There are many higher dollar per barrel projects being mothballed, below 60 there are many. Opec can’t cut production fast enough, and many countries are close to civil unrest due to lack of oil revenue. Also the recent plunge is changing peoples habits that the $4 a gallon seemed to curb.
OTOH, Economic activity is grinding to a halt and job losses mounting with no end in sight. Consumption is dropping like a rock.
X factor 1: How cold will it get this winter? This matters.
X factor 2: Any oil related “event” could double or triple oil over night
X factor 3: Monetary-Hyper inflation/currency crisis
Richard Rainwater billionaire energy investor just dumped like 300 million back in @ $70ish. He was one of the contributing factors of why I dumped back in July.
When equilibrium is met oil will rocket up with a quickness.
