President Trump's plans to sell half of the US strategic oil reserve sounds familiar, and could turn out to be fundamentally misguided. Especially if the oil price cycle has hit bottom and is starting to move up.
“I immediately thought of Gordon Brown's decision as Chancellor to sell UK gold at a low price, just before it started to ratchet up,” says Michael Baxter, economics spokesman for The Share Centre, a UK retail stockbroker.
Gordon Brown's timing turned out to be immaculately wrong and rather dented the notion that he was somehow an iron chancellor. The reported plans to sell US$16.5bn of oil between by 2027 must be seen in perspective.