Oil Price Stability

[Douglas Buckland + 6,308]

Okay, so the oil price is steadily increasing and everyone seems optimistic looking forward. Why is that? Haven't we been in exactly the same scenario before and have it collapse?

A few years ago we supposedly had a supply glut and OPEC cut production to shore up the price. Everything was looking rosy until prices again retreated and we supposedly became over supplied again.

Now, OPEC+ again throttles supply and prices are recovering. What is to prevent yet another presumed supply surplus and the price crashing again?

I fail to find any reason to be optimistic when this solution has been tried, and failed, previously.

Are we in a never ending 'do loop'?

[cbrasher1 + 272]

I believe this is how it works, if I may take a swing....

SA throttled back production, cutting out some of the supply glut, now along with Venezuela sanctions, no shortage, but all signs point to bullish pieces that are all positive...BUT wait, oil is up? and here comes the Permian (which played a big role in the US pumping a record 12 mbpd) with little discipline filling what has been cut and taken off market so I am not sure how long before a glut rears its head again and we return to bearish market outlook and prices trickle down again, so yes....a sort of "loop"

easy Permian, easyyyyy!!