Ryan Adams

We're going to strike Qatar for some reason.

Okay.

We're just going to bring Qatar into the mix.

And so as a result, oil production, separate from how this rate of hormones is closed, oil production in the region is getting constrained just by people striking each other.

So that's causing price to spike.

Brent crude is just specifically the oil.

It's not exclusively this, but if you are looking at the Brent crude price, you are largely seeing the price of oil that comes out of the Middle East, out of the Persian Gulf.

This oil is consumed by Asia and the EU predominantly.

You also have WTI West Texas Intermediate.

That's kind of the North American oil market.

Typically, Brent and WTI, they trade around each other because oil markets are global.

If somebody can buy cheap oil and sell it at a higher price somewhere else, they will.

They're pretty liquid generally, right?

They're pretty liquid.

There is a divergence.

Usually the spread between WI and Brent is about $2 to $5 a barrel.

Right now it's clocking in at $17.

And so that spread- The divergence is $17.

The divergence is $17.

So Brent is $17 more expensive than North American WTI.