Crude oil prices and oil company stocks have risen after the US military raid on Venezuela, which captured Nicolas Maduro. This development has sparked a mixed reaction on Wall Street, with some investors anticipating a surge in investment in Venezuela's oil industry, while others downplay the near-term effects of the US intervention. The upcoming jobs data, set to be released later this week, will likely shift the focus back to the US economy.
The US has the world's largest proven oil reserves, but production has been waning due to US sanctions, mismanagement by the Maduro regime, and underinvestment. President Donald Trump has stated that Maduro's removal will revive output, but analysts have cautioned that this could take years. Meanwhile, the global oil market remains oversupplied, with OPEC+ planning to keep production steady through the first quarter.