Well, it’s a pretty integrated world market for oil…up to date data for front month futures:
Notes: Brent (blue), WTI (green).
If Trump thinks the price of oil used by the US diverges on a long time basis from that of the world, then he’s just exhibiting his (lack of) knowledge of the world economy.
I will say this characterization applies most strongly to US-Europe comparisons. East Asia which relies more on oil from the Mideast can have the relevant oil price move somewhat more strongly (e.g. Dubai).
Repeating here – China has reversed its iys policy against buying U.S. oil, and intends to take 600,000 barrels per day. That’s enough to put considerable upward pressure on prices, as will other demand for U.S. oil from overseas:
https://finance.yahoo.com/sectors/energy/articles/china-set-resume-us-energy-222348918.html
Whether oil export controls would be legal is an open question, not one that the war-criminal-in-chief has ever worried much about.
https://finance.yahoo.com/sectors/energy/articles/china-set-resume-us-energy-222348918.html
By the way, should we start a pool on the date on which the war-criminal-in-chief goes TACO on Iran?
https://polymarket.com/event/trump-announces-end-of-military-operations-against-iran-by
Current pricing favors the end of April by a slight margin, not before. That would be about 3 weeks into physical shortages of oil and natural gas and fertilizer and so on for much of Asia.
Bingo!:
https://www.wsj.com/livecoverage/iran-war-news-updates/card/trump-says-u-s-will-be-leaving-iran-very-soon–lYx47IzDt71xn9ba0dsp
If oil is not getting through the Strait of hormuz or even the red seas then the petrol prices ( it aint gas yanks) will continue to rise. I don’t think Trump has any understanding of this. Laura Ingraham is right!!
even if the war stops, there will be an additional cost on oil going forward. iran will tax oil through the strait into the foreseeable future, and somebody will pay for that. my acura requires premium gas that is now over $5.50 gallon. I am buying an EV. I will save over $1000 a year on gas compared to my existing car. I don’t expect premium to fall below $5 even if the war stops. in a perverse incentive, my electricity actually gets cheaper the more i use.
I’d think that the eco warriors would be cheering all of this on? Shouldn’t there be overwhelming agreement that fossil fuels must be abandoned by 2030? Isn’t this war showing how fragile the world’s economy is due to its dependence on oil that can be disrupted by every tin dictator or religious fanatic?
Everyone should drive an EV (that’s good for the auto industry production, right?). Everyone should have rooftop solar panels and home storage batteries (that’d be great for Tesla and take pressure off the grid). Home heating and cooling would be by electric heat pumps powered by home solar panels. No more plastics for use in homes; only glass. Everyone goes back to wearing cotton, wool, or leather.
The economy would take off because of the forced transition to Green. CO2 would plummet; the world would cool off. Glaciers would grow unabated. Oil prices would fall to $20 per barrel. Iran would be floating in a sea of crude oil and could go back to making the hand-made area rugs that everyone loves. Everything could be recycled or repaired again. Mass production would wind down. We could be a 95% service economy. There would be no wars. Europe has already shown the way to this resiliant future.
So why haven’t we heard these arguments? Why are there no leaders of this great and immediate transition to the future? I suggest that the US give tax credits which could carry forward until used up for every dollar individuals spend on converting from fossil fuels to off-grid electrical energy. Spend $40,000 for home electricity generating; get $40,000 tax credits. Spend $60,000 for an EV; get $60,000 tax credits. Let’s get serious. C’mon, man!
Don’t pay taxes? Then do the right thing anyway. Feel that moral superiority surging through your body. Save the planet! Bring universal peace!
You think imposing thoughts on other people is a valid form of argumentatiin? “Those guys should believe my caricature of them. If they don’t, it’s because there is something wrong with them?”
No, it’s because you attempted a cheap debating trick. When you spend all your time listening to faux news, this is how you end up thinking.
Also, when you spend all your time listening to faux news, you miss what’s actually going on. Much of the world is, in fact, deciding that accelerated adoption of non-fossil-fuel energy sources is a good idea. Europe and Asia, just not the U.S. government. ‘Cause, ya know, the U.S. government is run by a war criminal who wants to burn as much coal and drill as many wells as possible.
But thanks for letting us know how things are in your part of the echo chamber.
Talking about everything but the Yes New Wars.
I hope you heard the speech he gave – he just wants us to cut hima few years of slack, just like Vietnam and Afghanistan