Miner Company
Hope Is Not A Strategy: Positioning For The Reality Of Oil Scarcity
The extended closure of the Strait of Hormuz is pushing global oil inventories toward critical lows, where the market's “balancing mechanism” could quickly give way to operational stress. Markets may be looking through the crisis because excess inventories, SPR releases, sanctioned barrels, and China's strategic reserves could extend the runway before shortages become severe, but they do not.
The extended closure of the Strait of Hormuz is pushing global oil inventories toward critical lows, where the market's “balancing mechanism” could quickly give way to operational stress. Markets may be looking through the crisis because excess inventories, SPR releases, sanctioned barrels, and China's strategic reserves could extend the runway before shortages become severe, but they do not.