From Porter Stansberry in Stansberry Digest:
Here’s a view on the situation in crude oil I (Porter) think you’ll find interesting… and you won’t find anywhere else.
In early 1983 – the first week of February, to be precise – inventory of crude oil in the U.S. reached an all-time economic high. I say “economic high” because nominal supply of crude oil has since far surpassed its 1983 number. In fact, current U.S. crude oil inventory (504 million barrels) is theactualall-time high. Supply today is about 150 million barrels more than total supply in 1983.
Obviously, we have a lot more oil in storage than we’ve ever had before – about 40% more. But nominal supply numbers aren’t as important as you might think. Demand for crude oil in our economy has grown a lot since 1983.
To make a bona fide “apples-to-apples” comparison to today’s supply glut, we should…