Last Updated on January 6, 2026 12:09 am by INDIAN AWAAZ
AMN / BIZ DESK
Global energy markets reacted cautiously after U.S. forces captured Venezuelan President Nicolás Maduro in a surprise Caracas operation, with oil prices showing only limited movement despite the geopolitical shock. Futures edged up briefly in Asian trading, but analysts said the restrained response reflected Venezuela’s sharply reduced oil output—now below one million barrels per day—and a market already pressured by excess supply and weak global demand.
The development followed the January 4 OPEC meeting, where Saudi Arabia and its allies decided to keep production policy unchanged, citing fragile demand and ongoing economic uncertainty across West Asia and major consuming economies. For Gulf producers, Venezuela’s eventual re-entry into global oil markets could alter supply dynamics, especially as competition intensifies in crude and petrochemical exports.
U.S. President Donald Trump has said American oil firms will invest heavily to revive Venezuela’s battered energy sector. However, experts caution that any meaningful recovery would take years of capital investment, given deteriorated infrastructure, sanctions-related constraints, and the technical challenges of producing heavy, high-sulphur crude amid a global energy transition.
In the near term, analysts expect oil prices to rise only marginally—by around two to three dollars per barrel—driven by risk sentiment rather than fundamentals. Over the longer term, a gradual Venezuelan supply recovery could add bearish pressure to prices. Metals markets remain largely unaffected for now, though Venezuela’s mineral reserves may attract attention if reforms and stability materialise.