What The Business Cycles Tell Us About Oil Prices

The oil and gas markets are currently in the throes of yet another downturn, with Brent crude down 34% from its May 2022 peak while U.S. Henry Hub natural gas has crashed 73% from the August 2022 peak. Energy stocks and crude oil futures have also come under pressure after the latest weekly U.S. data showed commercial crude inventories spiked by a whopping 16.3M barrels.  According to the U.S. Energy Information Administration (EIA), crude stockpiles rose to 471.4M barrels, ~8% above the five-year average and way above the Wall Street…