Patch Notes #178 — Negative Forty Dollars and Twelve Million Ravers
On Monday the 20th, the price of a barrel of West Texas crude oil settled at negative $37.63. Sellers paid buyers to take oil, because the futures contracts expiring that day require physical delivery, storage at Cushing was functionally full, and a “price” is not a fact about a substance, it’s a fact about a contract mechanism meeting a capacity constraint (the consensus-hallucination file gains its wildest exhibit; “everything is capacity planning” achieves final form: the global oil market ran out of disk). Retail traders in oil ETFs learned about contango the way juniors learn about rm -rf. The pandemic keeps administering the economy’s chaos-engineering suite with no feature flags. ...