Bloomberg Surveillance · Thursday, August 13, 2026
Francisco Blanche highlighted the critical role of inventories in the commodities market, describing them as the 'glue' that holds supply and demand together. He explained that despite significant oil supply shocks over the past six months, the impact on economic activity has been mitigated by drawing down existing high inventories.
“Well, So I think the most important thing here is inventories, right, because if you think about inventories and the role they're playing commodities, that that's what makes them different than let's say, currencies or bonds or increase.”
“Inventories are are the glue that keeps the man in supply together.”
“And I would say that if you think about last six months, right, we've had this massive negative supply shocking oil and may people are surprised that it hasn't created a collapse in economic activity, But part of the reason is we have very high inventories that we've been drawing for a good amount of time.”