Why is Wall Street so bearish on energy?

[dan_s]

Investors Bearish Yet Energy Demand Has Never Been Stronger
By Goehring & Rozencwajg Team, May 10, 2019

"Consensus opinion believes global energy consumption is in the process of slowing dramatically. Between 2003 and 2007, global energy consumption grew by an extremely strong 3.7% per year driven by surging Chinese growth. In comparison, for the five-year period ending in 2017, global energy consumption growth slowed dramatically, averaging only 1.4% per year. Most investors believe downward pressure on all forms of energy consumption will continue as we progress into the coming decade. Fears of slowing Chinese economic growth coupled with increased energy efficiency will impair the future growth in energy demand. Given this backdrop, it came as a shock for many when the International Energy Agency (IEA) released its 2018 world energy consumption figures a few weeks ago, showing a large unexpected increase of 2.3%. This marked the biggest increase in 10 years and eclipsed the 1.4% average increase over the last five years. As shocking as this headline figure was, we believe it will be revised higher."

Read the full article: http://blog.gorozen.com/blog/investors- ... i=72558301