End of high prices of fuel?

After the escapade with the investigation of H. Clinton’s email communication, D. Trump who was almost written off got back into the game. And it puts new cards on the table.

 

Why? The result of the American presidential elections can influence even such a thing like the price of oil long-term as well!

How is it possible? Clinton who is the favored candidate so far announced in past that she will try to significantly lower the usage of energies (by one-third) and will fight against the climatic changes. Moreover, she would also make the conditions for producing the oil from alternative sources harder, which was why the USA got into the oil production highlight in past years. It is well known that to produce oil out of shale which is very deep in soil by using huge pressure of water is not a good marketing for the ecology. I would bet that the oil sheiks from the Middle East will excitedly chant for Clinton. It is her victory that could be the slap to American oil producers that could limit the oil production in the USA.

Nowadays, the USA produces 8.5 million barrels of oil a day (mbd.) According to the extreme estimations the difference between H. Clinton and D. Trump could reach in case of the American oil production 1 mbd. in favor of Trump.

But that changes nothing about the long-term conclusions. The production of oil will be growing because of the new production options. On the other hand, thanks to the boom of engines working on alternative fuels I doubt that oil will be that desirable in the future…