In case of further escalation,…
We have a situation where…
Brent crude and West Texas Intermediate (WTI) fell 2 and 3.3 percent respectively to start the week and Saudi Arabia is prepared to go much lower in a bid to…
Despite the decline in oil prices, the U.S. is expected to boost production by 300,000 barrels per day in 2015, up to a yearly average of about 9.3 million barrels…
The good news for Egypt: Inexpensive oil means the government needs to spend less on its fuel subsidies for its energy-hungry population of 86 million people, the third largest…
In the last couple of months, the sharp reversion in oil prices has certainly caught the world’s attention. While the majority of economists and analysts continue to expect incorrectly that…
The oil price drop that has dominated the headlines in recent weeks has been framed almost exclusively in terms of oil market economics, with most media outlets blaming Saudi Arabia,…
Low oil prices are putting major oil producers in a squeeze. The Russian central bank has been forced to cough up foreign exchange in order to defend itself from a…
In a year of plummeting oil prices and the dismay it brings to producers and traders, two senior economists at the International Monetary Fund (IMF) haven’t taken their eyes off…
For three weeks, OPEC’s richest and most influential countries were silent about the cartel’s decision on Nov. 27 to maintain production levels at a relatively high rate despite the oil…
The spectacular drop in oil prices means that inflation is going to fall even further below the Fed’s 2% target. Does that raise any new risks for the economy? I…
Sesame Street is better at math than the oil companies are right now. Virtually every midsized oil exploration and production company has recently claimed not only to maintain production levels…
This big collapse in the price of oil that has occurred in the second half of this year is the result of a combination of factors. Dollar strength as other…
A couple of weeks ago I had a post titled The 2014 Oil Price Crash Explained. In this post I use the empirical supply and demand dynamic described in…
As oil prices show no sign of recovery, Russia is facing a sudden and acute currency crisis. Oil prices have essentially dropped by half in just a few months, and…
When I last wrote about the global supply of oil, it was back in October, as the fall in oil prices was developing. Since then the price has continued to…
Falling oil prices are the newest wrench in the Fed’s decision making, but the effect might seem counter-intuitive. Since the Fed’s last meeting in October, oil prices have fallen 25%.…
As a consumer of oil, you may regard recent sharp declines in the world oil price as a blessing. But... If you work in the oil industry, you will not.…
OPEC Secretary-General Abdullah al-Badri is urging the cartel’s 12 members to maintain production and exploration despite a lower demand for oil. Yet al-Badri told an energy conference in Dubai on…
West Texas Intermediate sold for $105 a barrel at the start of July, but ended last week at $58. The most important factor has been surging U.S. production. But…
With so much talk swirling about the current oil price drop, I feel compelled to focus less on the rhetoric and more on the data. So the vibe of this…
Oil cartel OPEC decided not to cut output in a meeting on November 28, despite repeated pleas by members Ecuador and Venezuela to do so. Two weeks after the meeting,…