Why aren’t oil prices higher? Staggering drop in energy demand leaves strategists puzzled.
https://www.yahoo.com/finance/energy/article/why-arent-oil-prices-higher-staggering-drop-in-energy-demand-leaves-strategists-puzzled-100000046.html
Posted by helic_vet
2 Comments
“so extraordinary that it naturally invites skepticism, particularly given that the global economy grew above potential during the first half of the year,”
Was growth that big though? Strip out AI investment, and how much growth was there really? We can’t look at these top-line numbers, particularly in the US with the most backward administration in generations, and expect to understand what is going on.
There have been some sources on this. Basically China cut demand by a ton.
How? They have been buying Iranian and Russian crude for years using their currency to get around US sanctions and stockpiling it.
So they are right now burning Iranian crude from the prior 20 years.
Amusingly this has hurt Iranian pressure on the US.
They are probably doing it to keep their export market from collapsing.