It has been an exciting week in the Oil market. West Texas Intermediate (WTI) May futures went negative (-$40 per barrel) on Tuesday morning in a confluence of oversupply, falling demand and lack of storage capacity. The real issue for many producers is that the forward curve is below $40 as far out as March 2022. The WTI price has come back into positive territory, with Kuwait announcing that it will begin its supply cuts prior to official starting date of 1 May.
Chris Davis, Chief Investment Officer