The level already was tested on August, 10, but the breakthrough has not succeeded triggering the further 7.2% plunge of Brent prices. Will it be the same scenario this time? Not a sure thing.
Harvey played its role in Brent rise – it make take time before the refineries, pipelines and ports knocked out by the hurricane restore the normal capacity. By the time of writing, about 20% of daily refining capacity was shut.
And there is another test for American refineries in store, as Hurricane Irma of Category 5 is moving towards the Caribbean and Florida with potential to knock out some more refineries.
Today, the American Petroleum Institute ( ) storage data is released, and it may prove that Harvey had a disastrous impact on the fuel reserves. If the number is sharply below expectations, it may drive Brent higher above 53.60 resistance targeting 54.30 initially.