Sudden shocks to a system are never good. Things break under stress, sometimes permanently, sometimes with unforeseen consequences.
In the oil world, things could start breaking in a matter of weeks. Here in Canada the situation is likely to be acute, because of our concentrated exposure to one customer, the United States.
Oil markets worldwide are under extreme stress. First, there’s the price war waged by The Organization of the Petroleum Exporting Countries — a deluge of barrels thrown into markets opportunistically during the COVID-19 pandemic. Continue Reading →