Originally Posted by
Eric Anderson
The Canadian softwoods tariffs is I believe 30%. So if Pres Biden eliminates this ridiculous tariff that might help to bring down prices and increase supply of Canadian softwoods coming into the US. On fuel prices, this is two fold. A number of Texas Gulf coast refineries went down in the storm due to freezing and electrical blackouts. This seriously disrupted supply of diesel and premium fuels. Also Russia and OPEC are manipulating global supply to try to get prices up. I suspect that we'll see oil stabilize at about $65/bbl. And BTW, there is really nothing any president or congress can do to change oil pricing as oil pricing is completely dependent on international conditions.
The spike in oil pricing is partially due to disruptions but mainly due to oil companies (globally) taking projects offline during the supply glut last year in February. Some of them come back online quickly, others do not. Last year the industry’s capacity could soak up short term disruptions, this year it cannot since they are running very lean operations.
Bumbling forward into the unknown.