After yet another bearish day Monday, the market bounced back up a couple cents on distillates and gasoline to begin the day. Despite this, the recent trend remains bearish. There are speculations that crude can reach its intraday low on the year of $42.03 a barrel.
To make the bearish news even more extreme, it was reported that OPEC produced 32 million barrels a day in July; the highest in 10 years. This is being achieved with Iran and Libya cut back from their potential. Speaking of Iran, their oil minister says that they can boost production within one week of sanctions being lifted.
Also, Russia's distillate exports are down, which in turn helps open the arb for the U.S to export to Europe.
So as you can see above, there are speculations of the market reaching toward its yearly intraday low.