11. The Oil Market Swings: Shale and Geo-politics
- Author:
- Paul Rivlin
- Publication Date:
- 03-2019
- Content Type:
- Special Report
- Institution:
- Moshe Dayan Center for Middle Eastern and African Studies
- Abstract:
- Recently, two trends became apparent in global oil markets. First, prices rose: the OPEC basket price reached $73.14 a barrel on 24 April 2019, a 40 percent rise over the price at the beginning of January, and 13 percent higher than the average for the year of 2018. According to the International Energy Agency, the reasons for higher prices included tighter global supplies that have prevailed due to strong compliance with OPEC’s decision in December 2018 to reduce production by 1.2 million barrels a day (mb/d), as well as sanctions against Venezuela and Iran, and conflict in Libya. These developments, along with the second trend of the rising US share in the global oil market discussed below, offset bearish factors including concern over the health of the global economy
- Topic:
- International Security and International Affairs
- Political Geography:
- Middle East