More bets on crude decline

Hedge funds have increased bearish oil wagers to a record as global equities fell and Iran was poised to add to the crude supply glut.

“There are a lot of people who thought oil can’t go down much further and tried to call a bottom,”said Michael Corcelli, chief investment officer of hedge fund Alexander Alternative Capital.

“When we have monster pull-backs, things don’t end politely. I think we’ll drop to $24 or $25 and then have a sharp V-shaped rally,” he said.