is cutting its capital spending globally by 30%. Exxon CEO Darren Woods expects oil demand to fall by between 25% and 30% in the immediate term. Chevron, BP, Shell and Saudi Aramco are among other major producers that have announced spending cuts of between 20% and 25% in their operations globally. As an industry, oil companies have so far slashed $54 billion in planned spending, Reuters reported this month.
"This year might be marked by the lowest project sanctioning activity since the 1950s in terms of total sanctioned investments, dropping to $110 billion, or less than one-quarter of the 2019 level, with most of the projects being deferred," Rystad wrote.Cash flow for oil companies is also set to nosedive, with the firm estimating free cash flow for the sector in 2020 to be reduced to $141 billion, or one-third of what it was in 2019.
Countries that rely heavily on the oil sector for government revenues, and on energy exports for U.S. dollars — including Russia, Iraq, Saudi Arabia and many other Middle Eastern and Central Asian countries — will come under intense pressure from the current plunges in oil revenue.
ThinkTankCharts Mnooch said they are rolling out bridge loans since this industry is strategic for US independence according to Prez Pump. FED said, whatever it takes to keep “markets” up. Oil is next to be bailed out by public and make money for ultra rich.
And yet the market is up. Also, we are looking at 30 million possible job loses and that won’t matter to the market either. If the Treasury is going to pump worthless paper into the market, just start pumping it into citizens bank accounts too, how about $1200 a week.
good.
Great so they should thieving mongrels
Folks don’t be fooled by this dead cat bounce - the equity markets r misleading right now. Global economies are in real, major trouble. Imagine another October outbreak. No fan sporting events shave $500,000,000,000 from global GDP annually. Retailers are on the brink of default
Under Armor is on the brink of bankruptcy. I’d suspect we see no fewer than 10 retailer bankruptcies in 2020 GAP is in major trouble along with JCP and Macy’s. Neiman is already done. Discretionary retail spending is disappearing as unemployment approaches 10% of the population
expected and predicted that this situation gonna go on for many years on the long term as well
Peanuts for Fed. They will print it overnight 😂
Let's hope big pharma lose also!
Only cure for Low Prices is Low Prices. It is going to hurt, tho.
Don’t care. They can dig into all the profit from years of doing so well.
I guess we won’t be able to produce the gas guzzlers Trump wants after all.