Saudi Arabia: A Ruthless Price War Has Broken Out on the Oil Market

Saudi Arabia: A Ruthless Price War Has Broken Out on the Oil Market

A ruthless price war has broken out on the oil market. Three of the largest oil producers are now rolling down the street fighting. The motorist is the smiling third.

 

The price war will undoubtedly lead to lower prices at the pump, thinks Paul van Selms of UnitedConsumers.

But price drops are always passed on in small steps. That means that in the coming days one cent of the price will go off.

In addition to motorists, households and businesses will also benefit from the low oil price. Gas and electricity will also become cheaper, Van Selms expects.

It is difficult to predict how long the party will last. This (low) oil price is not sustainable. Only Saudi Arabia can produce profitable oil at this price. I expect the price to rise again to at least $ 50 a barrel.

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