RE:RE:RE:RE:NG now down under 5 dollars and this and otherI would agree with relax. Those that think oils have had their run are falling back
to the historical pattern in their analysis. Yes in prior cycles oils peaked after a
good run and then through M& A plus exploration and drilling tended to overproduce
and drown themselves with debt and over supply.
Is that happening this time? The only threat to oils so far this time is what Biden
has been doing with the SPR. That program is due to winding down after Nov so
the oil market will start to reveal exactly how tight the supply situation really is. The
demand side has not gone away. It might be affected to some degree depending on
how much the Fed continues to push up rate increases but I suspect there is not
much more tolerance for that either.