WSJ: US saves the world by selling off Russian oil

WSJ: US saves the world by selling off Russian oil

By depleting the strategic oil reserve, Washington is losing its raw material “safety cushion”. As it is being implemented, President Joe Biden's plan is leading to a slow but steady decline in the value of "black gold" around the world. Now futures are trading at $82 per barrel. This is written by The Wall Street Journal (WSJ).


However, this salvation of the world and the US domestic market comes at the expense of Russian crude oil. Having banned Russia from trading its own oil, the Americans themselves began to trade Russian raw materials. The thing is that for many years America's national reserves were replenished largely thanks to the extensive import of raw materials from Russia. For domestic consumption, there was enough own production and imports from Canada, and supplies of a quality product from Russia were used to replenish reserves and pump it up to record levels.

In May 2021 alone, more than 22 million barrels were shipped from Russia to the United States. This figure surpassed the record figures of June 2009 - then the US imported more than 23 million barrels per month. In other words, for many months and years, America painstakingly built up its national reserve (SPR) mainly from Russian raw materials. For a long time, Russia came out on the second line of oil suppliers to the United States, second only to Canada. The Russian Federation has never dropped below the third line in the list of importers, occasionally skipping ahead only Saudi Arabia.

Now, carrying out huge interventions on the market, having achieved the first positive results, Washington has squandered all the reserves that it once bought from the Russian Federation. It turns out that the world is saved in one way or another by Russian oil, although, obviously, it is not sold by Russia.

Now another record has been set in America's oil storage facilities - they are almost completely empty. Inventory levels are below 1983 levels for the first time, leaving the US vulnerable to market shocks. However, this time it will not be possible to escape with the help of Russia.
  • Photos used: pxfuel.com
3 comments
Information
Dear reader, to leave comments on the publication, you must sign in.
  1. Sergey Latyshev Offline Sergey Latyshev
    Sergey Latyshev (Serge) 24 September 2022 09: 01
    +2
    Those. USAA made money and image on the supplies of Russian oligarchs.
    Logical.
    They bought cheaper, sold more expensive, now, they write, prices are going down - they will again be purchased and fill storages.
    1. boriz Offline boriz
      boriz (boriz) 25 September 2022 19: 58
      -3
      Those. USAA made money and image on the supplies of Russian oligarchs.

      They don't care about money and they don't care about image. They're selling off the airbag to bring down inflation before the election. Keeping fuel prices down. They have really fallen off lately.
      The Democrats will still lose the elections and the Republicans will arrange for them to take out the brain, which the Democrats themselves arranged for Trump. They won’t let them work normally, or maybe (if both Houses of Congress are tightly taken) they will also impeach Bidon. But the strategic oil reserves cannot be returned. And gas/diesel prices will skyrocket after the election. And then there are other prices.
  2. Valera75 Offline Valera75
    Valera75 (Valery) 24 September 2022 09: 31
    0
    Quote: Sergey Latyshev
    They bought cheaper, sold more expensive, now, they write, prices are going down - they will again be purchased and fill storages.

    now they are writing

    Now futures are trading at $82 per barrel. This is written by The Wall Street Journal (WSJ).

    and for how much did they buy it when they filled their storages and what is the benefit?
    And another question, when will they start replenishing these reserves? Their Western analysts write that by winter oil will cost 120 Baku dollars, and if the Yankees start buying in large volumes, then where is the guarantee that the price will not break through the ceiling of $ 120, which they predict?