Brent crude oil futures are leading the energy complex lower, once again, today, and are signaling further losses ahead. The bearish outlook comes from the flattening of the curve, which is flirting with outright contango – the condition where front-month prices are lower than longer-dated future prices, indicating ample supplies. The contango structure can feed on itself, as it becomes increasingly profitable to fill storage facilities with crude oil of refined products and sell long-dated, higher-priced futures contracts against the inventory…
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