US-Venezuela Standoff Augurs III For Global Crude Price Stability

摘要

The standoff between Venezuela and USA has put a spanner in the works of OPEC that is steering the international crude market with strategies to buoy prices. Tension has heightened between United States and Venezuela, one of OPEC's member producers. However, Washington's announcement on January 28, 2019, after a two-year long unrelenting pressure campaign, that it was imposing sanctions on the Venezuelan oil industry did not initially have the expected impact on global oil prices, since Venezuela's oil production has been declining over the last few years and now stands at around 1.57 million barrels of oil per day (mbd), down from 3.1 mbd in 2010.