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Search resuls for: "disappoints"


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In trying to keep inventories low through the cycle, OPEC+ risks worsening any global recession, and overtightening the market during the next upturn. Chartbook: Global petroleum inventoriesSEVERELY DEPLETED INVENTORIESThe extreme backwardation in Brent futures prices is a symptom global petroleum inventories have become uncomfortably low. BALANCING RISKS AMID UNCERTAINTYWhen spare capacity and inventories are both low, the volatility-reducing course is to put whatever spare capacity there is into production immediately to accumulate inventories pre-emptively. But the timing, duration and depth of the next downturn remains uncertain as does any reduction in oil consumption, either in absolute terms or relative to trend. Related columns:- OPEC+ cut draws hedge funds back into the oil market (Reuters, Oct. 10)- Oil investors ready for recession (Reuters, Oct 3)- Recession will be necessary to rebalance the oil market (Reuters, Sept. 22)- Oil prices and financial markets brace for recession (Reuters, Sept. 15)- John Kemp is a Reuters market analyst.
Crop Watch soybean fields still await harvest, but those should be finished early this week as most producers’ harvest paces are ahead of normal. The western Illinois corn last week became the second completed Crop Watch corn field, and the final yield score ended at 4.5, a quarter-point below expectations. Crop Watch producers have been evaluating yield potential for their corn and soy fields on a weekly basis since early July. Ohio is the only Crop Watch location where harvest pace has been a little slow as crops are still holding moisture from late-season rains. Photos of the Crop Watch fields can be tracked on my Twitter feed using handle @kannbwx.
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