- Biden has moved to ban imports of oil from Russia, where those account for a small portion of overall gas demand.
- We expect the US to continue efforts to repair relations with other governments like Venezuela to begin efforts to repair supply dislocation.
- Russia still holds a lot of cards, including with intermediation with Iran, another major oil endowed country.
- Moreover, Europe still depends massively on Russian oil.
- Secular concerns for oil might have evaporated with strategic interests trumping climate interests, and we expect more reinvestment opportunities, higher prices and higher volumes in western stocks.
For further details see:
How Will The Russia-Ukraine News Impact Oil Stocks?