Where Are THE MEDIA? We’re being ATTACKED!

Our Country is BEING ATTACKED!

By whom?  by Saudi Arabia and Russia. Have you heard anything about this? Other than that the U.S. oil producers have been driven into paying their customers to take their oil so they can avoid storage costs for it? Do you know what caused this glut on the market? Probably not!

In mid spring 2020 Saudi Arabia sent 20 oil tankers speeding towards the Gulf Coast of the U.S. They are planning to arrive in Texas and Louisiana in May in order to flood the oil market in the U.S. and drop prices of U.S. oil even further than today’s prices.

This in a time when streets in the country are filled with parked cars that are not going anywhere!

Traders in the spot and futures markets are already losing their shirts. Oil producers assume that the global Saudi-Russian price war is an attempt to shut down higher-cost shale oil producers in the U.S. by selling their oil cheap.

Neither Saudi Arabia nor Russia has any significant shale production or enough traditional oil production to complete with the U.S.

President Trump has sworn to protect American supplies of oil producers. He has promised to ensure that oil workers will be employed to re-open our oil wells.

But there seems to be no action being taken by the Administration to prevent this oncoming Saudi-Russia attack on our American oil supply and the spot and futures markets. The Coronavirus has resulted in few oil storage units being available for traders needing to take possession of their oil at futures expiration dates.

Instead of helping matters, President Trump today warned Iran that he has instructed the U.S. Navy to destroy Iranian gunboats if Iranians continue to harass American ships in the Persian Gulf. Those ships would likely include our more expensive oil exports into the Middle East.

Given that Russia would profit from the Saudi’s ‘attack’ on oil producers in the U.S., can we we trust Deputy Donald to do anything about Saudi ships coming into our ports this year? Doubtful!

Besides, how would the U.S. producing more oil after the Saudi ships arrive do anything but depress oil prices even further – possibly way below costs…

That would be a dream-come-true for those of us who dislike the “externalities” (costs not reimbursed by shale drillers, such as earthquakes and water pollution) that other people pay in loss of property, health and taxes for shale drilling.

But not a dream for U.S. businesses that depend on oil and gas. Or the workers at those businesses.

What about traders who bet on the wrong side of the spot market and futures deals?

Most of them are wealthy enough already, but some are average folks trying to make up for not enough money to pay all the bills.

If nothing is done, that cheap oil ain’t really gonna be cheap folks!