Concerns over Libya, Nigeria compounding the already record high global crude surplus (glut) has sent WTI Crude futures to $43.50 – one-month lows…
Stocks are ignoring crude’s collapse for now…
As Bloomberg notes, OPEC members Libya and Nigeria, whose supplies have been reduced by domestic conflicts, are preparing to boost exports within weeks. The oil surplus will last longer than previously thought as demand growth slumps and output proves resilient, the International Energy Agency said Tuesday.
“Oil prices keep trading in a narrow range,” said Michael Poulsen, an analyst at Global Risk Management Ltd. “A short spike yesterday is erased this morning as supply glut worries rule.”
World oil stockpiles will continue to accumulate through 2017, a fourth consecutive year of oversupply, according to the IEA. Just last month the agency predicted the market would return to equilibrium this year.
via http://ift.tt/2ctRycB Tyler Durden