Oil price at zero or below. Just imagine how quick the coffers of some oil-producing and exporting countries would be drained. US shale drillers would essentially shut-in and sit it out. Lenders to shale have nothing to gain by pushing for bankruptcies so in many cases they will go along hoping for better times. But these low prices will kill a lot of producers real quick and then the market comes back. Shale would restart and have proven that it can weather major storms. Russias and OPEC’s credibility would be in tatters.
West Texas Intermediate crude oil, the U.S. benchmark, fell by more than 10 percent Wednesday to a low of $24.21 a barrel, a level last seen in April 2002.