Hedge Funds Are Quietly Piling Into Oil | OilPrice.com

Hedge Funds Are Quietly Piling Into Oil | OilPrice.com:

Two weeks ago, hedge funds were selling off oil, taking their profits on an oil price rally that came about due to hopeful U.S.-China trade deal talks (disappointed again) and the sentiment that U.S. shale production will be slower next year and that OPEC will further cut production. 


Now, they’re back into buying, and they’re playing the stability range.

Reuters columnist John Kemp noted that profit-taking the previous week had subsided, and last week had seen futures and options worth 144 million barrels of crude in six contracts. 

All told, Kemp said, citing commodities records, six out of the past seven weeks have seen portfolio managers buying more heavily into crude. In total, they added over 290 million barrels to their portfolios during that period.