RE:IMOMany here don't like to think about it... but it is possible a MASSIVE RECESSION keeps oil prices moderate given (and despite) the tightness you mention. USA mortgate rates are at 7%!!! And this is just the start. Think about that.
marketsense wrote: Well it is a fact that American producers either can't or won't increase supply and
neither will Opec. That means other than Biden continually draining the SPR, there
is a world supply deficit. The industrialized world as we know it runs on both oil
and energy. There is no escaping that reality. As for China, their regime is totally
unreliable and changes their narrative to suit their agenda. They are on again off
again like a chamelion who changes its colours to reflect its mood.
Bidens use of the SPR is like the Fed trying to manipulate the economy with interest
rates. It's effective for only so long and then as the negative consequences of their
actions take hold, the net result will be as bad if not worse than before. In summary
oil deficits are not going away and Biden with his actions are guaranteeing it. After
all there is a finite limit to the SPR and once its exhausted, then what?