Alianza Petrolera : Weekly Extract July 25

Oil Alliance: a concept that many probably know but few really understand, it turns out that although there are organizations such as OPEC in which oil exporting countries meet to evaluate markets and transport their merchandise in compliance with regulations, this does not mean that the companies that participate are friends, on the contrary, they are often very aggressive competitors that tend to reach agreements only when the environment demands it.

Last week we looked at some of the factors that influence the price of gasoline and as energy consumption rates have reached record highs. Some analysts and OPEC members fear that this will come to an end in a very dramatic way by falling sharply.

The last few months have seen a huge decrease in oil inventory levels in the United States and while this measure usually indicates strong demand, on this occasion the main reason has been the reopening of refineries as a measure to counteract the high prices of gasoline, which as many know is derived from crude oil.

The American equity markets had a good recovery in contrast to previous weeks where almost all the indexes closed in the red for several consecutive days, as is usually the case, the Nasdaq took the lead with its volatility, reaching 3,33% at Friday's close, Nikkei was the index with the best return and China the only negative one, having negative trends after several regulations in the country caused difficulty in the valuation of Chinese companies.