Monday, March 02, 2020

Energy 133, Oil prices decline with Covid scare

Over the last 10 years, we have generally stable world oil and gas prices since 2015 until today, with one price spike in gas in 2019. And world oil prices are falling fast in recent days, WTI now only $44.76 per barrel, natural gas only $1.81 per million BTU. Data from Trading Economics.

Supply-demand dynamics: global oil demand is rising about 1 million barrels per day (mbpd), oil supply by OPEC + Russia declines, this should lead to higher prices but did not happen. Why?
Because of US oil producers and Trump. They just keep the drill baby drill policy, even with ongoing Covid scare. Good job, President Trump.

Meanwhile, coal prices went down deep in 2015-2016, up in 2017-2018, declined and stabilized again since 2019 while copper did in 2017.


See also:
Energy 130, US crude oil and natgas productionoduction, October 31, 2019 

No comments: