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Citigroup's Morse Warns Oil Bulls

OIL

Oil bulls are making a mistake according to Citigroup Ed Morse as he cited concerns about the global economy.

  • “The bulls got it all wrong,” said Morse, the bank’s head of commodities research. “The world is still waiting for a real Chinese recovery, Europe is in recession and we still don’t know if the US will have a hard landing.”
  • Supplies are climbing outside the OPEC+ coalition, with US oil production hitting a record in March and unleashing a flood of exports. Output has also been rising within the alliance as Iran, Venezuela and Nigeria stage a comeback. Oil inventories probably increased last month, he said.

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