The Kobeissi Letter(@KobeissiLetter):Hedge funds are aggressively betting on lower oil prices: Hedge fund net short bets on Brent crude oil are up to ~$18 billion, the highest in at least 10 years. This figure has more than TRIPLED over the last 3 months. This comes as hedge funds and institutional investors sold -$7.5 billion of Brent crude oil in the week ending June 16th, the largest weekly sale since April 2025. New short positions accounted for ~80% of total sales during the week, meaning most of the sales came from fresh bearish bets rather than the unwinding of existing long positions. This also marks the 7th consecutive weekly sale, totaling -$24.8 billion. Is the short oil trade becoming too crowded?

2026.06.23 20:52

Hedge funds are aggressively betting on lower oil prices: Hedge fund net short bets on Brent crude oil are up to ~$18 billion, the highest in at least 10 years. This figure has more than TRIPLED over the last 3 months. This comes as hedge funds and institutional investors sold -$7.5 billion of Brent crude oil in the week ending June 16th, the largest weekly sale since April 2025. New short positions accounted for ~80% of total sales during the week, meaning most of the sales came from fresh bearish bets rather than the unwinding of existing long positions. This also marks the 7th consecutive weekly sale, totaling -$24.8 billion. Is the short oil trade becoming too crowded?