One oil chart that says it all

The below chart is from the IEA’s Oil Market Report released on Wednesday. We’re heading towards 2008 levels on Opec production, with Iran crude still to hit properly and non-Opec supplies running strong. “Whether US shale producers end up bowing to Opec, or not, matters little compared to the importance of the signal being sent to the international community and the world of power politics. America can and will stand alone if it needs to, and is prepared to do so whenever the tribute demanded by oil suppliers gets excessive. At the same time, America (and the West) has no problem maintaining Opec as its primary low-cost producer but only if it’s on terms that are reasonable and acceptable.” (VIEW LINK)