This was before news of President Trump’s blockade of sanctioned oil tankers in Venezuela. This is the first U.S. blockade since 1962, when President Kennedy enacted a blockade around Cuba in the Soviet missile crisis. China can buy oil somewhere else, but it won’t be as cheap as the oil that it gets from Venezuela. The global oil surplus and the current low price per barrel will soften any short-term negative effects. Still, investors should be watchful for how it will affect global political tensions and the overall surplus of global crude oil.

Source: Wall Street Journal December 20, 2025 06:55 UTC