The Macro Minute with Darius Dale Why should investors care about Venezuela?
Jan 6, 2026
Venezuela's potential oil revival could drastically impact global inflation and energy prices. With 303 billion barrels in reserves, the country's production has plummeted by 71% since 1997. Darius highlights U.S. energy majors like Chevron as key players in any recovery. He also discusses the operational risks posed by storage constraints and well shutdowns. Additionally, persistent repo market stress raises questions about Fed response, with signs pointing towards increased reserve purchases to stabilize markets.
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Venezuela's Massive Reserve Leverage
- Venezuela holds roughly 303 billion barrels, about 18% of global proven reserves.
- Restoring output could materially depress long-term crude and gasoline prices and pressure reported inflation.
U.S. Majors Poised To Benefit
- U.S. oil majors like Chevron and ConocoPhillips stand to gain from a revived Venezuelan industry.
- Re-entry could accelerate output and shift energy-equity performance if sanctions unwind under U.S. policy.
Rodriguez As A Pragmatic Energy Bridge
- Delcy Rodriguez is framed as a pragmatic bridge between government and private capital.
- Her positioning could speed output recovery and political stabilization if sanctions are eased quickly.