Post-election, small caps got pumped, then dumped. Banks pumped and dumped. Treasury bond record shorts, record annihilated. Coal and iron ore, six month lows. Agricultural commodities at multi-decade lows. This week it was Oil's turn.
What was all this for?
Another Wall Street pump and dump:
Sell/buy ratio:
The last remaining reflation fantasy is that the very recent draw-downs in crude oil inventories prove that OPEC's production cut was working. There is only one problem with that dunce narrative - seasonally, oil ALWAYS draws down post-April as refiners switch over to the summer blend:
Meanwhile, Oil always follows commodities with a lag
And commodities follow China
But who would know better about the prospects for oil, than Energy stock insiders, I mean "investors"
Hedge funds may have just liquidated the most longs ever, but they have a long ways to go...
Meanwhile, U.S. production keeps climbing, as falling oil prices has yet to affect rig count:
In summary, it turns out that elevated prices and non-stop bullshit didn't fix the oil glut...
Rinse and repeat...
Fracking stocks
Rinse and repeat...
Fracking stocks
