In the first installment of this article we discussed the continued relevance of the four historic legs of an overall energy thesis for the price movement of oil. In that installment we found that, oil should move gradually to the upside as the summer wound down. So far, it has delivered as per the expectation. Source These four legs are summarized below. Equilibrium between supply and demand, leaving little room for supply disruption. The strength of the dollar weakens as trade tensions ease. The Saudi factor, in terms of being able to fill losses from other countries Capex for long cycle mega projects, still languishes in spite of growing recognition that there is a gap between supply and production on the horizon. Not much has changed in the last couple of weeks on those four, so we will leave them for now. If you wish to review these for […]