Bank of America Thinks Oil Bears Are Walking Into a Trap

Traders shorting crude oil are walking into a bear trap as energy demand may well reverse its current course next year, Bank of America analysts have warned. In a fresh note, they wrote that traders have assumed oil prices will remain weak in the near term, possibly even weaken further. Among the factors behind this assumption, the bank’s analysts listed the perception of weakening demand in China, the prospect of an OPEC+ price war, and continued struggles in the global economy. However, the analysts added that things may turn out differently.…