The energy complex is sharply higher (prices rising) trading well above Friday’s close as continued developments in Libya and the shut-in of roughly 100,000 bpd there continues to force fresh length into the market while flushing recent shorts as Brent hits a fresh 2 ½ year high above $108/bbl. Unrest in the Mideast is approaching a one month anniversary now and while the IEA says OPEC can offset any production shortfalls that may emerge, it’s important to note that several of the key OPEC players are the very country’s that are at risk of political upheaval (Iran, Saudi Arabia, Libya, Algeria, etc…). This isn’t over by a long shot.
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