Energy Cable #12 – Banking crisis seeping into energy
Steno Research: There are currently no reasons to be long energy
Last week was mayhem in the Banking sector… this week is no different. We’ll keep it short and sweet as we know you properly have a lot on your desk at the moment.
We see the cracks in the financial sector seeping into the real economy. Energy is a perfect place to gauge the real economy and you do not need to look further than natural gas prices which have been tumbling over the last couple of weeks. No better way of creating a deflationary environment than an outright recession, right?