The oil market is now well into a cyclical upswing and within the next year the narrative about “rebalancing” is likely to be replaced by one about “tightening”.  Rebalancing started well before the production pact between the Organization of the Petroleum Exporting Countries (OPEC) and its allies went into effect in January. OPEC has been open about the fact that the rebalancing process pre-dated its agreement, with officials repeatedly noting the accord was intended to “accelerate” a process that was already underway. The spot price of Brent has been rising since January 2016 and the six-month calendar spread has been increasing since January 2015 ( ). Depending on which turning point is used, the rebalancing process has already been underway for 21 […]