Regime Change in Venezuela Could Trigger Oil Price Spike Then Slump

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Why This Matters

A potential US regime change in Venezuela could lead to a short-term oil price spike due to the country's large oil reserves, but a subsequent slump is possible as US refineries would be better equipped to handle the oil, reducing global demand and prices.

Market Impact

Market impact analysis based on neutral sentiment with 58% confidence.

Sentiment
Neutral
AI Confidence
58%

Article Context

Note: This is a brief excerpt for context. Click below to read the full article on the original source.

Ever since President Trump ordered the first strike on a boat offshore Venezuela, speculation about a direct intervention in the South American country with a view to regime change has been rife. Much of that has focused on oil, for obvious reasons. For those very same reasons, a U.S. regime change in Venezuela would have far-reaching implications. Venezuela has the largest proven reserves of crude oil in the world. Most of those reserves are heavy crude, for which U.S. Gulf Coast refineries are calibrated. This fact made life temporarily harder…

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Original article published by OilPrice.com on December 10, 2025.
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