As oil prices crash by over 20%, Double Down talks to former energy market regulator and now commentator, Chris Cook, about the price decline and how much more to expect.
He believes that China has taken control of the market price and have pulled their bid. In fact, there is an Asian buyers' club, including India, emerging to counter OPEC. Many tricks are being played and markets rigged, but they are all just playing a game which Enron invented. The US, for its part, would prefer a higher price, Cook claims, so as to help fracking operations but the Fed can only print dollars and not tankers and storage. Cook believes that the price was kept artificially high because the US was monetizing shale oil reserves.
Since last year, however, when China introduced a futures contract that has been harder to maintain. What happens next for the joy ride in the oil markets? Tune in to hear the answers.
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