OPEC's Strategic Moves Stir Oil Market Uncertainty

As Trump potentially returns to office, he faces a strategic challenge with OPEC, which is maintaining production cuts to keep oil prices profitable for US producers. However, these cuts are straining OPEC's smaller members, risking their exit and weakening the cartel's influence. While OPEC's low production costs give it an edge, US producers are consolidating and reducing costs, making them more resilient. The US market's saturation means increased production relies on exports, but Trump's trade policies could complicate this. OPEC's dilemma is whether to continue cuts or risk a price war that could impact US producers.