1.) Russia and Opec had their pricing war in an attept to disupt the oil producers in the US. Since they are private business here, finacial backing is bound to be limited as soon as prospects dry up, putting producers out of business.
2.) Russia and Opec relized there was an impending oil glut and noticed that storages were at the crittically full level already, indicating a market cut on the price of oil. Their timing was impeccable.
3.) Wu Flu shutdowns. With the nation going on shutdown and personal travel by plane and car dropping by huge numbers, oil usage is down. Industrial sites are shutting down portions of operations and construction is way down.
All this adds up to the prices you see at the pump, aand hundreds of thousands of lost jobs.
It's their best kept secret that theyre self sufficient. They don't make any money when oil tanks, but they don't need to. They don't need to import shit.
They have apparently run out of places to store all of the excess oil. Everyones reserves are filled to the top and tankers are sitting still outside ports all over the world.
This is a Trifecta of bad luck.
1.) Russia and Opec had their pricing war in an attept to disupt the oil producers in the US. Since they are private business here, finacial backing is bound to be limited as soon as prospects dry up, putting producers out of business.
2.) Russia and Opec relized there was an impending oil glut and noticed that storages were at the crittically full level already, indicating a market cut on the price of oil. Their timing was impeccable.
3.) Wu Flu shutdowns. With the nation going on shutdown and personal travel by plane and car dropping by huge numbers, oil usage is down. Industrial sites are shutting down portions of operations and construction is way down.
All this adds up to the prices you see at the pump, aand hundreds of thousands of lost jobs.
Guess CHINA withholding key info about a global pandemic hurt everyone.
holy fuck. below 10 bux? thats crazy
US better triple is startegic oil reserve
This sounds like something President Trump would do. The Stable Genius that he is.
he would, but congress has literally prevented him from spending any money on it lol
Dunno about that, he said he refilled the US strategic reserves just a couple weeks ago when the Russia -OPEC price war began.
Maybe he used other funds. I do know it's in the most recent Corona bill that passed
Time to buy some USO calls.
Russia is fucked.
It's their best kept secret that theyre self sufficient. They don't make any money when oil tanks, but they don't need to. They don't need to import shit.
Who will really feel this: IRAN
China imports 10 million barrels of oil PER DAY. If it goes from $40/barrel to $20 they save $200 million per day.
Cheap gasoline at the pump!!! Wonder if they will thank Trump?
They have apparently run out of places to store all of the excess oil. Everyones reserves are filled to the top and tankers are sitting still outside ports all over the world.
https://www.dailyfx.com/crude-oil
This is just for May 20 expiration
Jun = 22 July = 28 Aug = 30
People are just rolling this shit
What a difference an hour makes... now it’s at $2.25
As of me typing this it is below $2.50. It's uncomfortably low. Then a few seconds later is was at $1.00.
At this point, I don't understand.
I haven't really followed this at all. Can someone give me an ElI5? All I know is Russia and SA is fighting or something like that.
Prices were low and they couldn’t agree to slow production like you said. Then travel went to near zero.