Cormac Hollingsworth ? @CormacHolly
@worstall Stocks are high at Cushing? Perhaps hoarders delivered WTI while switching to Brent? Hmmm, why don\’t you ask the #BNP Tim?
Oh dear. How does someone deliver while hoarding?
And really, an ex-investment banker turned union funded journalist really ought to be able to investigate the WTI/Brent divergence rather better than this don\’t you think?
Maybe read the FT? The WTI/Brent spread is purely about the transport routes in and out of Cushing OK. It is a physical problem, nothing to do with futures, hoarding or speculation.
And we get this from Cormac:
CormacHolly Cormac Hollingsworth
@worstall your delineation of what\’s physical and what\’s not remains as unusual as ever. Hoarding & futures are both physical.
Futures are now physical are they? Not financial speculation off on some ethereal plane? So how can the original point, that financial futures speculation, rather than actual physical supply and demand, be driving oil prices be supported then?