What today’s oil and energy recovery tells us about what the market is thinking about the timing of an oil bottom

Bad news from the weekly report on U.S. crude oil inventories today from the Energy Information Administration. But surprisingly oil and energy stocks rallied in the middle of the day with West Texas Intermediate bouncing back to $51.66 a barrel, down 2.4%, and energy stocks cutting their loss to 0.7% after being lower by 2% this morning.