U.S. Crude Oil Could Be Ripe for A Short Squeeze

Crude oil inventories at Cushing have dropped to their lowest level for this time of year in over a decade, suggesting that a short squeeze could be coming for the bearish portfolio managers who have amassed a lot of short positions in U.S. crude oil futures. The falling stocks at the hub providing the physical delivery mechanism for the NYMEX WTI futures contract may have already started to unnerve traders who had turned extremely bearish on U.S. WTI Crude by the middle of January.     But in the latest reporting week to January…