Hey folk
crude oil have plunge so much on 27 Nov.
OPEC decided not to cut production.
What i can think of is
1) OPEC want to make shale oil production within the US less competitive. It will also affect competitiveness in other non crude oil as well.
2) OPEC no longer control the market price of oil. They do not have the monopoly of it anymore, thus price cannot be dictated anymore.
3) Weaker global economy suppress demand.
We had the lows in 2009 which is about 35 per barrel.So that is something that we can have reference on.
I think crude may fall further.
i did not catch this wave as my technique do not allow me to do that.
Low crude price is good for the economy. Things are cheaper. We would not see the effect so fast but slowly we will see them. Also use your imagination to think which are the industries that benefit most from these low crude price environment.
crude oil have plunge so much on 27 Nov.
OPEC decided not to cut production.
What i can think of is
1) OPEC want to make shale oil production within the US less competitive. It will also affect competitiveness in other non crude oil as well.
2) OPEC no longer control the market price of oil. They do not have the monopoly of it anymore, thus price cannot be dictated anymore.
3) Weaker global economy suppress demand.
We had the lows in 2009 which is about 35 per barrel.So that is something that we can have reference on.
i did not catch this wave as my technique do not allow me to do that.
Low crude price is good for the economy. Things are cheaper. We would not see the effect so fast but slowly we will see them. Also use your imagination to think which are the industries that benefit most from these low crude price environment.
