Post
Topic
Board Economics
Re: Energy crisis? What energy crisis? Oil dips to 3 months low despite OPEC cuts!
by
Wind_FURY
on 23/12/2023, 08:32:13 UTC
Taken in another context, isn't it more concerning that the price of Crude Oil is still low despite the supply cuts? Because that illustrates that demand is low, and if the demand is low, then that could indicate that a worldwide recession is coming.

No, not concerning at all.
Because of two reasons:
- first is that OPEC cuts, the US pump records:
https://edition.cnn.com/2023/12/19/business/us-production-oil-reserves-crude/index.html


Oof-topic, but that's an unexpected policy change from the United States. Tin-foil hats on, but OPEC might have taken their supply cuts because they probably had already known that the U.S. will start increased production of their own Crude Oil again.

That could also indicate that a war is coming?

🤔

Quote

- two the major loss in demand is because of China
https://www.koreatimes.co.kr/www/biz/2023/12/602_364682.html


That's precisely my point. The Energy Crisis isn't what should be concerning. It's the fact that there's low demand from large oil consumers like China. Why? A Great Recession should probably be more concerning?