If its balanced, it’s not a market at all. Real markets thrive on their natural ups and downs. OPEC+ must tackle its own addiction to oil money in order to run their social spending. That’s the real issue. Everything else is hokum. Once they get their houses in order, they would be much more relaxed about the twists and turn the market naturally must perform.
The oil market is gradually returning to balance as OPEC reins in output and the U.S. shale boom slows, according to executives gathered at Davos. Yet the risk of stalling growth in China continues to cloud the outlook.