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The traders have gone from being spectacularly LONG (and wrong) to spectacularly SHORT (and about to be wrong). My new "post Iran" #energy portfolio goes live in less than a week. follow every trade at https://t.co/7y4FMjfT4e
Over the past seven weeks, managed money's net long position in Brent crude has collapsed from a 7½-year high of 496k contracts to a 2026 low at 114k contracts in the reporting week ending 16 June, when prospects of a US-Iran peace deal gathered momentum and Brent subsequently tumbled 14%. The scale of the liquidation highlights how quickly speculative sentiment has swung from fears of a prolonged supply disruption to expectations of a sizeable supply surge once flows through the Strait of Hormuz normalise.
However, as highlighted previously, last week's 45% reduction in the net long was driven primarily by aggressive short selling rather than long liquidation. Gross short positions surged to 231k contracts, the highest level since the pandemic, while long exposure remained relatively elevated. This leaves the market increasingly vulnerable to a short-covering rally should the expected supply recovery prove slower than currently priced, or if traders are forced to reassess what given the present situation constitutes a fundamentally justified crude price.
Note weekly COT data from the CFTC will be published Monday due to Friday's Juneteenth holiday.
“You’re going to see a spike like you never saw before.” Oil market expert @Dan_Dicker predicts oil could surge up to $135/barrel unless a lasting agreement is reached with Iran, as global stockpiles near dangerously low levels.
Gas Prices are Trump's KRYPTONITE --
And he's losing, if not already lost his window to "TACO" his way out of it.
Shit's about to get REAL
#gasprices#oil
I WANT TO CONGRATULATE DONALD J. TRUMP FOR WINNING THE "YOU DIDN'T WIN THE NOBEL PEACE PRIZE BECAUSE YOU'RE A WARMONGER AND A CLOWN BUT WE STILL NEED YOU SO HERE'S A HAPPY MEAL AWARD YOU CAN WEAR TO YOUR CABINET CONCUBINE MEETINGS SO YOUR HAREM CAN CLAP LIKE CIRCUS SEALS" MEDAL.
Trump hates INTC, then LOVES it. Now, the US will be an investor? GMAFB. I know how that convo with Lip-bu Tan went and so do you........ #Intel#corruption
https://t.co/eiLLcagOvk
Oil prices slipped after government data showed that US crude stockpiles rose last week to 3.04 million barrels, the highest level in two months. https://t.co/2BLmMs0WV5
It's refreshing to see @FT getting into real drivers of oil prices, hope to see others following the suit. To clarify my comment, future selling there refers to delta-hedging of puts by dealers, not by producers themselves.
https://t.co/zl2JzHHEZ6
RT @rbrtrmstrng@AidenReiter
"The oil markets, at least right now, are expecting that Israel will finish its job of taking out Iranian nuclear facilities and assets, maybe with the help of American bucket bunker buster bombs." The Energy Word founder Daniel Dicker says.
I've thought that a pre-emptory #Israel strike on #Iran's nuclear capability was inevitable since the #JCPOA was signed. But I'm still suspicious of the timing, considering the political position of the man in the video below:
Netanyahu: Iran is racing to weaponize uranium and build 10,000 Mach-6 missiles with one-ton warheads aimed at our cities.
No nation, especially Israel, could survive that. We defend ourselves and the world from a deadly regime. 1/