I think that our production here has factored in the lowered price of a barrel of oil.They had to know when our production went up the price was coming down.I could be wrong.
Generally, shale production needs a break-even oil price of about $75 per barrel. Lower figures have often been published for the purpose of trying to prevent the Arabs from extending the glut, shale producers/refiners to continue getting loans in return for projections and for other reasons.
As I understand it, we (America) are at an all time for exports(?). I am trying to learn more about this market; very, very intricate with lots of implication abroad as well as at home.
I thought I had read too that “OPEC” was selling to Asia at a higher price than they were selling to “us” which to me would mean OPEC is trying to kill off the American market. I don’t know why we don’t just by at the lower prices then turn around and sell to Asia for a profit. (I think someone answered that already, but the answer escapes me).