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The basic story of negative oil prices is that demand has collapsed. But there may be some market manipulation on top 1/ streetwiseprofessor.com/wti-wtf/
These things happen. The California electricity crisis of 2000-2001 was largely caused by market manipulation — withholding supply to drive up prices 2/ austinchronicle.com/news/2002-05-1…
The hypothesis is that oil is an upside-down version of this story. With storage capacity already full, some individual or group may have taken a short position in oil futures, then arranged delivery of extra oil to the hub at Cushing 3/
Not sure what the broader significance is, but if it did happen, it would be interesting to know the culprits! 4/
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Paul Krugman
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We are ruled by quitters. As Andy Slavitt pointed out a few days ago, the US finally started to implement a real strategy to cope with Covid-19 — then Republicans just gave up 1/
The same thing is now happening on the economic side. After initially making a start on real aid to workers and businesses hit hard by the slowdown, Trump and allies have basically put a hold on policy 2/ nytimes.com/2020/05/09/bus…
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Paul Krugman
@paulkrugman
I'm amazed at how many reports insist that the stock market rise means that investors are betting on a V-shaped recovery. No, they aren't 1/ wsj.com/articles/why-i…
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Paul Krugman
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State fiscal crisis watch: notice that revenues are off more than 50% in Kansas and Missouri 1/
Also off 36% in Georgia 2/ ajc.com/news/state--re…
Mitch McConnell may imagine that this is only a blue state problem. It isn't. 3/
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