Javier Blas: China Giveth and China Taketh Away

Javier Blas (@JavierBlas) | Twitter | July 7, 2026

Tweet

"COLUMN: China giveth and China taketh away. Oil won't rise to $100 a barrel again this year or drop to $50 in 2027 if China keeps behaving as the rational energy trader we've seen in recent months."

Context

This tweet was posted before the July 8 MOU collapse and price surge. Javier Blas — co-author of "The World Oil Cycle" and senior columnist at Bloomberg Opinion — was describing how Chinese demand behavior was the swing factor for oil prices in both directions.

Pre-Escalation Blas Assessment (July 1–7)

Blas had been noting:
- The "ketchup effect" may be inflating Iranian exports (drawing down inventories)
- June oil exports >95% of pre-war levels (from inventories)
- China was the key variable — maintaining rational energy trading behavior

Updated Note (July 8)

Following Trump's MOU declaration and the surge to $78–80/bbl, Blas's $100 ceiling call remains intact for now, but the $60 floor call from bank analysts is now clearly wrong. The China demand variable that was pointing toward a glut has been overwhelmed by the geopolitical supply disruption variable.

Source

@JavierBlas on X/Twitter