“Black gold” has gotten a boost, as OPEC has had limited supply for the better part of two years, and Saudi Arabia has taken the brunt of those cuts to support the Saudi Aramco IPO. The public listing was originally scheduled to debut later this year but has since been delayed until next spring.

While budgetary pressures have pushed OPEC to relax its tight policies, the combination of backing out of the Iran nuclear accord and the declines in Venezuelan output have created a pressure cooker for oil prices. This has threatened a run above $80 per barrel, a key price where oil demand destruction usually starts to take hold.

Remember, OPEC’s desire is to keep oil prices at an optimal price — that is, prices high enough to maintain strong revenues, but not so elevated that it begins to crimp demand and reduce sales. So far, the cartel has appeared to manage this fine line.