Philip Verleger: Oil Producers Got Demand Wrong

The video discusses the demand story in the oil market, highlighting how market errors in demand forecasting have led to price changes. It explains the dynamics between selling oil forward and storage, emphasizing the role of the Energy Information Agency's revised demand forecasts. OPEC's strategy of targeting inventories rather than prices is explored, along with the importance of managing expectations in the market.

What does the text imply about the relationship between forward prices and market participants?

Discuss the role of storage in the oil market as mentioned in the text.