Someone dumping oil futures
Oil made a sharp move lower at the end of the day, dropping to $58.21 from $59.16 in twelve minutes.
There is no clear catalyst for the move but it comes ahead of month-end, the G20 and the OPEC meeting so there are plenty of reasons for worry.
Next week is a shortened one for the US and many traders will undoubtedly extend Thursday's holding in to an extra-long weekend.
All-and-all, this looks like a flow driven move but I can't see a good reason why someone would want to sell so aggressively.
Update: Below $58 now. Something leaking from OPEC here? Jeez
JPMorgan's oil guy is also out on Bloomberg saying oil could fall 10% if Trump-Xi goes badly, but to me that's not a surprise.
Another thought is that Europe has been making some deals with Iran on evading sanctions. Maybe that's part of the equation?
