EOG Resources, America's biggest and fastest-growing oil producer, recently announced that it would be cutting spending and drilling in the coming year — moves that will cause production levels to flat-line after years of steady growth. The company says that their actions are also indicative of a larger trend of scaling back production in America. But a U.S. government agency predicts that production on home soil will keep growing. So who's right? According to this Bloomberg Business video, it all depends on how American shale companies — some may pump on the brakes, but others may try to squeak by with minimal profits.
Bloomberg's analysis also tackles the question of where the current oversupply came from — out of OPEC or the U.S.?