Energy & precious metals - weekly review and outlook

investing.com:

Investing.com — Lots of things are happening in the oil market at the same time: Economic troubles in China; surprisingly higher U.S. crude production and Saudi-Russian cuts that cargo tracking data suggest could remove almost 68 million barrels from the market over the next 45 days. 

With so many things going on, it’s anyone's guess what price direction could be in the coming week, though technicals suggest a correction extending from the prior week, amid questionable summer demand for petroleum products and market optics that could be worse if not for the artificially-suppressed Saudi-Russian output.

Whatever the case, the current market drivers in oil need to be examined in detail to determine their merit.

First off, is the Chinese bear, or rather the bearish state of affairs in the world's number two economy and top oil importer.

Evergrande (HK:3333), one of China’s biggest names in real estate, filed Thursday for Chapter 15 bankruptcy, which is a way for foreign companies to use U.S. bankruptcy law to restructure debt. The process will take time, as Evergrande has roughly $19 billion in offshore debts.

The filing serves as a cautionary tale about the growth-at-all-costs model that underpinned China’s spectacular growth over the past 30 years.  For decades Evergrande gobbled up debt as China’s economy exploded. Demand for housing was so strong, homebuilders often pre-sold apartment units to buyers before construction was complete. 

But a sudden shift in policy by China’s leaders two years ago has left the country’s property developers scrambling for cash, compounding financial risks. 

Evergrande’s crisis raises questions on which would be the next shoe to drop on the Chinese economy. And that appears to be Country