Is the drop in oil prices a temporary phenomenon resulting from exceptional political circumstances and a depressed global growth or, conversely, does it prefigure a sustainable return to cheap fossil fuels ? The second hypothesis appears more likely. The causes of the current collapse are identified. The producing countries gathered in OPEC had to face higher supply in a less favourable economic context. They could not agree with each other in order to support prices.

The United States had clearly opted for lower oil prices: this strategy amplifies the impact of economic sanctions to force Moscow to give up its territorial ...

Continue reading

The North Sea oil barrel, which is a benchmark in Europe, costs now 72$. Its price has continued to fall and has reached a new milestone with OPEC's decision to maintain its production at current levels, contrary to past practice where the offer was reduced to halt the fall in prices. This new situation calls for two observations.

First, this situation contradicts some theories about the depletion of hydrocarbon resources. Oil companies have long supported this approach, drawing on the concept of "peak oil", according to which production would peak and then decline after a certain date that the ...

Continue reading

Major international meetings held from November 10 to November 17 (APEC summits, ASEAN and G20) were characterized by the now predominant place occupied by China. The Chinese President stepped in each time from a position of strength. He has certainly benefited from the weakening of his interlocutors. Vladimir Putin faces the Ukrainian crisis. Barack Obama has been affected by the loss of the Senate. The Japanese Prime Minister remained discreet because of the economic difficulties of his country and was waiting to be received by Xi Jinping, despite the persisting disagreements about the East China Sea. As for Europeans, they ...

Continue reading