Who benefits from high oil prices?

[rupol2000]

Now, for some reason, they believe that this is beneficial for export economies like Russia or Saudi Arabia. But in fact, it is primarily beneficial for the United States because oil is traded in dollars, in fact, world oil trade is converted into the welfare of the United States, and besides, in terms of production, the United States is in the tops.
Although there are import costs, this still does not offset the benefits.
Therefore, it is the United States that is the beneficiary of expensive oil. It is likely that the crisis of 2014 was directed primarily at the United States, and this was proved by subsequent political events.

For Russia, oil prices are not critical at all, because there almost all foreign exchange earnings are converted into foreign assets and do not go directly to the economy. For Russia, expensive oil will only mean an increase in gold and foreign exchange reserves, in other words, an increase in capital outflow.

 

[pknopp]

We get high oil prices when the Fed starts hinting about cutting off the free money.

 

[danielpalos]

Now, for some reason, they believe that this is beneficial for export economies like Russia or Saudi Arabia. But in fact, it is primarily beneficial for the United States because oil is traded in dollars, in fact, world oil trade is converted into the welfare of the United States, and besides, in terms of production, the United States is in the tops.
Although there are import costs, this still does not offset the benefits.
Therefore, it is the United States that is the beneficiary of expensive oil. It is likely that the crisis of 2014 was directed primarily at the United States, and this was proved by subsequent political events.

For Russia, oil prices are not critical at all, because there almost all foreign exchange earnings are converted into foreign assets and do not go directly to the economy. For Russia, expensive oil will only mean an increase in gold and foreign exchange reserves, in other words, an increase in capital outflow.

In the US, ev infrastructure could be included for convenience purposes.

 

[Otis Mayfield]

America is the worlds #1 producer of oil.

Figure it out.

 

[JGalt]

Cheap oil benefits the US, that's one thing for sure. President Trump almost destroyed Russia's oil-based economy, when his regulation rollbacks enabled our oil and gas industry to go balls to the wall in their production. It also put the hurt on the Saudis.

Apparently the Biden administration loves the Russians and the Saudis.

 

[lennypartiv]

America is the worlds #1 producer of oil.

So we don't need any of the stupid windmills liberals want us to put up.

 

[rupol2000]

America is the worlds #1 producer of oil.

Figure it out.

In any case, US usually is in the top three. I said this.

 

[rupol2000]

Cheap oil benefits the US, that's one thing for sure

Vice versa. For example, Germany wants to buy oil from Russia. For this it has to buy dollars from the USA, for this it needs to produce goods, Goods from Germany go to the USA, dollars to Germany. But dollars are worth nothing to the United States, the Fed just prints them. Accordingly, US takes goods from Germany free of charge in this case. The more expensive the oil, the more commodity. After these dollars have arrived in Russia, they are invested in US government bonds, as a result, the dollars come back to the Fed and are canceled. Nominally it's the Debt, but really it's just increase of the Debt that never stop, it's permanently refinancing
That is why a strong country always promotes its currency as the currency of world trade and foreign exchange reserves.

 

[surada]

America is the worlds #1 producer of oil.

Figure it out.

We're also the number one consumer.

 

[surada]

Cheap oil benefits the US, that's one thing for sure. President Trump almost destroyed Russia's oil-based economy, when his regulation rollbacks enabled our oil and gas industry to go balls to the wall in their production. It also put the hurt on the Saudis.

Apparently the Biden administration loves the Russians and the Saudis.

Nope. Oil production nearly doubled under Obama.Trump just lied again. The US began importing Russian oil when Trump put sanctions on Venezuela.

 

[JGalt]

Vice versa. For example, Germany wants to buy oil from Russia. For this it has to buy dollars from the USA, for this it needs to produce goods, Goods from Germany go to the USA, dollars to Germany. But dollars are worth nothing to the United States, the Fed just prints them. Accordingly, US takes goods from Germany free of charge in this case. The more expensive the oil, the more commodity. After these dollars have arrived in Russia, they are invested in US government bonds, as a result, the dollars come back to the Fed and are canceled. Nominally it's the Debt, but really it's just increase of the Debt that never stop, it's permanently refinancing
That is why a strong country always promotes its currency as the currency of world trade and foreign exchange reserves.

