Oil Prices Ignore the Warning Signs in Physical Markets
Oil price movements since the start of March this year have become the topic of dozens of discussions. Many have been puzzled by futures prices and why they haven’t gone through the roof given the severe disruption in Middle Eastern supply. It appears the reason is sheer optimism and a bet on market
Source: OilPrice.com
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DW NOTE
WTI is at $79, down 30% from its yearly high. The physical market signals in the article apparently don't matter — the price is being set by macro flows, not barrels. Oil hasn't traded on fundamentals since central banks turned energy into just another rate-sensitive asset class.