Post by EPIC Sir Tinley on Apr 2, 2020 6:49:24 GMT -8
Saudi Power Play Could Send Oil Below $20 a Barrel for an Extended Period
The near-term fate of the oil industry is in the hands of a very few players—most important, the ruling family of Saudi Arabia. Its decision to move ahead with a production boost on Wednesday means the world will be awash in oil at a time when oil demand is plummeting because of the coronavirus.
The U.S. urged Saudi Arabia and Russia to back off plans to increase production. While Russia is reportedly not going to pump more, the kingdom ignored the plea. It plans to raise production to 12.3 million barrels a day, up from 9.7...