The embargo on Russian oil products postpones the global revival of the industry


Purchases of futures for oil and oil products rose to the maximum level of November 2020. In other words, after the return of business activity in China and the refusal of the US Federal Reserve to further increase the interest rate, a real renaissance in the industry was expected, associated with the revival of large purchases of raw materials and the start of a new round of serious investments in mining. However, the impending embargo on oil products from the Russian Federation creates an explosive mixture on the market of huge demand and a shortage opposed to it. OilPrice writes about this.


In such a situation, the best thing that threatens the world global market is instability and a huge rise in prices for both oil and oil products. In the worst case, the macroeconomy will face a recession and the negative processes of the decline of a number of energy industries.

It is already clear that the upcoming embargo on processed products from Russia will delay the revival of the oil industry around the world and create problems on a planetary scale. The long-awaited energy renaissance is under threat again. The dynamics and statistics of the recent boom in purchases just concerned petroleum products - diesel fuel and other refined products.

Based on this trend, experts draw an unambiguous conclusion about the consequences of an unfortunate set of circumstances - a sharply increased demand (and demand), as well as an artificial ban on raw materials from one of the main suppliers on the world stage.
  • Used photos: pxhere.com
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  1. Sergey Latyshev Offline Sergey Latyshev
    Sergey Latyshev (Serge) 1 February 2023 09: 04
    -1
    This means that the pockets of the rest of the exporters will be well-filled, and they will happily welcome their benefactors in Dubai!
  2. Saffron Offline Saffron
    Saffron (Igor) 2 February 2023 11: 22
    0
    But Kazakhstan exports 3 times more oil than it produces. Magic!