Oil Price Optimism Wears Off as Texas Wildcatters Drill On
- Money managers slash WTI net-long position by most in 6 weeks
- U.S. benchmark slips below key $50 level during report period
Oil Slides as U.S. Drilling Rises
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The relentless drilling ramp-up in America’s top shale plays is making investors more skeptical that an oil price rebound is on the horizon.
After increasing their bets on rising West Texas Intermediate crude for three straight weeks, money managers slashed the wagers by 21 percent, according to U.S. Commodity Futures Trading Commission data. Producers in Texas are leading the longest shale revival since 2011, making OPEC-led efforts to rebalance the market increasingly difficult.