Don’t let the green energy revolution fool you into thinking crude oil prices no longer have much to say about the economic outlook.
So cautions Nicholas Colas, co-founder of DataTrek Research, in a Tuesday note that takes a close look at oil market fluctuations and how they stack up versus past economic cycles.
Colas noted data from the U.S. Energy Information Administration showing that the world consumed an estimated 96 million barrels a day of petroleum and liquid fuels in November 2020. While that’s down 6 million barrels a day from November 2019, it’s up 2.5 million barrels a day from the third quarter of 2020.
“Energy demand is clearly coming…