Pile Drive."
Oil traders piled onto the downside driving oil into bear market territory in a July crude oil future expiration sell off that will be one to remember. The market is still struggling and not even the fact that we have Tropical Strom Cindy pulling into refinery row, a major political shake up in Saudi Arabia and the fact that we are already seeing shale oil producers start to feel the pain of lower oil prices seems to be helping. We also saw supportive data from the American Petroleum Institute (API) for oil but with the mood as bad as it is, it didn’t do much to elevate prices. Mohammed bin Salman, or (MBS) as he is known, was named the new Crown Prince of Saudi Arabia and heir to the throne by Saud Arabia’s King Salman in a move that was not a surprise but does have far reaching consequences for the future direction of the Kingdom. Oil traders are already aware of MBS and his brash personality. Last April the 31-year-old basically pulled out of the DOHA oil accord, angering both friends and foes alike, as they all came to sign an oil agreement that was already agreed to before seasoned OPEC and non-OPEC ministers came to sign o the dotted line. Khalid al-Falah seems to be working better with all the players in the OPEC and non-OPEC accord. Crown Prince MBS is also the architect of the 20-year plan to get the Saudi economy off oil exclusively, leading the privatization and the initial public offering of Saudi Aramco. Bottom line MBS is a young brash, agrarian and aggressive and it may keep tensions hot with Qatar and Iran."
https://blog.pricegroup.com/2017/06/21/pile-drive-the-energy-report-062117/