The models are broken
The market is trying to get back to the pre-Covid and pre-war times, but that model is broken. A new dawn is here and the financial world needs to adapt.
Steen Jakobsen,
Chief Investment Officer
Head of Commodity Strategy
Summary: Trying to make a short-term prediction for crude oil at this stage is close to impossible. Increasingly supportive supply fundamentals have been countered by a deteriorating technical chart setup and the US-China trade related weakness. But with geopolitical and supply risks continuing to build it will take a very brave soul to go outright short the market now.