Oil Doubters Mount a Comeback as Rally Stalls on Global Worries - Bloomberg:
Hedge funds reversed course on oil just in time, plowing back into bearish bets as crude skidded into a wall of economic worries.
In a shift from four weeks of retreat, short-sellers boosted by 28 percent their wagers that Brent prices would fall in the week ended Feb. 5, according to data released Friday. That overshadowed the belief in rising prices, as investors weighed an OPEC supply cut against signs of weakening demand growth.
Brent’s rally has fizzled this month after the global benchmark gained 15 percent in January. Record U.S. shale drilling is threatening to offset the output cuts by Saudi Arabia, Russia and other top exporters. The economic picture also grew dimmer this week, with American and Chinese negotiators looking far apart on trade talks and disappointing data from Germany to Australia to the U.S.
No comments:
Post a Comment