https://www.forbes.com/sites/rrapier...h=40bf616c329c
Interesting article. Facts are an interesting thing. One fact not discussed - on January 20th, President Biden issued an executive order which revoked the permit of the Keystone Pipeline. Also in that executive order, a temporary moratorium was placed on all Gas Leasing activity in the Artic National Wildlife Refuge.
As a believer in Supply and Demand, the United States announced on January 20th that it was the government's policy to no longer accept oil from several material sources. Not accepting Canadian/Keystone gas doesn't impact overall supply, but now that resource will be shipped to China while the US is left purchasing more Opec oil. And the lack of leasing activity actually reduces total supply. These two actions in the executive order did nothing to reduce demand. What does reduce demand, however, is higher oil/gas prices.
Do we think that when the US announced that it would be sourcing much less of it's oil needs from North American petrolium, that Russia and Opec didn't have a discussion about what that would mean to them? Do we think Russia and Opec didn't discuss how to capitalize on this new opportunity?
It is clear to me that the January 20th executive order has in fact impacted gas/oil prices.