Pimco's Sundstrom Says Maintaining $60 Oil 'Complicated'

The video discusses the factors influencing oil prices, including the role of shale producers, OPEC, and Russia. It highlights the impact of oil prices on emerging market currencies, particularly the ruble, and the attractiveness of high-yield currencies. The discussion also covers the Mexican peso's valuation in light of Trump's policies, such as NAFTA and border taxes, and the potential risks and opportunities for investors.

What is one reason why US shale oil rigs can quickly adapt to changes in oil prices?

• They can be turned on and off quickly.

• They are heavily regulated.

• They have advanced technology.

• They are located in remote areas.

Why might oil prices above $60 per barrel be difficult to sustain?

• OPEC's inability to comply with cuts.

• Global demand is decreasing.

• Because of the quick response of US shale producers.

• Due to increased production costs.

How does a strong global economy affect oil prices?

• It decreases oil prices.

• It causes oil prices to fluctuate wildly.

• It has no effect on oil prices.

• It helps maintain higher oil prices.

What makes emerging market currencies like the ruble attractive?

• They offer high yields.

• They are stable.

• They are deeply negative.

• They are low-yielding.

What is a potential risk for the Mexican peso under US policies?

• Strong global economy.

• Border adjustment tax.

• High inflation rates.

• Increased oil prices.