Oil Price: Next Stop $20 Or $80?

After several months of stability and one of the tightest trading ranges in history, the price of oil is now back on the move and in the headlines, following bearish inventory reports. The report seems to show that thanks to a lack of oil price volatility, US shale drillers have returned to the market swamping already full storage facilities. A sharp increase in US onshore rig activity has re-energized oil bears. The number of rigs drilling horizontal wells used for US shale production has more than doubled from a low of 248 last May to 513 last week, according to Baker Hughes. To add to the bearish argument, earlier this week a larger-than-expected 8.2 million-barrel (mmb) addition to U.S. crude...