Tell you what: if I had money invested in oil futures, I’d get out quick.
West Texas intermediate (New York Mercantile Exchange: clcv1) plunged 3.5% Thursday, following government reports of ample supply and domestic production at a 13-year high. WTI finished USD 3.05 lower at USD 78.20 per barrel, the first close below USD 80 since October.
Brent (Intercontinental Exchange Europe: LCOCV1), the international benchmark, fell to USD 89.23 per barrel, the lowest level in 18 months.
And with the world economy in stasis, and new production cropping up everywhere, it’s not going to get better. I betcha the really smart investers are already out, which’ll only bring the prices even lower.
I’m telling you, investing in oil looks like a damn fine way to lose your shirt right now.
Hat tip Wombat.