Saudi Arabia should follow Russia, even if it kills OPEC
March 9, 2020
Houston Chronicle Is it really over? So soon? Russia’s unwillingness to go along with Saudi Arabia’s emergency supply cut fuels speculation the whole OPEC+ thing is done. I don’t agree. OPEC+ has always been largely a marketing and political tool. Formally ditching it now would merely make obvious the underlying truth: OPEC+ wouldn’t exist in the first place unless OPEC on its
Here’s why financial markets are tanking around the world
March 9, 2020
CNBC A group of oil-producing nations known as OPEC failed to reach a deal with its allies over oil output cuts following a meeting in Vienna on Friday. This led OPEC kingpin Saudi Arabia to slash its official selling prices for April and reportedly prepare for an increase in production. The shocking move came after OPEC ally Russia rejected the 14-member organization’s
Plunging oil prices might be just what U.S. gas drillers needed
March 9, 2020
Houston Chronicle As the collapse of OPEC+ talks on production cuts sent energy stocks into a tailspin, one corner of the industry defied the rout: U.S. natural gas drillers. Shares of gas producers including Cabot Oil & Gas Corp., Southwestern Energy Co., Range Resources Corp. and EQT Corp. climbed on speculation that the nosedive in crude prices will force oil
Oil prices plunge by a third as Saudi-Russian pump war looms
March 9, 2020
Reuters LONDON – Oil prices lost as much as a third of their value on Monday in their biggest daily rout since the 1991 Gulf War as Saudi Arabia and Russia signalled they would hike output in a market already awash with crude after their three-year supply pact collapsed. Despite sliding demand for crude due to the coronavirus, Riyadh made
Asian shares slammed in panicked trade, oil prices crash
March 8, 2020
SYDNEY (Reuters) Asian shares were set for a pounding on Monday as investors fled to bonds to hedge the economic shock of the coronavirus, and oil plunged more than 20% after Saudi Arabia slashed its official selling price. The world’s top oil exporter plans to raise its production significantly after the collapse of OPEC’s supply cut agreement with Russia, a
Commodities Corner: OPEC+ oil-deal failure may lead to $30 oil prices
March 7, 2020
An effort by the Organization of the Petroleum Exporting Countries to stabilize the oil market ended in failure on Friday, with Russia rejecting a plan for addition output cuts and sending prices for the commodity plummeting to their lowest levels in roughly three years.
IEA plans to revise down oil demand forecasts due to virus
March 6, 2020
Houston Chronicle The International Energy Agency plans to revise down its oil-demand forecasts next week because of the spreading coronavirus. “I am going to announce it Monday morning in Paris,” IEA chief Fatih Birol told a Congressional hearing in Washington on Thursday. “The impacts are already severe mainly because the transport sector is heavily affected.” Last month, the Paris-based adviser
UBS hardens energy lending as ‘sustainable’ investments rise
March 5, 2020
Reuters LONDON – Switzerland’s UBS (UBSG.S) said the value of its ‘sustainable’ investments rose by more than 50% to nearly $500 billion in 2019, while lending to the energy and utilities sectors fell by 40% as it tightened its rules. UBS, which has assets of more than 3.6 trillion Swiss francs ($3.76 trillion) and invests for some of the world’s
Coronavirus will likely deliver a short-term economic shock to the US, Canaccord strategist warns
March 4, 2020
CNBC Canaccord Genuity’s Tony Dwyer warns that recession odds are growing. Dwyer sees the coronavirus outbreak putting the U.S. economy on thin ice. “If you shut down some of these major cities from business activity, you’re going to go into a supply shock and even a demand shock short-term recession,” the firm’s chief market strategist told CNBC’s “Trading Nation” on
Here are the key levels to watch in utilities and gold as investors get defensive: Trader
March 4, 2020
CNBC Is it time to get defensive? That’s been the question of the week after a volatile bout for U.S. markets, which saw the Dow Jones Industrial Average have its biggest-ever one-day point loss Thursday and biggest one-day point gain Monday. The swings continued Tuesday, with the Dow ultimately closing down nearly 3% after an emergency interest rate cut by the Federal Reserve, an attempt
