Cable News Clips

Most put the ideal range of $/barrel oil at between $60 and $90/barrel for US producers to be profitable. Oil has been hovering in the mid to upper $50/barrel, already less than ideal. Venezuela is not an immediate threat for oversupply given the bad condition of its oil infrastructure so production won't quickly rise. (It has 17% of world's in ground oil reserves but produces barely 1% of world supply to market). But while the oil companies might like right of first refusal on the oil in the ground for future, incentive to get it online and into the market soon in not there. Also, should Trump parse together some half baked peace plan for Ukraine that allows sanctions on Russian oil to be lifted, the Russians will pump as much oil as they can and price it to regain market share. Saudis never take that well and then they pump and lower prices to keep their market share. That has to also be heavy on the minds of US oil CEOs.