Global oil storage space is running low, production is not falling quickly enough, and yet last week hedge funds bought a record amount of WTI contracts, Reuters’ John Kemp said Monday. At the equivalent of 122 million barrels, the amount of crude futures purchased last week was the highest since at least last December. According to Kemp, the reason for the increased buying is an expectation of an oil price rebound. The buyers must expect this rebound to take place soon, even though there are no indications to support such an attitude. On the contrary, the latest price moves suggest the opposite. On Monday, West Texas Intermediate dropped by 25 percent to less than $13 a barrel and continued falling on Tuesday in Asian trading, sinking below $11 a barrel. The United States Oil Fund said yesterday that it would sell all its oil futures for June delivery within […]