The Tell: Oil rally could ‘end in tears’ and send Brent to $60, Saxo strategist warns

OPEC has promised to cut oil production until 2019, inventories are rapidly falling and demand is remaining robust — what could possibly go wrong for the oil market?

Well, a lot of things, according to Saxo Bank’s head of commodity strategy Ole Hansen. Speaking at an event in London on Tuesday, Hansen expressed concerns over the more than 50% rally in oil prices since June, warning that traders could be in for a rude awakening.

“I’ve followed these markets for many years, and when something becomes too good, we know it’s about to end in tears. And the market has almost become too perfect in the last few months,” he said.

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