Saudi On The Ropes -- OPEC Sees Less Demand For Their Oil -- January 15, 2020

Why Is OPEC demand dropping?

US supply expectations soar. And the US has the "right" kind of oil.

Forecast:

• US to break another production record this year
• US liquids supply in 2020 is forecast at 18.81 million b/d -- a 7.77% increase over last year -- source: OPEC
• by 4Q20, US liquids could reach 20.21 million b/d -- cracking the 20 million mark for the first time 

A reader commented elsewhere shortly after posting the above:

Paging James Hamilton! Self styled super academic oil economist. How's that "Peak oil in America" article looking?

https://econbrowser.com/archives/2007/05/peak_oil_in_ame

Probably no better than your JUL2014 "hundred dollar oil here to stay" article. Just a few months before the price crashed.

It's always entertaining to read those old "peak oil" articles. If you do click on the linked article, be sure to scan through some of the comments to James Hamilton regarding his "peak oil"theory.

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First Things First

I'm impressed. It was expected that the US Senate voting on the USMCA was going to have to wait until after the Articles of Impeachment, the latter having precedence over everything else.

But now I understand that Mitch McConnell will hold the vote Thursday morning, before taking up the impeachment trial.

I'm impressed.