Astenbeck’s Hall Sees Oil Poised for ‘Violent Reversal’ Higher
- Bearish market ignoring ‘fundamentals,’ legendary trader says
- Brent crude closes at lowest since April, enters bear market
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After taking a pounding for two months, global oil prices are set for a “violent reversal" upwards, storied oil trader Andy Hall is telling his investors.
Crude prices may have slipped into bear territory this week, after a 20-percent drop since June. But oil supplies are beginning to shrink from the U.S. to Venezuela, a cooler winter is likely to drive up demand over last year and a glut of short-sellers betting on falling prices can only resist the tide for so long, Hall said in a letter obtained by Bloomberg News.