Thread by @LulaEDUcate

1/x In an effort to understand the #OilPriceWar I dug a bit. Here is what I found & another resource thread for any students that are not in school & would like to learn a bit on #markets. #ResourceThread

A. It. began with the #Corvid19 = ⬇️ demand.
nytimes.com/2020/03/02/bus…

2/x The #Corvid19 -> ⬇️ Dem. to level this ⬇️prod.

B. V. much like the rhyme there was an old woman who swallowed a fly, shell, and a host of other holiday spin offs, the⬇️ demand, would have resulted in a price crash. See #oilprice metrics.
investopedia.com/articles/inves…

3/x #Oilprice is complex, here is a site that show some price charts that may be of interest. Here you can create your own dashboard.

eia.gov/beta/states/da…

4/x Another favorite resource is this #Futures See Crude. finviz.com/futures.ashx

The @CMEGroup extensive resources as well.

5/x If you want to know more from @CMEGroup and how Futures Markets shape the price, see here, I found it helpful. #InvestmentLiteracy #FinancialLiteracy cmegroup.com/education/cour…

6/x C. Without a⬇️in price & too⬆️demand, the $ goes down⬇️Enter #geopolitical factors
#Putin refuses to ⬇️prod-->the last time there was no action, in 2014, prices fell to their < $30, leading prices to eventually fall below $30 a barrel. 1/x.

nytimes.com/2014/11/28/bus…

7/x Economists had concern over the weekend. See this article on. @FT, which explains the nuances of the market that matter.

"#SaudiArabia may also have wished to cement its position as the world’s top oil exporter, analysts added..."

ft.com/content/59dcba…

8/x “'There was a consensus among #OPEC [to cut production]. #Russia objected and has said that from April 1 everyone can produce whatever they like. So the kingdom too is exercising its right,' said one person familiar with Saudi oil policy." Id.

9/x It is speculated that "US #sanctions on #Russian energy companies, including those that targeted the trading arm of state-backed oil champion #Rosneft last month, and attempts to halt the #NordStream 2 gas pipeline to Germany, have infuriated the Kremlin. " Id. @FT

9/x After 2014, "...the likes of Royal Dutch Shell, BP and ExxonMobil retrenched. They cut costs aggressively, sold off assets and streamlined their operations to stay profitable at lower oil prices and protect their business from market slides." Id.

10/x While the companies had recovered w/ aggressive cuts and weathered the storm, w/ highly leveraged positions & junk bonds coupled with pressure to dev. renewables v. fossil fuels, "Share prices will probably come under pressure in the coming days." Id. #oilprice

11/x Per the @FT, likely the only way to stop the downward price is to. contain #CorVid19. Id.

To learn more about ways global #energy consumption trends, see this tool from #Github #NarwhalLife #Developer #STEAM
tool.globalcalculator.org/globcalc.html?…

12/x Need #Data on #Corvid19, see @JohnsHopkinsSPH Interactive #data tool here #ResourceThread #Education

gisanddata.maps.arcgis.com/apps/opsdashbo…

13/x Update on Oil markets today after yesterday’s breakers halted trading, designed like Blue’s Clue’s, stop, and think. Provides overview and context Mon. & Tues. @YahooFinance #Oil finance.yahoo.com/news/oil-price…

@threadreaderapp, unroll please to publish.