Malcolm Graham-Wood
Independent Analyst
The death of King Abdullah of Saudi Arabia was announced this morning at the age of 90, his successor is King Salman and his successor has already been announced as Prince Muqrin. I do not expect to see any significant change in oil policy from Saudi Arabia as a result of this and although the oil price has risen this morning it is only a token increase, probably seeing one or two bears closing out positions.
The ECB went ahead with its QE yesterday at the slightly higher than expected rate of €60bn a month until September 2016 at a total cost of some €1.1tn. Bond holders all over Europe will be ringing the bells for a while as they queue up to sell their tatty notes at over-inflated prices to the ECB.
The teenage scribblers on the Strasa got the inventory number well wrong again last night, coming in at a huge build of 10.07m barrels against the guess of 2.7m. With oil stocks at historic highs something is going to go pop sometime, maybe soon… Lets see what the rig count is later today.
Finally keep an eye on the Greek election on Sunday where the Syriza are tipped to win and that would just be the start of an interesting battle of wills…
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