The Zen LadyWhen Cushing's oil inventories drop below 20 million barrels, they can "effectively" hit empty, that can have ripple effects on economy, as West Texas Intermediate oil is priced and warehoused in Cushing.
"Like blood pressure in the human body, the issue is circulation," Natasha Kaneva, the head of commodities strategy at JPMorgan, told CNN. "The system does not fail because oil disappears. It fails because the circulation network no longer has enough working volume."
Alarms sound as America's biggest oil hub dangerously close to a tipping point: report
An American oil hub that dubs itself "the pipeline crossroads of the world" is running dangerously low amid Trump's Iran war, CNN reported.Cushing, Oklahoma, usually stores about 40 million barrels of oil and has a capacity to carry up to 75 million. However, Cushing is holding just over half that a...