Description
The price of oil last year was low due to the fact that covid stopped people from flying and people were working from home and oil prices dropped. Oil was so in abundance that prices dropped to as low as $33.00 dollars a barrel, in fact 1 month oil closed at negative $ 37.63 a barrel for the first time in history which means they would pay you to take it. The keystone pipeline has not even been built so it has no effect on oil prices. Oil is a commodity and trades on the commodities market and that is where the price is determined. Oil prices got so low last year that many small drillers were losing money and went bankrupt or shut down their wells. there are over 1000 wells capped off in this country. American companies export over 3 million barrels of oil a week. America being oil independent has nothing to do with the price of oil since oil is traded on the international market. If you think for one moment American oil companies are going to sell oil in this country cheaper than what the commodities market is you are sadly mistaken. The cost to produce a barrel of oil stays constant for these companies, the only thing that changes is the market price. No matter how much oil we produce these companies will sell oil based on the the commodities market. You don't see them rushing to open those capped wells do you.
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