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Oil Price Lower on Inventory Numbers, But It Can't Go Much Lower

If anyone think oil will reverse the down trend within a year or two, they will soon realize that the history will repeat itself and oil will be range bound in $10 to $20 for 10+ years.

. Consumption growth
Yes, there will be. However, one look at last 60 year oil chart will reveal that the demand growth does not impact the price of much other than normal escalation

. Reduction of OPEC supply
Yes, OPEC can reduce the supply somewhat for short duration, 6 to 9 month at the most. All oil producing countries have made significant budget commitments & debts, just like US financial market. Regardless of market price, those countries have to pump out as much if not more just to survive

Good luck if you believe oil price will rebound