Major oil corrections - will take time to recover losses
When looking at major oil corrections over the last 30 years,
we see the average pullback is 59.9% and the duration is 227 days.
It is our belief that the current correction will be longer lasting than most,
likely similar to that of 1998, taking over a year to recover.
We believe this is because supply of oil drove the downside, not the demand,
and it will take longer to settle as supply moves much slower than demand.