Energy analysts on Wednesday morning struggled to forecast what Donald Trump’s upset win meant for the energy industry. Some counseled calm as they worked through their predictions.
“We see nothing from the election result that alters our view of a tightening global oil market,” the energy investment banking firm Tudor Pickering Holt told clients early Wednesday.
Tudor Pickering, however, did point out a few clues to divining a Trump presidency. This summer, Trump floated oil and gas investor and shale developer Harold Hamm as secretary of energy, which could make him the first oil executive in the cabinet seat.
Trump also campaigned on reducing regulation. Maybe the Environmental Protection Agency, the firm suggested, will use the Endangered Species Act to block development less frequently than prior administrations?
And Trump’s policies may well affect U.S. macroeconomic growth, either boosting or suppressing overall demand for energy.
Tudor Pickering’s morning note even paused for a light-hearted moment. Will gas exports to Mexico, the firm asked, go under or through the wall?