The oil glut

The world is simply awash in oil

Gas prices continue to drop.
(Image credit: JAY DIRECTO/AFP/Getty Images)

The smartest insight and analysis, from all perspectives, rounded up from around the web:

"How low can oil prices go?" asked Debbie Carlson at The Guardian. Crude prices dipped below $35 a barrel this week, the lowest level since the 2008 financial crisis, and further declines "could be in the cards." The reason? The world is simply awash in oil, thanks largely to the U.S. shale boom and the decision by the Organization of Petroleum Exporting Countries (OPEC) to keep pumping at record levels. Meanwhile, El Niño is cutting into American consumers' demand for heating oil by delivering unseasonably warm weather across the country. Analysts still don't know how far prices might tumble. "It's hard to call a bottom," said commodity broker Daniel Pavilonis. "It's like catching a falling knife."

Subscribe to The Week

Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

SUBSCRIBE & SAVE
https://cdn.mos.cms.futurecdn.net/flexiimages/jacafc5zvs1692883516.jpg

Sign up for The Week's Free Newsletters

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

Sign up
To continue reading this article...
Continue reading this article and get limited website access each month.
Get unlimited website access, exclusive newsletters plus much more.
Cancel or pause at any time.
Already a subscriber to The Week?
Not sure which email you used for your subscription? Contact us