3 ms·
This could have been a cataclysm 30 years ago, but the global energy picture has shifted a lot. US/Canada produce way more oil and gas than Saudi Arabia and a
by bparsons 2y ago
This could have been a cataclysm 30 years ago, but the global energy picture has shifted a lot.
US/Canada produce way more oil and gas than Saudi Arabia and are now exporting significant amounts of energy.
With China now shrinking, we are likely somewhere around (or past) peak global gasoline demand, with strong, but slowly diminishing demand into the mid-2030s.
The Saudis will remain a supplier of cheap oil to their trading partners, but they are sitting atop an asset that can be thought of as a perishable good as the world moves toward greater electrification.
The size and shape of the global economy is very, very different than the 1970s. GE, GM, Aramco and Exxon have been replaced by Amazon, Google and NVIDIA. These companies are global juggernauts, and will ensure healthy demand for US currency well into the future.