Perhaps the most over-hyped and misused phrase in the trading world is “paradigm shift,” yet the proliferation of U.S. energy production has created just that. And it will take the world’s energy producers and consumers a while to get used to it.
The shale gas revolution in the United States has led to a collapse in prices but is too big to keep to ourselves. That is turning natural gas from a domestic market to a global one, and the global demand may cure the current low prices.
The U.S. oil boom has put European refineries out of business and undercut West African crude suppliers. Now domestic drillers threaten to roil Asian markets and challenge producers in the Middle East and South America.