Illustration: Aïda Amer/Axios

Policymakers worldwide are eyeing new moves to shore up collapsing oil markets and, in the U.S., help distressed companies — but there is probably no safety net big enough.

Driving the news: President Trump yesterday said he told the Treasury and Energy Departments to come up with a financial aid plan for the oil sector.

  • Saudi Arabia said it's "prepared to take further measures jointly with OPEC+ and other producers," while some OPEC+ ministers held a videoconference yesterday but did not announce any new steps.
  • Australia today announced a US$60 million plan to take advantage of low prices to buy oil for strategic stockpiles, some of which will be held in the U.S. Strategic Petroleum Reserve.
  • International Energy Agency boss Fatih Birol called for three steps, including faster and deeper cuts from countries that have committed to throttle back production.

But, but, but: The measures, most of them inchoate for now, are unlikely to be enough to substantially reverse the trajectory of oil markets responding to the collapse in demand from the coronavirus pandemic.

  • The global benchmark Brent crude is still trading at around $20 per barrel this morning, up a little after tumbling to $16 earlier in the day.
  • But it's still down from nearly $70 in early January, a roughly 70% drop, and the collapse in U.S. prices has been even steeper (more on that below).
Data: FactSet; Chart: Axios Visuals

The big question: What precise form the Trump administration efforts will take, and whether there's a deal to be made with Democrats for potential steps that would require Capitol Hill action.

  • "We look forward to both looking at both existing capabilities we have, and that will be something we may need to go back to Congress and get additional funding for," Treasury Secretary Steven Mnuchin told reporters at a White House briefing last night.

Go deeper: A world locked down and drowning in oil

Go deeper

Ben Geman, author of Generate
Jul 30, 2020 - Energy & Environment

Oil giants Shell and Total report profits despite staggering earnings declines

Photo: Patrick Pleul/picture alliance via Getty Images

Shell and Total SA announced mammoth earnings declines Thursday that reflect the pandemic's toll on energy prices and demand, but the companies nonetheless beat expectations and eked out profits.

Driving the news: Shell announced second-quarter adjusted net earnings of $638 million, an 82% decline from the same period last year.

Updated 6 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 1:30 a.m. ET: 31,779,835 — Total deaths: 975,104 — Total recoveries: 21,890,442Map.
  2. U.S.: Total confirmed cases as of 1:30 a.m. ET: 6,933,548 — Total deaths: 201,884 — Total recoveries: 2,670,256 — Total tests: 97,459,742Map.
  3. Health: CDC director says over 90% of Americans have not yet been exposed to coronavirus — Supply shortages continue to plague testing.
  4. Politics: Missouri Gov. Mike Parson tests positive for coronavirus — Poll says 51% of Republicans trust Trump on coronavirus more than the CDC.
  5. Technology: The tech solutions of 2020 may be sapping our resolve to beat the coronavirus
  6. Vaccines: Johnson & Johnson begins large phase 3 trial — The FDA plans to toughen standards.
  7. Sports: Less travel is causing the NBA to see better basketball.
  8. Future: America's halfway coronavirus response

"Not enough": Protesters react to no murder charges in Breonna Taylor case

A grand jury on Wednesday indicted Brett Hankison, one of the Louisville police officers who entered Breonna Taylor's home in March, on three counts of wanton endangerment for firing shots blindly into neighboring apartments.

Details: Angering protesters, the grand jury did not indict any of the three officers involved in the botched drug raid on homicide or manslaughter charges related to the death of Taylor.

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