent will react much to wrongly -- much more strongly to any kind of iranian deal.

If any news comes out of iran in a negative way, you will see brent take off higher than crude.

What is the correlation to the dollar?

Have we really broken it or will we see it track as the u.s. economy gets better?

It will track more closely to what the overall economy is doing.

The way it used to track, the dollar was not going to do that anymore.

Tom, thank you so much for

This text has been automatically generated. It may not be 100% accurate.

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