Perspectives Blog

Increasing energy independence and the U.S. economy

Columbia Management, Investment Team | May 7, 2013

The U.S. petroleum trade balance has shifted. Development of domestic energy sources benefits domestic goods producers with lower costs. Energy exports modest, but on the increase. Investors should note the recent shift in the U.S. petroleum trade balance. For many decades, the United States has largely imported oil and petroleum products, widening our trade deficit and increasing our dependence on foreign energy. With the shale-gas developmen…

Rebalancing the U.S. economy

Marie M. Schofield, CFA, Chief Economist and Senior Portfolio Manager | January 13, 2014

…kely to add to domestic production are trade and capital spending. As to trade, the catalyst here is incremental domestic energy production and the diminishing dependency on oil imports which materially narrow trade deficits. Petroleum imports fell 6% (the lowest level since 1996), and petroleum exports rose 4% (to record highs) adjusted for inflation. The shale revolution together with increased energy efficiency has put the U.S. on the path tow…