Big Take Even a US Blockade of Venezuela Isn’t Spiking Oil Prices
13 snips
Dec 22, 2025 
In this discussion, oil trading reporter Alex Longley and opinion columnist Javier Blas analyze the surprising stability of oil prices despite a U.S. blockade of Venezuela. They explore how global supply growth from various countries is outpacing demand, driving prices down. The duo dives into the implications of a potential ceasefire in Russia and discusses how this could lead to an oil glut by 2026. They also highlight the beneficiaries of lower prices, while detailing the challenges faced by major oil exporters and shale regions.
AI Snips
Chapters
Transcript
Episode notes
Tanker Traffic Means More Storage Needs
- Much of the excess oil is already en route on tankers and may go straight into storage on arrival.
- That inflow into storage will require lower prices to incentivize holding rather than consuming the oil.
Why Consumers Feel Different Price Effects
- Pump prices respond differently by country; U.S. pump prices fall more quickly than in some other markets.
- This oversupply has a natural floor now, so extreme price crashes like 2020 are unlikely.
Hidden Buyers And New Producers Benefit
- Buyers of sanctioned oil, like China and India, have benefited from cheaper prices during recent volatility.
- New producing countries gain windfalls even if prices fall, because they previously had little or no production.