“So why did oil prices go from spiking to plunging?
Some argue that oil bulls, including hedge funds, had become excessively bullish.
Egged on by Saudi Arabia’s supply cuts, they piled in to make bets that prices would go higher and higher — even though fundamentals didn’t justify it.
“A lot of speculative pressure is being let out of the tyres,” Matt Smith, lead oil analyst for the Americas at Kpler, said.
“It was stretched taut like a rubber band, hence a couple of bearish triggers caused price to snap back in short, sharp fashion,” Smith said.
The latest trigger was a US government report released on Wednesday that showed petrol inventories unexpectedly soared last week.”
So, Saudi Arabia managed to maneuver themselves into this spot where they not only are missing out on sales by cutting back their exports, but they are getting less for each barrel. And guess what happens when they start pumping more?
I remember the first time oil hit this price. Gas was like half the price it is now.
So… they could have been low this whole time?
More EV’s.
More renewables.
Bankrupt the fuckers.
It doesn’t matter what the global market is doing. It has absolutely zero effects in California. Seems like the refineries have a constant amount of maintenance that has caused us to pay 6-7 per gallon. Release the winter blend now. It’s usually cheaper…. The fact that we have a winter and summer blend makes me chuckle.
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“So why did oil prices go from spiking to plunging?
Some argue that oil bulls, including hedge funds, had become excessively bullish.
Egged on by Saudi Arabia’s supply cuts, they piled in to make bets that prices would go higher and higher — even though fundamentals didn’t justify it.
“A lot of speculative pressure is being let out of the tyres,” Matt Smith, lead oil analyst for the Americas at Kpler, said.
“It was stretched taut like a rubber band, hence a couple of bearish triggers caused price to snap back in short, sharp fashion,” Smith said.
The latest trigger was a US government report released on Wednesday that showed petrol inventories unexpectedly soared last week.”
So, Saudi Arabia managed to maneuver themselves into this spot where they not only are missing out on sales by cutting back their exports, but they are getting less for each barrel. And guess what happens when they start pumping more?
I remember the first time oil hit this price. Gas was like half the price it is now.
So… they could have been low this whole time?
More EV’s.
More renewables.
Bankrupt the fuckers.
It doesn’t matter what the global market is doing. It has absolutely zero effects in California. Seems like the refineries have a constant amount of maintenance that has caused us to pay 6-7 per gallon. Release the winter blend now. It’s usually cheaper…. The fact that we have a winter and summer blend makes me chuckle.