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4,687 Posts.
599
20/04/20
11:49
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It's quite obvious.
The reality is you can throw stimulus to keep balance sheets up, but that does nothing to address the physical issue.
The supply/demand curve is completely out of whack. The oversupply of oil a the moment is multiples of what demand is.
You don't just "re-open" economies as people think. It will take months, this imbalance isn't going anywhere.
So this now begs the question, what happens when you reach capacity for storage?
Countries that A - don't refine at home and B - rely on the spot price are now in big trouble.
You need to take the blinkers off.
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