“Let's stop criticizing our banks!”

More than ten years after the subprime mortgage crisis, all the light has not been shed, and yet the idea of ​​the guilt of the banks has taken hold firmly in people's minds. They are even blamed for the double fault, since after playing with fire and triggering the crisis, they allegedly asked for help from the States. This unanimous condemnation, the result of incomplete analyzes, is a heavy component of the bank bashing that has raged since then and unfortunately works against our interests. We are indeed at a critical moment when Europe, faced with the domination of American finance and the dollar, must develop its own financial capacities. The development of a strong pan-European financial sector is therefore essential if we particularly want to foster the emergence of future European gafas. 
If it is vain to hope for the complete disappearance of this bank bashing and, one might say, of the bashing market whose roots plunge both in history and in ignor…

For its 60th anniversary, OPEC is not at the party

Because of Covid-19, the Organization of the Petroleum Exporting Countries (OPEC) has waived commemorations planned for Baghdad, Iraq, where it was founded exactly 60 years ago, on September 14, 1960.

For its 60th anniversary, OPEC is not at the party

The Covid-19 has definitely spoiled the party, for the 60 years of OPEC. For health reasons, the commemorations are canceled and postponed indefinitely in Baghdad. It was there that on September 14, 1960, five countries: Saudi Arabia, Iran, Iraq, Kuwait and Venezuela founded the Organization of the Petroleum Exporting Countries. It was then a question of rebalancing the power between the multinational oil companies and the producing states, which received only meager taxes and royalties from the exploitation of their subsoil.

Peak in the 1970s

The pioneers were soon joined by Libya, the United Arab Emirates, Algeria, Nigeria, Ecuador and Gabon. Gone is the system of concessions, room for national companies that deal on an equal footing with private international companies. At its peak in the 1970s, OPEC concentrated more than half of the world’s oil supply. A power which enabled it to impose an embargo in 1973 against the allies of Israel. First oil shock: the price of the barrel climbs from 1 to 10 dollars. Six years later, the Iran-Iraq conflict brought them to 35 dollars a barrel.

OPEC weighs only a third of the world's oil

Since then, the power of OPEC has eroded. In the 1990s, the oil market became more financial. The futures markets deal in the form of paper contracts twice as much oil as the physical market.

More and more formidable competitors are emerging: Russia, Mexico, Norway, the United Kingdom. And of course in the 2000s, American shale oil. OPEC, which has 13 members today, now weighs only for a third of the world market. Venezuela, which had the idea of ​​OPEC, exports almost nothing, Iran, sanctioned by the United States, is on the sidelines. Between diplomatic rivalries and everyone's desire to maintain their market share, OPEC is more difficult to be a cartel than it once was. At the end of 2016, the organization must call on Russia and 9 other producing countries to redress prices. An OPEC + alliance that has struggled to keep the barrel at $ 40 a barrel since the Covid-19 collapsed demand for crude.

But it is still the cheapest oil to produce

Yet has OPEC said its last word? No, not while we're consuming oil. Its member countries have arguably the most abundant reserves and the cheapest crude to produce. OPEC can also take comfort in noting that this time it was urged to act by Washington, which had always opposed its existence.