The oil market is facing a major unknown – understanding how much, if any, and for how long, the nation’s oil demand may be hurt by the combined impacts of Hurricanes Harvey and Irma. If, as speculated, the impact of these two storms will be more than that of Hurricane Katrina in 2005, demand will suffer. Katrina lowered oil demand by about 2% for the three months following the storm. There are many factors influencing oil prices. One of them is the value of the U.S. dollar, which lately has been falling, helping to lift oil prices. What has been the relationship between the dollar’s value and oil prices? How important are oil market conditions in this equation? Do market conditions outweigh oil prices? In response to Houston’s flooding due to Harvey, claims were made that the city wasn’t being treated fairly by its business community, especially its major energy companies. We give you some background on the relationship between big business and Houston’s development, and how that relationship had Houston the dynamic city it is today. In our opinion, this is history critics should have learned before leveling their criticism.
Germany’s auto industry is being forced to change in response to its diesel scandal and the global EV movement. The industry is making progress, but much more needs to be done, so patting themselves on their backs may be premature. Is there any justification for linking the recent hurricanes to climate change? The U.S., along with the world, is actually making measurable progress in capping and/or reducing carbon emissions, likely more than people appreciate. Daily oil prices send a message to people much like the news of the day’s performance of the DJIA and/or S&P 500 indices. Should we be fixated on the impression that daily oil price fluctuations are sending important messages to oil industry executives?