Interesting article, but about halfway through what was a convincing analysis of an ongoing diesel shortage turned into a fear piece on the US/China relations and a corresponding economic collapse.
Diesel production capacity is limited and shrinking. Demand is there, albeit sticky (due to certain demand sources that are not easily electronified) and shrinking at a slower pace (due to slowing global economic growth). Rather than discussing a hypothetical blockade of Chinese oil imports, I wish the author would have addressed more probable short term outcomes re: supply/demand shock triggers and possible market plays.
Feel like this was a missed opportunity to look at recent geopolitical events under a more nuanced lens.
Legit article, I understand 2/3 of the financials I read stating medium crude supply has been at critical levels for a decade, suppliers are letting their reserves run dry, prices are going to go bananas soon.
My armchair click to robinhood bet conclusion is Calls on petroleum, Puts on cruise liners.
Diesel production capacity is limited and shrinking. Demand is there, albeit sticky (due to certain demand sources that are not easily electronified) and shrinking at a slower pace (due to slowing global economic growth). Rather than discussing a hypothetical blockade of Chinese oil imports, I wish the author would have addressed more probable short term outcomes re: supply/demand shock triggers and possible market plays.
Feel like this was a missed opportunity to look at recent geopolitical events under a more nuanced lens.
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