It is Supply and Demand at work.
When we have more demand, we increase the supply and vice versa to keep it in balance.
Today,
supply is more than demand, so we cut down exploring, drilling... Hence
supply will be less in the future. Oil is more competitive now and will
be until the supply is reduced.
There are many other factors such as
OPEC needs cash to continue their on-going projects that have been
planned a while ago. I believe a market correction and economic
correction are coming. Hence I unloaded some oil at $50 and that I
bought at $30.
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