First in was Mosul and then Tikrit getting into the heart of Iraqi production areas. Iraq is vowing to retake the cities, but without the help of U.S. airstrike the retreating Iraq army may have a difficult time.
The oil market is getting foggier as the American Petroleum Institute reported 12.4 million barrels drawdown in supply. The market seemed to sense what was coming as the market rallied into the number and exploded afterwards. Yet this shocker caused a massive rally.
While the market is initially celebrating a historic deal with Iran there may be other geo-political risk factors and doubts that may subdue the celebration. Oil traders are giddy because they believe this will open the door to more Iranian oil.