The sharp reversal marks another twist in an uncertain global market, as investors attempt to piece together the largest influences on supply and demand. “People have lost conviction,” said Tim Atwill, head of investment strategy at Parametric Portfolio Associates . EV -0.78% “There was this kind of optimism that energy was going to go into a very strong bull market. When it didn’t follow through, that psychology can work backwards as well.” The market started losing steam last month as falling U.S. stocks dragged down oil prices and raised doubts over the health of the global economy. Meanwhile, the world’s three largest oil producers have increased output to record levels. “All of this is combining to create way too much supply,” said Gary Ross, chief executive of Black Gold Investors and founder of PIRA Energy Group. Light, sweet crude for December delivery settled down 89 cents, or 1.4%, at […]