Let this sink in a bit....

[carterchapman]

That's great news! I know it's idyllic there - I lived in San Diego for 4 years when I was in the Navy in the 70's and then commuted to San Diego for the Reserves for 4 years in the 80's...

 

[Jaybeaux]

Half the oil is used for aviation. The rest I think I burn in my boat. Oil employs a lot of people world wide. If they do not work then no one will buy boats and we will go into a depression. I hate to say it but US, Canada and Mexico need to set a fair minimum price for oil so the economy can start again. Oil companies will shut well and this will result in 1974 type shortages again.

The Energy Crisis of 1974 was due to an embargo that OPEC placed on the United States. They would not sell us the oil. And being that we were not self sufficient on crude, gasoline shortages appeared. What is going on now is certainly not good for US Oil companies. Full disclosure: I have a fair amount of XOM. But sourcing oil is not a problem. So the short term, we go back to importing foreign oil at a very cheap price. Concurrent to this Saudi-Putin price spat you have the Coronavirus engulphing the world. Demand of finished products like gasoline and diesel and jet fuel is declining due to government mandated economic shutdown. Hence, prices coming down. There is no supply of crude problem, in fact, just the opposite. There is no supply of finished product problem, in fact, just the opposite.

Jaybeaux