The futures markets are solidly coming into a contango structure, where today’s oil prices are cheaper than prices in the future, a sure sign of current oversupply.
The jig is up for non-committal cartel members
Lately, more analysts are questioning whether OPEC’s current strategy is headed to success or failure.
Shorter heating seasons might call for short-term hedging strategies
Hedging experts talk about shifts in fuel specifications, prices and degree days
Price wars could resume once cartel stops trying to limit output
Game theory demonstrates the incentive for members to cheat
Multiple aspects are improving in new price environment
El Niño is out, and La Niña is in, suggesting improved chance for HDDs
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