A form of cognitive dissonance seems to be taking over oil market watchers, a sort of a blind belief that US shale oil production is set to grow, and grow at an aggressive rate, indefinitely. This erroneous belief seems to be the underlying cause for much of the pessimism as to the oil price outlook over the coming years. While, it is undeniable that US shale growth over the last several years has been nothing short of phenomenal, the US shale industry geological and financial resources are not infinite. Post the OPEC+ meeting in early July, a host of market commentators lampooned OPEC+ for pursuing a policy of strategic patience. On July 2 nd the Financial Times published an article under the somber heading: “OPEC is stuck in a production-cutting cycle it cannot get out of”. On July 3 rd , CNBC published a similarly ominous prediction: “Defensive OPEC […]