SgtSally

Energy Sell-Off Overdone

Over and over I hear that the reason for the excessive decline in energy sector is due to hedge funds redemption's or institutional investments. These are explanatory theories which have never been supported by any facts AFAIK. The danger is, repeated often enough, these statements will become accepted as fact.

Alternative explanations are economic slowdown, conservation, dollar appreciation, plentiful supplies, diminished speculation, cheating on caps by OPEC members, switching to alternative fuels, etc.