DerBetrüger (@value_seeker

Trump & oil/gas: Will the big boom come this time?

Trump is back on the political stage and promises to push the oil and gas industry: more drilling, new power plants, fewer regulations. Sounds like a clear downward trend for share prices, doesn't it?

But anyone who remembers knows that oil and gas prices rose when Trump was president - despite his pro-fossil fuel agenda. Biden, on the other hand, who is publicly in favor of reducing oil and gas, has seen prices fall. Sounds paradoxical, but the market often seems to react differently to political promises.

What do you think? Will Trump's candidacy drive prices up this time, or will the market remain stubborn and once again move against the political announcements?

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$IOGP (+0.16%)
$XOM (-0.4%)
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Swain@Swain

1Wk

But doesn't that make sense? More support means more supply, so the price goes down.

If there is a shortage, exactly the opposite - the same demand with falling supply, so the price rises.

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Nick@Nick-investing

In all fairness, one should bear in mind that such production only pays off after a while. I would say that new wells and pipelines take a few years to plan and build.