Drop in oil prices only temporary?

[Looking4Ward]

I thought this was a decent article that explains how a small increase in demand would wipe out any current supply glut:

Why Oil Price Plunge Could Be Short Lived

"The market looks like it will be oversupplied by 1 million to 1.5 million barrels of oil per day next year, as long as OPEC refuses to budge. However, the supply and demand situation could shift the other way rather quickly, driving the price of oil back up before too long."

 

[aja8888]

I thought this was a decent article that explains how a small increase in demand would wipe out any current supply glut:

Why Oil Price Plunge Could Be Short Lived

"The market looks like it will be oversupplied by 1 million to 1.5 million barrels of oil per day next year, as long as OPEC refuses to budge. However, the supply and demand situation could shift the other way rather quickly, driving the price of oil back up before too long."

Yep, good article and simplistic for the complexity of the commodity. But it is true that demand shortages and threats of supply cutoff are what make the prices rise.

 

[robnplunder]

I agree with the article. The oil price can go back up in a heartbeat. Better enjoy it while it last.

Love Aja8888's signature line --- "Everybody has a plan until they get punched in the face" by Mike Tyson. I boxed in my younger days and sometimes I have to throw out the fight plan and ad lib. I miss the ad lib'ng days. Now, everything is a routine.