Saudi Arabia told Putin to pound sand and ordered maximum output even with Covid pressure
Thats what tanked prices
Are fears of the end of the world having an effect...some
But the big plunge took place upon the Saudi announcement
And the war tween Salman and Putin has been going on a while
Salman spoke with Trump right before the announcement and one suspects Trump wanted to know for how long since it harms USA shale in particular
Russia has to sell oil at 60-70 according to most experts to pay bills
It supposedly cost them 30 a barrel to cover production costs
Urals is a high grade crude
Comparable to Brent but better than West Texas Intermediate
The price war is prolly 70% of the pressure on oil markets
They are up a bit now...
OPEC Basket and Urals sell for about 50% more than our domestic stuff
Im guessing more production at the cracking tower...less bunker and asphalt maybe..
Don’t underestimate the impact this may have on the Mullahs in Iran, especially on top of their Coronavirus issues.