Oil price crash

[Tortuga]

I can feel a small sentiment shift in the market towards the positive price side. Late January when prices collapsed felt like the blow up - since then the price has rebounded quite quickly when it touched the mid to high 20's. US oil production is dropping however global growth predictions are dragging and a strong US dollar is making things harder. All I know is a lot of people are making a lot of money trading and manipulating the price up and down each day. There is no logical reason for such big price transitions intra-day. Motor Gasoline inventories should start to drop from now until end of Summer US. It would not surprise me to see Crude stocks increase a bit more. The best option is to step back and let low prices cure low prices. Cut the fat as they say.

 

[Tortuga]

Well the prices certainly improved since my last post - I just have a feeling this is a relief rally and will not last. The Saudis are not done with the attack on Shale - the last thing they want is a rebound in price that gives another sniff to bankers who are propping up struggling producers in the USA.