Venezuela in crisis could impact oil price
Posted: Mon Jul 31, 2017 2:12 pm
Deepening turmoil in Venezuela could fuel a rise in oil prices—something the Organization of the Petroleum Exporting Countries, despite its efforts to cut back production, hasn’t been able to do. The South American nation, home to the world’s largest oil reserves, on Sunday voted to give President Nicolás Maduro’s government overwhelming powers to redraft the constitution, sparking clashes between protesters and state security forces. The opposition charges the vote could mark the end of democracy in Venezuela.
The “possibility of chaos” in the country is the “only true element that would change the dynamic for crude,” Tom Kloza, global head of energy analysis at Oil Price Information Service, told MarketWatch. If “Vendemonium,” as he dubbed it, comes to pass, it could lift West Texas Intermediate crude-oil prices up from their current trading range of roughly $42 to $53 a barrel, said Kloza.
http://www.marketwatch.com/story/how-ve ... yptr=yahoo
The “possibility of chaos” in the country is the “only true element that would change the dynamic for crude,” Tom Kloza, global head of energy analysis at Oil Price Information Service, told MarketWatch. If “Vendemonium,” as he dubbed it, comes to pass, it could lift West Texas Intermediate crude-oil prices up from their current trading range of roughly $42 to $53 a barrel, said Kloza.
http://www.marketwatch.com/story/how-ve ... yptr=yahoo