“It is getting complicated…every day there is a new issue coming up,” one OPEC delegate said this morning as it is clearly becoming harder to keep the smoke and mirrors jawboning of a possible cut/freeze alive in the face of a reality that is very clearly enunciated by Russia’s energy minister, “any output freeze could be offset by a quick recovery in US shale oil output.” In other words, why bother with a freeze at all.. which is exactly what Iran and Iraq just said…

  • IRAQ AND IRAN REFUSE TO FREEZE OUTPUT – SOURCES
  • *IRAQ, IRAN SAY OPEC UNDERESTIMATES THEIR PRODUCTION: DJ
  • *OPEC MTG SAID DEADLOCKED AS IRAQ, IRAN DISPUTE DATA: DJ
  • The reaction is clear, disappointment.

    Pushing WTI to near one-month lows.

     

    And now that the machines have run $50 stops twice in 2 days, we suspect there is little ammo left to keep the dream alive.