Bets On $200 Oil Surge As Traders Eye Extreme Volatility

A week ago, the U.S. Energy Information Administration cut its crude oil demand outlook for 2023 by 320,000 bpd, with supply also falling, by 300,000. This week, OPEC also revised down its oil demand forecast for next year by 100,000 bpd, citing economic challenges on the global oil scene. It also warned supply might become more problematic. The chief factor behind the demand outlook appears to be the situation with Covid in China. Updates on that situation have pushed oil prices up or down on a daily basis, depending on their content, and are…