WTI Crude Plunges Back Below $30 - Gives Up All "Production Cut" Hype Gains
As traders slowly (and then quickly) woke up to the fact that a "freeze" at record levels of production is not a "cut", WTI Crude has collapsed over 5% from its hope-stricken illiquid highs of early trading - now back below $30.
As Barclays warns:
- OPEC OUTPUT FREEZE WOULD LEAVE 1Q SURPLUS OF 1M B/D: BARCLAYSOIL UPSIDE LIMITED EVEN IF OUTPUT FREEZE SUCCESSFUL: BARCLAYS
And the reaction to reality...
And this is taking the shine off the equity market exuberance...