Oil Climbs Most In Years As Markets Shrug Off Christmas Crash. But what about WTI overproduction?

Good update.  My only niggling point is the emphasis on cuts by OPEC and Russia, but not by U.S. Shale Oil Overproducers. 

The only thing that will slow down U.S. shale oil is lower WTI prices, which would be a self-inflicted footbullet, ... as well as then emptying the remaining bullets at other global producers oil prices due the WTI overproduction.

Also, personally, I don't see a big correlation between the U.S. government partial shutdown and oil traders getting worried.  But I tend to view oil traders as easily spooked herds who tend to follow momentum.  So I guess yep, thw shutdown probably would worry some oil traders.

Oil Climbs Most In Years As Markets Shrug Off Christmas Crash

The oil market has shown great disappointment despite OPEC’s success in agreeing to another production cut agreement with Russia, which will begin in the new year. The disappointment is a culmination of factors, but includes worry over sluggish demand growth, and skepticism that OPEC’s production cuts will be insufficient to compensate for that stunted growth. The government shutdown is also worrisome for oil traders.

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Oil traders* get worried at the drop of a pin. There's your explanation. You're welcome. I myself am enjoying the headlines and imagining what it must be like at Reuters or equivalent: while you publish an "Oil's down" story it's up and then back down again. What fun it must be!

*Present company excluded, of course.

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28 minutes ago, Marina Schwarz said:

Oil traders* get worried at the drop of a pin. There's your explanation. You're welcome. I myself am enjoying the headlines and imagining what it must be like at Reuters or equivalent: while you publish an "Oil's down" story it's up and then back down again. What fun it must be!

*Present company excluded, of course.

I care far more about global oil production than oil traders.

As far as Reuters and Bloomberg, they are welcome to read my comments here on Oil Price forum  ( I'm feeling a bit cheeky today 😆 , and besides, both Reuters and Bloomberg actually *did* follow me on the old Oilpro forum.)

Just a reminder...

 

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