The energy bubble will burst like lumber and iron ore

Some folks never learn. COVID disruptions to both supply and demand have blown rolling bubbles and busts through commodities including lumber, iron ore, precious metals, and foodstuffs. Base metals are still inflated though beginning to struggle. The new bubble is energy.

Each time the formula is the same. Temporary virus distortions boost demand. Temporary supply curtailments amplify it. Wall Street vampire squids move in with their bubble-blowing narratives to create a panic.

There is so little social utility in any of it, you could be forgiven for questioning the usefulness of markets.

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