by Steve St. Angelo
As the precious metals prices surged this year, so did U.S. petroleum inventories. While rising gold and silver prices are a positive sign for the precious metals industry, the surging U.S. petroleum stocks are extremely negative. However, the prices of the metals and energy are currently not trading based on the fundamental values.
For example, the price of oil continues to rally on the back of rising U.S. and world petroleum stocks. This is especially true in the United States. Not only are total U.S. Gasoline stocks higher this May compared to the same period last year, they are up considerably over the past decade: