Sentiment in the oil market can at best be described as depressed. Implied demand at the end of 2018 through mid-2019 suffered as the effects of trade tensions and the manufacturing slowdown sapped demand for refined petroleum products. Most macro forecasts are calling for oil surpluses in 2020 due to growing U.S. production, and prospects for a global energy transition are raising concerns about long-term demand. But we believe a market transition into surplus balances may not be inevitable. Backwardation continues and supply is tight Despite the negative sentiment, the oil market remains solidly backwardated, ... (full story)