For OPEC, Russia and others that have lived off oil (and little else) for decades, the worst-case scenario is about to become the present-tense scenario. America has discovered the magic beanstalk, and it is named “shale oil production.” The U.S. now has the ability to not only be energy self-dependent but to become a major exporter of oil and natural gas and spin the world on its axis. America now owns the magic beans, and all it needs to do is plant them and water them with care.
OPEC can’t quite believe it, and the cartel is in denial. The markets can’t quite believe it, either, as OPEC spews the nonsense that we have listened to, and believed in, for far too long -- that it can control supply and, therefore, prices.