.png)
Oil trades have not exactly shot the lights out this year, with the bulls getting kicked more times than a pigskin at the Super Bowl in a highly fickle market. After a strong start to the year, oil prices have merely been treading water since late April following a perfect storm of unceasing trade tensions, lackluster demand growth and growing US commercial inventories that have dampened the outlook. The outlook has improved somewhat over the past few weeks after the U.S. and China agreed to an interim trade deal , though niggling uncertainties coupled with ongoing supply worries appear to be capping gains. Right now, the markets are approaching a key resistance area on the weekly charts with trade news causing volatile price swings. As the two nations close in on a ‘phase one’ deal, the biggest bargaining chip that will determine whether the 16-month trade spat will ever be fully resolved, depends on whether Trump will agree to roll back some tariffs. As things stand right now, it would be a stretch to say the oil market is nearly out of the woods. There are some serious risks and overhangs that could still do plenty of damage even […]
