Oversupply coupled with weak demand explains collapsing gasoline prices.


From the article:

Q: What is moving prices? Is this a supply or a demand story? …….

A: It is both. We have an oversupply. …….  So, there’s oversupply in the market. But also demand is weak. ……..There’s less demand, and there’s oversupply. And both are recipes for a crash in oil. And that’s what happened. It’s a no-brainer.

Hopefully, this will help spur the rest of America’s economy, and lift us out of the Great Depression II.

About johnvkaravitis

Senior Financial Analyst: Energy, Insurance, IT consulting, Pharmaceuticals, Publishing, Real Estate
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