Post by Fisher Investments

Are the world’s oil reserves running dry? Recently, headlines have begun warning that earlier drawdowns of official reserves mean depleted oil inventories set the stage for another oil shock this summer if the Strait of Hormuz remains restricted. With all due respect, we doubt it. The dip in global oil supplies doesn’t seem alarming—it was expected. Markets likely priced it almost immediately after conflict commenced in late February, or at least when moves to tap reserves were unveiled. Meanwhile, a burgeoning supply response should mitigate further disruption. Read our latest analysis here. https://lnkd.in/e68XH7ck