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  HOME | Oil & Minerals (Click here for more)

Oil Shopping Spree Will Lead to Volatility Ahead

NEW YORK – The current oil contract shopping spree will lead to turbulence later on, says Swiss-based consulting firm Petromatrix, according to a report from Dow Jones.

This week investors’ interest in WTI (West Texas Intermediate) reached a “new record high level,” says Petromatrix in an analyst note.

Traders are rushing to snap up oil futures, as the prices have tumbled, heedless of whether the oil rush is an indication of their ability to liquidate the contracts later on.

“This should translate in higher volatility ahead,” says Petromatrix.

 

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