Saudi Arabian officials said they’re fine with $80/barrel oil and we might soon find out just how low a price they can tolerate.
Brent is down $2.44 to $86.45 today, the lowest since 2010 and breaking key support at the 2012 low.
It’s been an absolute swan dive from $115.
Brent crude
The thing is, there isn’t much support now until just ahead of $70.
There’s a paradox with oil prices and growth. On the one hand, lower prices put more money in consumers’ pockets. On the other, it signifies a dramatic slowdown in demand.
So either, supply has surged; demand is weak; or everyone bought a Tesla.
