• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Wind droughts
  • 9 hours "Biden Is Running U.S. Energy Security Into The Ground" by Irina Slav
  • 10 hours "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 5 hours "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 1 day Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 1 hour "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 10 hours The Federal Reserve and Money...Aspects which are not widely known
  • 1 hour Uniper is over - Germany (Government) buys the Company
  • 4 hours "How BlackRock Conquered the World" by James Corbett (all 3 parts)
  • 10 hours "Oil prices likely not responsible for inflation and other energy insights by hedge fund manager Josh Young" - Kitco News interview by David Lin
  • 13 days "Forget Oil, The Real Crisis Is Diesel Inventories: The US Has Just 25 Days Left" by Zero Hedge - 5 Stars *****
  • 6 days "Dodgy Demand Data? The Oil Price Collapse Conspiracy" by Alex Kimani
  • 13 days "The Global Digital ID Prison" by James Corbett of CorbettReport.com
When Will Geothermal Energy Go Mainstream?

When Will Geothermal Energy Go Mainstream?

In November, the automaker Renault…

Urban Areas See Opportunities In Cooling Tech To Combat Climate Change

Urban Areas See Opportunities In Cooling Tech To Combat Climate Change

Sustainable urban development is projected…

Saudi Aramco: Oil Markets Overreacted To Omicron Fears

The oil market’s knee-jerk reaction to the new Omicron COVID variant on Friday was overblown, according to the CEO of the world’s largest oil company and biggest oil exporter.

The market overacted on Friday, Saudi Aramco’s chief executive Amin Nasser said, Saudi-owned Al Arabiya TV reported.

Oil prices collapsed by more than 11 percent on Friday amid low liquidity in a festive long U.S. weekend, after news broke about a heavily mutated little-researched new coronavirus variant detected in South Africa. Equity markets globally also plunged, and oil led the crash in commodity markets, as participants fretted about another slowdown in global oil demand just as the market also expects a surplus next year.

Many countries banned flights from South Africa and other African countries, some—like Israel and Japan—closed borders to foreign visitors, while others, such as the UK, tightened requirements for entry by requiring all foreign visitors—regardless of vaccination status—to take a PCR test and self-isolate until they get back a negative result.

Oil prices rebounded by more than 5 percent early on Monday as the market assessed the new threat to oil demand while waiting for more information about the new COVID variant. The U.S. benchmark, WTI Crude, bounced back to above $70, at $72.72 as of 9:07 a.m. EST, after it had slid to below $70 on Friday.  

Apart from clues about Omicron, the market will also be waiting this week for the OPEC+ monthly meeting on Thursday, set to decide production levels for January.

Related: Green Fintech Is A New Trend Investors Can’t Ignore

Some analysts think that OPEC+ will decide to pause the monthly production hikes, at least in January, due to the threat to oil demand from the new variant and a likely surplus early next year.

OPEC+ will discuss potential measures at the meeting, Russian Deputy Prime Minister Alexander Novak said on Monday but noted that Russia currently doesn’t see the need for urgent measures.                            

“We don’t see such a need, we will carefully monitor the situation, but there is no need to rush to hasty decisions,” Novak said.  

By Michael Kern for Oilprice.com

More Top Reads From Oilprice.com:

Join the discussion | Back to homepage

Leave a comment
  • Paul Smith on November 29 2021 said:
    So there is no way to know if Saudi Aramco over reacted yet. It's possible they under reacted.

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News