Far more going on than opec messing around with supply and demand. The price of oil is being used instead of gunpowder. Gunpowder is the old fashioned way of winning a war. Cripple an economy, win a war.
Russians currently facing 40% drop in Ruble value ( sloppy estimate of mine based on old figures from a few days ago)
most OPEC members need USD66 to stay as they were,with cheaper oil one can heavily discount any future polish shale riches.The flipside is ,given the current level should it continue should inject 200-250 billion USD in to the world economy.
Marginal suppliers in USA are closing down. I thought costs were supposed to be higher in Europe due to the complicated rock formations. I can't therefore see any production for a long time as they won't make any money at current oil prices. There are also saying that gas LNG will now start to flow from USA to europe, which will drop the price of gas. Good for us consumers but not good for Shale in the short term.
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