Alex Frangos

So they lose a lot of money compared to back when they were a legitimate member of the global economy.

Yeah, it's a steep discount, but there are fewer buyers because India is saying they're not going to buy as much.

And so then you're left with China.

And there are certain buyers in China who are willing to take it, but not everyone, because the other dynamic here is there's a lot of oil in the world right now.

The oil price in general isn't that high.

So refiners, these so-called teapot refineries in China, the kind of independent, more nimble refiners who buy a lot of illicit oil from places like Russia and Iran and until recently Venezuela, they can afford to say, we'll keep waiting till the price goes down more.

That was Journal Finance Editor Alex Frangos.

Alex, thanks as always.

Thank you.

Warsh is very much the candidate that Wall Street and markets probably are most comfortable with.

He's a former Fed governor.

He has deep ties on Wall Street.

But in recent years, he's become more of a Trumpian economic thinker.

He's been very pro-rate cut during this process, something that will have been pleasing to Trump's ears.

But the question is, which Kevin Warsh will show up at the Fed?

Is it going to be the old Kevin Warsh, who was someone who wasn't afraid to go against the Fed consensus?

census or the one who more recently thinks the same tune as Trump in terms of pro tariffs and wanting rate cuts, even while others think there's still inflationary pressure in the economy and therefore you shouldn't.

So I think Trump has to worry a little bit that he puts the guy in and then he goes against him.

And that's been his big reservation.

But clearly he got comfortable with Warsh and that's the way it's going.