Tag Archives: OPEC

Is Russia Plotting to Bring Down OPEC?

Russia can be seen as maneuvering to split OPEC into two blocs, with Russia, although not a member, persuading the "Russian bloc" to isolate Saudi Arabia and the Gulf Arab OPEC members within OPEC. This might persuade the Saudis to seek a compromise with the have nots.

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This is What Needs to Happen for Oil Prices to Stabilize

Oil inventories will remain high in some parts of the world and will be drawn down in others. But overall, rising global demand and shrinking U.S. production (and other areas as well) will begin to eat away at inventory. It just requires some patience. And markets won't wait to adjust pricing until we hit a balance.

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The Shale Delusion: Why the Party’s Over for U.S. Tight Oil

For the next year or so, tight oil wells will not be commercial except in the best parts of the best plays. Until market fundamentals of supply and demand come into balance, prices will remain low. Clearly for now, the party is over for tight oil.

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The Default Next Move for Oil is Downwards, And Here’s Why

As traders, investors and pundits, we all like to think that what we do is akin to a science. We believe that by working harder and being smarter we can give ourselves an edge, that enough research will reveal to us the next move, either a long term trend or an intraday blip on a chart, and that we can …

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Saudis Could Face an Open Revolt at Next OPEC Meeting

As the first anniversary of the Saudi decision, to let the oil market determine oil prices approaches, it would be reasonable for OPEC outsiders to interpret Saudi policy shift as designed to serve its interests and those of its Gulf Arab allies rather than their interests and those of OPEC in general. The damage the Saudi decision has inflicted on itself provides reasons for the Saudis to change course.

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Saudi Oil Strategy: Brilliant or Suicide?

Saudi Arabia, Russia, Iran and other major oil producers are engaged in the oil equivalent of mutually assured destruction. The sharp drop in oil revenue damages each of these countries economically and financially, while the wars they wage directly and indirectly against each other drain resources from vital domestic projects.

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Global Oil Supply More Fragile Than You Think

With spare capacity shot and major new sources of oil not coming online in a few years, the world may end up struggling to meet rising oil demand. That could cause oil prices to spike.

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Top 6 Myths Driving Oil Prices Down

The oil industry has finally come to realize that the “Trillion Dollar Swindle” in oil is very real and normal supply and demand dynamics no longer apply. The law of diminishing returns in more supply is real thanks to media hype.

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OPEC, Get Ready for the Second U.S. Oil Boom

A technological revolution spurred the U.S. oil boom that resulted in the greatest increase in domestic oil production in a century, and while that has stuttered in the face of a major oil price slump and an OPEC campaign to maintain a grip on market share, the American response could be another technological revolution that demonstrates that the first one was merely an impressive embryonic experiment.

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Saudi Arabia Continues to Turn Screws on U.S. Shale

As Saudi Arabia ramps up, U.S. shale is being forced to cut back. This story has been told many times over the past few months, but the data is finally confirming the success of Saudi Arabia's strategy, albeit a minor one thus far.

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