Oil producers

After years of being oil's biggest cheerleader, "oil god" Andy Hall, who starting with the OPEC Thanksgiving massacre in 2014 has had several abysmal years, in the process losing the bulk of his AUM, finally threw in the towel last week when in a July 3 letter to investors, he admitted that "the facts have changed" and that "fundamentals have deteriorated significantly" adding that "demand growth seems to be somewhat less than anticipated while supply keeps surprising to the upside...

Authored by Gail Tverberg via Our Finite World blog,

Submitted by Irina Slav via OilPrice.com,

A report by the Stockholm International Peace Research Institute has revealed that most of the world’s nations hiked their military budgets last year, marking the first increase in spending since the 2008 crisis.

It seems that the only ones not taking part in this military spending hike are some of the world’s biggest oil producers.

Submitted by Gail Tverberg via Our Finite World blog,

A person often reads that low oil prices–for example, $30 per barrel oil prices–will stimulate the economy, and the economy will soon bounce back. What is wrong with this story? A lot of things, as I see it:

1. Oil producers can’t really produce oil for $30 per barrel.