Yes, and here are the reasons. Oil markets are sensing tensions around slowing global growth, an easing of the oil supply crunch, and an uncertain trajectory for China as it grapples with a Chine Covid zero policy. If global growth continues to slow and a US recession is ahead that will reduce demand for oil. Although a US recession is not a ‘done deal’ Jerome Powell stated at the Semi-Annual testimony that it was a ‘possibility’. The lingering fear is that one of the consequences of the Fed fighting inflation so resolutely will be a sharp slow down in US growth that prompts a recession. There are some beliefs in the ... (full story)