The coronavirus and the collapse of price-stabilization agreements among Russia and members of the Organization of Petroleum Exporting Countries are to blame. The contagion is cutting global demand for crude as countries scramble to contain the virus through quarantines and restricted travel, particularly in China, which is the world’s largest oil-importing country and the epicenter of the coronavirus.
Last week, Saudi Arabia proposed a collective 1.5 million barrel-per-day cut in production to boost prices as the contagion spreads across the globe. But Russia rejected the proposal, causing a breakdown in negotiations even to extend previous agreements already in place since 2017 that have withheld 2.1 million barrels a day from the market.
The fallout led to an open price war Sunday, when Saudi Arabia said it would immediately slash prices for its own crude exports by up to $8 a barrel and begin increasing oil production once the 2017 agreement expires in late March.
To: brownwill6767
The problem is not the free market, the problem is that nutcase governor.
2 posted on
03/11/2020 3:26:29 PM PDT by
Fungi
To: brownwill6767
The Arabs, Russians AND the Chinese are trying to bring down TRUMP AND AMERICA!!!
3 posted on
03/11/2020 3:26:30 PM PDT by
Ann Archy
(Abortion....... The HUMAN Sacrifice to the god of Convenience.)
To: brownwill6767
5 posted on
03/11/2020 3:34:21 PM PDT by
rrrod
(6)
To: brownwill6767
7 posted on
03/11/2020 3:45:08 PM PDT by
kiryandil
(Chris Wallace: Because someone has to drive the Clown Car)
To: brownwill6767
I believe everyone should look at this as a free benefit.
There is no reason not to rejoice at a short term gain. I suppose each complainer on this thread would give back gambling winnings, too.
10 posted on
03/11/2020 4:01:17 PM PDT by
ConservativeMind
(Trump: Befuddling Democrats, Republicans, and the Media for the benefit of the US and all mankind.)
To: brownwill6767
So what exactly changed in all of this except perception.
Are contracts that short. Used to be production hedged costs with long term contracts or futures contracts.
What is the REAL price of oil. We are looking at the speculative price.
15 posted on
03/11/2020 4:13:37 PM PDT by
PeterPrinciple
(Thinking Caps are no longer being issued but there must be a warehouse full of them somewhere.)
To: brownwill6767
How is Burisma doing, I should wonder.
17 posted on
03/11/2020 4:14:28 PM PDT by
Texas Eagle
(If it wasn't for double-standards, Liberals would have no standards at all -- Texas Eagle)
To: brownwill6767
With prices this low shouldn’t we be topping off the strategic petroleum reserve, or is it already maxed out?
22 posted on
03/11/2020 4:39:53 PM PDT by
OrioleFan
(Republicans believe every day is July 4th, Democrats believe every day is April 15th.for corruptiion)
To: brownwill6767
yabut, I filled the car with $1.74
9/gal gas today.
obama said that would take a magic wand.
Orangemanbad must have that wand...
23 posted on
03/11/2020 4:50:21 PM PDT by
null and void
(By the pricking of my lungs, Something wicked this way comes ...)
To: brownwill6767
In last few days I notice a dramatic drop in fracking sand train shipments that roll through town already. Only noticed 2 so far today where it’s usually 1 every hour. Hasn’t been this peaceful in years.
To: brownwill6767
Seems to me the commies in NM are getting exactly what they wanted. And they’re getting it good and hard.
26 posted on
03/11/2020 5:47:12 PM PDT by
VTenigma
(The Democrat party is the party of the mathematically challenged)
To: brownwill6767
Shades of 1999. I remember paying $0.87 per gallon in December of that year.
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