Favourable short-term fundamentals on oil?

Singapore

MARKETS have been swept off their feet in recent months by a wave of strong demand for crude oil.

Since end-October, prices for Brent crude have smashed through the US$60 a barrel ceiling that has been there since mid-2015. They have fallen from over-bought levels since, but still lingered above US$60.

Is a medium-term structural case for higher oil prices taking hold? Market participants have to grapple with a few arguments on the question.

As demand and supply …