The seeds of the next oil crisis have been sewenofficial data today will be 9 to 10 million draw.
BUT the BIG number no one is looking at is global inventory is off 30% from Jan record highs.
The market is in deficit already and the 3 yr glut headline is going to be oil supply shortage.
OPEC made the same mistake in 1999 cut into deficit with growing demand.The world was using 77 million BPD with a 10 million supply cushion.Now we have record demand at 97 million BPD and NO spare production as the OPEC 1.8 million BPD has now vanished because demand is an increase of 1.7 million BPD in 2017.Next yr oil demand will grow by another 1.7 million BPD and by 2019 the world wide demand will be 3 million BPD over full out supply taps.
Keep in mind the run to $140 in 09 was a result of only a 1 million BPD spare capicity cushion.
As of 2018 the world enters a new phase were it has never been before.That being a non man made oil shortage with no way in hell to stop it.
We are going to set new record prices in that world.I have been buying unloved Canadian oil producers because investors abandond them on two factors that have no meaning.Canadas carbon tax and the myth of a long oil glut due to the adoption of EV.
Both those events can not stop the oil crisis by 2019 that is going to last for decades.
Ignore headlines that clain "RECORD STORAGE"
The headline that matters is "RECORD DEMAND".
MARK MY WORDS!!!