The problem with that, is that the US isn't the only country Germany exports to. Germany exports almost the same amount of products to China and France, as it does to the US.

Germany Exports By Country

 

[rupol2000]

We're also the number one consumer.

This is poorly said. The USA consumes about 2 times more than it produces. In other words, it consumes about as much as Saudi Arabia and Russia together produce

 

[rupol2000]

The problem with that, is that the US isn't the only country Germany exports to. Germany exports almost the same amount of products to China and France, as it does to the US.

It doesn't matter, the dollar is still returned to the Fed and the goods are still bought for it, no matter how many intermediaries there are in this chain.

 

[danielpalos]

Underground MagLev in a vacuum environment can benefit our economy in a market friendly manner.

 

[JGalt]

Nope. Oil production nearly doubled under Obama.Trump just lied again. The US began importing Russian oil when Trump put sanctions on Venezuela.

You're referring to December of 2019. when we bought 21,589 thousand barrels from Russia, I assume.

U.S. Imports from Russia of Crude Oil and Petroleum Products (Thousand Barrels)

At that point, Russia's oil industry was so hurt by our production, that they were dumping it on the market for less than their production costs.

Don't tell me that you don't like bargains.

 

[rupol2000]

And besides, the demand for the dollar in the world is beneficial for the United States. If oil rises in price, the demand for the dollar rises, which makes it easy to keep a high rate.

 

[surada]

You're referring to December of 2019. when we bought 21,589 thousand barrels from Russia, I assume.

U.S. Imports from Russia of Crude Oil and Petroleum Products (Thousand Barrels)

At that point, Russia's oil industry was so hurt by our production, that they were dumping it on the market for less than their production costs.

Don't tell me that you don't like bargains.

The United States imported an average of 538 thousand barrels of petroleum per day from Russia in 2020, up from 520 thousand barrels per day in the previous year. Between 2000 and 2020, figures increased by 466 thousand barrels per day. U.S. petroleum imports from Russia from 2000 to 2020 (in 1,000 barrels per day)
U.S. petroleum imports from Russia 2020 | Statista

U.S. petroleum imports from Russia 2021 | Statista

The United States imported an average of 672,000 barrels of petroleum per day from Russia in 2021, up by over 24 percent from the previous year and the peak volume in the period of consideration.

www.statista.com

 

[surada]

U.S. Imposes Sanctions on Iran’s Oil Sector - The New York ...

Oct 27, 2020 · Published Oct. 26, 2020 Updated Nov. 30, 2020. WASHINGTON — The Trump administration imposed sweeping economic sanctions against Iran ’s oil sector on Monday as tensions between Washington and ...

U.S. Imposes Sanctions on Iran’s Oil Sector (Published 2020)

The Trump administration is trying to fortify its campaign of maximum pressure against Iran from being reversed by a potential Biden administration.

www.nytimes.com

 

[rupol2000]

Now oil is growing steadily, it should be beneficial for the United States. But for sure the left will use it to shut up US citezens and force vaccinations instead of pulling the US out of shit.

 

[surada]

Venezuela-Related Sanctions - United States Department of ...

Venezuela-Related Sanctions - United States Department of State

Executive Orders Executive Order 13884 , among other things, blocks the property of the Government of Venezuela, defined similarly to how the term is defined under E.O. 13857, and provides additional authority for designating individuals and entities that are owned or controlled by, or that act...

www.state.gov

Executive Order 13808 , among other things, prohibits transactions by a United States person or within the United States related to: certain new debt of Petroleos de Venezuela, S.A. (PDVSA); certain new debt or new equity of the Government of Venezuela; existing bonds issued by the Government of Venezuela prior to August 25, 2017; and dividend payments or other distributions of profits to the Government of Venezuela from any entity owned or controlled by the Government of Venezuela.