Quote:
Originally Posted by PeteMoss
Russia has missed its bond payment and will now be in default. Likely meaningless since they are cut-off from everything already but something that has been predicted for a while.
Potentially more impactful is the G7 potentially implementing price caps on Russia oil. How that would work and if it would be effective would be a big question but could lower Russian revenue and bring down fuel prices here.
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The only way to create a price cap would be to meet global demand this means withdrawal from the petroleum reserves to be sold at the capped price. This also means needing to withdraw the entirety of the Russian supply.
Europe is supposed to have 90 days supply at all times. The US has 700 million barrels and can pull out 4.4 million per day.
This appears to be just enough to offset the 7 million barrels in Russian exports but couldnt last more than 100-200 days.