Amazing, and good news for us, as this trend indicates a strong downward pressure on oil, which has dropped by 50% in recent months.
Of course, it is likely that the Saudis are trying to squeeze the shale oil providers (whose profitability points seem to range from about US$40 to 70/bbl), and the frackers, but this directly implies that they face competition.
Serious competition.
On the analogy of the 1980's, this may be a sign that the global economy is likely to pick up steam over the next several years, overcoming the prolonged stagnation and waves of crises since about 2008, when oil surged as the market tightened and as the Saudis controlled what little spare capacity there was.
Notice, the global oil consumption trend:
For many of us in the Caribbean, the reduction in cost of oil suggests a rise in travel, hence tourism. As well, prices will trend down or at least less inflationary.
On the whole, good news. END
