Column: Hedge funds’ bullishness on oil ebbs away: Kemp | Reuters
Hedge funds sold petroleum for the seventh time in nine weeks, as rising coronavirus infections in the major oil-consuming markets dampened hopes for an early resumption of long-haul passenger aviation.
Hedge funds and other money managers sold the equivalent of 40 million barrels in the six most important futures and options contracts in the week to Aug. 17, taking total sales to 253 million barrels since June 15.
In the most recent week, funds were sellers across the board of Brent (-25 million barrels), NYMEX and ICE WTI (-9 million), U.S. gasoline (-3 million), U.S. diesel (-1 million) and European gas oil (-3 million).
Most sales were profit-taking on existing bullish long positions (-28 million barrels) but there was also some new bearish short-selling (+12 million), as the outlook for oil consumption in the second half of the year worsened.
No comments:
Post a Comment