The unprecedented attack on Saudi Arabia’s Abqaiq crude oil processing facility, the largest in the world, is getting a lot of attention and rightly so. As the single worst supply disruption in the oil markets in history, one would expect a bit of press. There are a few aspects of the enormous supply cut though that aren’t being covered very much. First, how much will this supply outage mask price inflation? And could it negatively affect the stratospheric bond markets?
Inflation Mask
The danger here besides oil prices themselves is that a higher oil price