Insight: Oil is in another bear market - for good reason

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WEST Intermediate crude oil futures fell below US$102 (RM450) a barrel Wednesday, which represents a 22% drop over the past two weeks and meeting the technical definition of a bear market.

Does it return to an equilibrium level of US$80 (RM353) a barrel, or does it rocket to US$200, like the macro doom crowd thinks?

Most of the bull case in oil revolves around the twin theses of government incompetence and socially responsible, or environmental, social, and governance (ESG) investing, both of which are restricting drilling and raising the cost of capital for oil producers, thereby reducing supply.

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Article Details

Author / Journalist: JARED DILLIAN

Category: Economy

Topics: US$200 /Business/Business News Oil Price Bear market Energy

Source Website Secure: Yes (HTTPS)

News Sentiment: Neutral

Fact Checked: Legitimate

Article Type: News Report

Published On: 2022-06-24, 00:00:00

News Timezone: GMT +8:00

News Source URL: thestar.com.my

Language: English

Reading Time: 5 minutes read

Article Length: 868 words

Coverage Area: Malaysia

Availability: Desktop Web, Mobile Web

News ID: 6682

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About The Star Business

Main Topics: Economy

Official Website: thestar.com.my

Update Frequency: 36 posts per day

Year Established: 1971

Headquarters: Malaysia

News Last Updated: 2h ago

Coverage Areas: Malaysia

Ownership: Independent Company

Publication Timezone: GMT +8:00

News Language: English

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Publisher ID: #22

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