| It has barely been a few weeks into the new trading year and the Brent front month oil futures contract is already down by over 11% on its opening level for 2 January. Together with the WTI and OPEC basket of crude oil, the global proxy benchmark is well below $50 per barrel with airwaves and internet forums full of chatter about new “six-year lows.”
In more ways than one, the sense of false shock and horror expressed by some commentators is mildly amusing. Saudi pricing strategy coupled with leading oil producers pumping out more and more of the crude stuff have made yet newer record lows all but inevitable until a supply correction kicks in at some point around the midway point of this year...............................................Full Article: Source
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