Macro Investor: Oil to flow post election?

In the lead-up to the US election, the biggest risks and macro drivers for the oil price are political. Having said that, with both Romney and Obama committed to domestic energy sources, oil and gas is unlikely to experience a change of outlook on either president. Romney’s free-market and carbon-friendly credentials are balanced by Obama’s more accommodative fiscal policy stance, which should drive the demand-side. Either way, we view both as bullish for US-focused oil companies in the short-term.

Looking at the universe of Australia’s oil and gas juniors, two firms are worth a closer look…

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.