Friday, April 24, 2020

Lower Crude Oil Prices Are Good For The World

Pricing power shifts from commodity producer to commodity consumers. We are looking at a new order in the world where the total wealth effect will shift away let's say from oil-producing nations like Russia or Saudi Arabia, Kuwait, Nigeria and Venezuela to consuming nations like India and China.

This is good for China it's good for India, good for Germany, good for Japan. It's good for oil consumers and it's good for oil consuming nations. Oil producers or suffering now and many other companies in those countries as well. But for the world yes, it's good.

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