HiTempguy1
10-09-2018, 02:50 PM
So I'm having a bit of a tough time understanding how oil is on such a tear but we are getting headlines like the following:
https://business.financialpost.com/commodities/energy/iea-urges-opec-to-open-the-taps-as-oil-market-enters-red-zone
Worldwide oil production:
https://i.imgur.com/NE9ElFi.png
USA Oil Export:
https://i.imgur.com/Fy8aKmj.png
USA Production:
https://www.eia.gov/todayinenergy/images/2018.02.01/main.png
Opec Total Production:
https://i.imgur.com/5nWaLOp.png
Iran Exports:
https://i.imgur.com/6a4XBmd.png
So OPEC has been actively trying their "best" (aka poorly doing so with lots of talk) of restricting their oil output. They basically did sweet f-all about it with the market tanking. Great. Now oil demand is back up, but they aren't in any rush to stop oil going on a tear and possibly damaging the economic recovery. So wtf?
Is OPEC just screwing around? Why isn't the USA with all that accessible crude in the world right now not going absolutely bonkers pumping oil? Iran being out of the picture will be 2,7mil gone, however, I see no reason why Iran being blacklisted they wouldn't sell to North Korea and China which could easily take all of that capacity, ESPECIALLY since China just cut US oil imports to basically zero recently.
https://business.financialpost.com/commodities/energy/iea-urges-opec-to-open-the-taps-as-oil-market-enters-red-zone
Worldwide oil production:
https://i.imgur.com/NE9ElFi.png
USA Oil Export:
https://i.imgur.com/Fy8aKmj.png
USA Production:
https://www.eia.gov/todayinenergy/images/2018.02.01/main.png
Opec Total Production:
https://i.imgur.com/5nWaLOp.png
Iran Exports:
https://i.imgur.com/6a4XBmd.png
So OPEC has been actively trying their "best" (aka poorly doing so with lots of talk) of restricting their oil output. They basically did sweet f-all about it with the market tanking. Great. Now oil demand is back up, but they aren't in any rush to stop oil going on a tear and possibly damaging the economic recovery. So wtf?
Is OPEC just screwing around? Why isn't the USA with all that accessible crude in the world right now not going absolutely bonkers pumping oil? Iran being out of the picture will be 2,7mil gone, however, I see no reason why Iran being blacklisted they wouldn't sell to North Korea and China which could easily take all of that capacity, ESPECIALLY since China just cut US oil imports to basically zero recently.