The 24.04 video: Aljazeera asked me about negative prices and we got into storage, Putin’s huge blunder in launching the price war, the fate of US shale, and the dilemma faced by Trump and the Texas Railway Commission on cutting US production: there’s no way to please both the independent US producers and the big US international oil companies. One or the other is going will be very upset. (Note: English audio record replaces original Arabic here. Thanks to AlJazeera for the clip.)
Facing urgent oil-cut decision, Trump & Texas Railway Commission dither
Let me expand a bit on this point I made at the end of the interview: Trump is dithering as the day of reckoning approaches – the day when US oil’s physical storage is full. Then it won’t be just the WTI Nymex futures price going negative overnight, the physical, spot market would go negative and freeze up.
So, either Trump has to invoke national security and use federal powers to order proportional, across-the-board cuts nationally, or the Texas Railway Commission and its Continue reading