CHINA OIL IS APPROACHING 500 MILLION BARRELS
China has acquire a strategic reserve of very low cost oil. This stock pile is their national safety new. However China slowing down uses less and less oil. IF Opec elects to raise prices – which why would members agree to THAT – when any OPEC member knows if they cut back a million barrels a day – China can sell that one million barrels a day and make profits keeping oil prices low – so it never has a higher cost for its nation – where CHINA not OPEC now is the wild card on oil prices.
No nations wants the hidden tax of a manipulation from a dying monoply that lost control of its market – where 2/3’rds of supply is outside OPEC and no longer OPEC and that ratio is diminishing OPEC relevancy year after year till their % of production output will not matter whatsoever. We are just about there now.
Anything they take off the market CHINA and the USA will put back into the market.
OPEC has no cards to play today. None.
Their members will never agree to less income while Saudi profits at their expense. It is not going to happen because they can’t win on price anyway. China has secured the nail in the OPEC coffin.
In case you did not know …
Berny Dohrmann – economist investment banker keeping the truth on for you
PS: You realize you can’t stay ahead of the markets without information only this blog site provides – read anything this advanced and complete? Adidicting isn’t it?— September 28, 2016