Chevron CEO Warns of China Return on Oil Prices

There is a lot of strain on commodity markets at present and it wouldn’t take a big surge from China to push against these constraints according to Chevron’s CEO Mike Worth in an interview with Bloomberg TV.

• He said that shorter term demand figures out of China were hard to interpret but longer terms trends were becoming apparent. He said there were signs that the economy was moving forward but that had not filtered fully through into commodity prices yet.
• He added that post pandemic supply is struggling to keep up with demand globally and that shipping lanes were much longer than they were before, adding further strain to the market.
• On prices he said ‘” We try not to predict prices because your always wrong.”
• Worth believes that the US government will fill the SPR slowly and it won’t come in a large surge which will “probably be something the market can handle.”