Crude Volatility

Crude Volatility traces the history of oil price volatility from the birth of the modern oil industry in 1859 through present day. The book examines how markets, governments, and major industry players have attempted to manage and control oil prices over different eras. McNally breaks down the evolution of oil price patterns into distinct periods, analyzing the forces and mechanisms that drove stability or chaos in each phase. The narrative moves from John D. Rockefeller's early efforts at price control through the Texas Railroad Commission era, OPEC's rise and decline, and into the current age of price swings. The work draws on historical records, market data, and firsthand accounts from key figures in the oil industry and government. Technical concepts about oil markets and price dynamics are explained through real historical examples and cases. The book presents oil price volatility as a defining feature of modern economic life, suggesting that periods of price stability have been exceptions rather than the norm. This perspective offers insights into both past attempts at market management and future energy challenges.

Readers describe this as a detailed historical analysis of oil price volatility, focusing on key market shifts from 1859 through modern times. Readers appreciated: - Clear explanations of complex oil market dynamics - Integration of historical events with economic analysis - McNally's insider perspective from his time in government - Charts and data supporting the key points Common criticisms: - Technical language can be challenging for non-experts - Some sections become repetitive - Limited coverage of environmental factors - Focus mostly on US markets rather than global Ratings: Goodreads: 4.1/5 (89 ratings) Amazon: 4.5/5 (42 ratings) Notable reader comments: "Explains oil's boom-bust cycles better than any other book" - Amazon reviewer "Heavy on economic theory that casual readers may find dense" - Goodreads review "Would benefit from more discussion of alternative energy impacts" - Goodreads review

The Prize by Daniel Yergin The history of oil from 1850 to 1990 traces the economic and political power struggles that shaped global markets and international relations.

Oil on the Brain by Lisa Margonelli The journey of oil from ground to gas tank reveals the complex web of global commerce, geopolitics, and market forces that drive petroleum economics.

The Quest by Daniel Yergin The examination of energy security, climate change, and the global race for energy resources demonstrates the intersection of markets, technology, and international politics in the modern era.

The End of Oil by Paul Roberts The analysis of peak oil theory and the transition to alternative energy sources explores the economic and technological challenges facing the global energy system.

Carbon Democracy by Timothy Mitchell The investigation of oil's role in shaping modern democracy and economic systems illustrates how energy resources influence political structures and market dynamics.

🛢️ Prior to becoming an author, Robert McNally served as an energy advisor to President George W. Bush and worked extensively with the National Security Council. ⚖️ The book explores how the abandonment of oil market management by Texas regulators in 1972 led to the modern era of crude oil price volatility. 🌎 During the first 100 years of the oil industry (1860s-1960s), just three entities controlled global oil prices: John D. Rockefeller's Standard Oil, the Texas Railroad Commission, and OPEC. 📈 The term "wildcatter"—describing independent oil explorers taking big risks—originated because early Texas oilmen would drill wells in remote areas where only wild cats were thought to roam. 🏭 The book reveals how the U.S. Texas Railroad Commission, despite its name, became the world's most powerful oil regulator by controlling production levels to maintain price stability from the 1930s through early 1970s.