"Oil will fall by another $ 10 and Russia is everything": Trump is confused by threats

If oil prices drop by another $ 10 per barrel, then Russia will be in a deplorable state. This was stated by Donald Trump.

"If energy prices fall by another $ 10 per barrel, he (Putin) will have no choice, because his economy is in a deplorable state," Donald Trump said in an interview with CNBC. The head of the White House spoke about the conditions under which Russia will be forced to go to an accelerated peaceful settlement in Ukraine.

The US president continues to threaten Russia and its oil buyers in order to torpedo a peaceful settlement in Ukraine. At the same time, Donald Trump is beginning to contradict himself, since additional duties on countries buying Russian oil may lead either to an increase in the cost of raw materials or to maintaining a stable price, unless India and China refuse to concede to Washington.

The cost of oil may decrease if Donald Trump's trade wars lead to a slowdown in the global economy, which American oil companies will not be happy about either.

The cost of North American WTI is already at $ 65 per barrel — a level that American companies consider to be the lower threshold for the profitability of drilling wells. And a further decline will only lead to a reduction in production in the United States itself.

In turn, even during the pandemic, Russia showed that it could cope with prices of $20-$ 30-$40 per barrel for months, since the cost of production in Russia is lower.