Trump's Venezuela Move Rattles Oil Market; Experts Forecast Price Trajectory

Commodity
M
Moneycontrol•05-01-2026, 14:59
Trump's Venezuela Move Rattles Oil Market; Experts Forecast Price Trajectory
- •US captured Venezuelan President Nicolas Maduro, facing drug trafficking charges, with Trump stating US will manage Venezuela's oil.
- •Oil prices fluctuated, Brent and WTI fell, as fears of oversupply and weak demand project a significant 2025 decline.
- •Venezuela holds the world's largest oil reserves, but outdated infrastructure and US sanctions limit its current production.
- •Experts M.K. Surana and Kaynat Chainwala believe Maduro's capture will have limited immediate impact on global supply due to low production and OPEC+ policy.
- •Long-term, a US-led rebuild of Venezuela's oil industry could bring significant barrels back, potentially stabilizing prices between $50-62 by 2026.
Why It Matters: US actions in Venezuela cause oil market jitters, but experts foresee limited immediate supply impact and stable prices long-term.
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