China has so much oil that it is becoming an exporter of refined products as demand softens at home. So why are oil prices going to the fifties? (Photo by Guang Niu/Getty Images) China’s demand for oil is less than it used to be. A lot less, based on first quarter data. Don’t worry oil bulls, if Barclays is right this thing is going to $54 before the rally dies. Crude oil markets remain supported by the persistence of large supply outages that have tightened the physical markets faster than anyone expected. Financial support is also coming through the build-up of long positions in the oil futures market, which is close to a record high. China isn’t necessarily supportive. Even cautious oil bulls at Barclays admitted to that in a commodities research note sent to clients on Monday. The clearest indication of softer consumption in China came last week. […]