Oil Bulls Lose Heart as Mega Producers Signal More Supplies - Bloomberg:
"It’s tough to stay positive on crude when the world’s three oil superpowers are likely to increase production.
Hedge funds are the least bullish on rising West Texas Intermediate crude prices in almost seven months as American output keeps breaking records, while Saudi Arabia and Russia signal they’re getting ready to open the taps after more than a year of restraint. Together, the three countries deliver roughly a third of global supplies.
“It’s hard to get really excited in the short-term on the oil price, given that U.S. production is surging, hitting record-highs every week,” said Joseph Bozoyan, a portfolio manager at Manulife Asset Management LLC in Boston. “Hedge funds got really bullish early on in the year and it was sort of a surprise” that Saudi Arabia and Russia discussed increasing output sooner than expected."
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