The global oil market is well-supplied despite tensions between the U.S. and Venezuela, with Venezuela’s oil supply dropping to 860,000 barrels per day in November. Further declines are expected due to U.S. actions in Caribbean waters. A regime change in Venezuela could impact global benchmark prices as Venezuela’s heavy crude is a significant export. However, if sanctions are lifted, Venezuela’s production could increase significantly in the short and long term. Lower Venezuelan supply may not be a bad thing in an oversupplied market, with oil prices expected to average below $60 per barrel next year.

Read more at Yahoo Finance: Venezuela’s Falling Crude Supply Won’t Budge Global Oil Market