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Soviet. What may be U. S. oil's most serious affliction of all is Soviet oil. Last week the U. S. S. R. celebrated the completion in two and one-half years of the oil phase of its Five-Year Plan. But last week World Petroleum scouted the rumor that Soviet oil may capture the rich Chinese market (chiefly in kerosene) from U. S. interests. It was thought that the U. S. S. R. was afraid that by fighting for China it would antagonize Standard Oil of New York and its fiancee, Vacuum Oil, large purchasers of Soviet oil.
Temperature. The chart of the U. S. oil giant's condition is a price chart. In California last week came the third drastic price-cut in three weeks. High-grade California oil sells in Los Angeles now for 35¢ a barrel against $1.48 at the start of the year. Mid-Continent oil is selling at 53¢ against 81¢ at the first of the year. Last week gasoline stocks reached a new high for the year of 47,444,000 bbl. against 42,818.000 bbl. Jan. 1 and 55,239,000 bbl. a year ago. Refineries were operating at 65.3% of capacity against 70.9% at the same time last year. During the first two months crude oil production was 126,636,000 bbl. against 153,964,000 and imports 9,142,000 bbl. against 9,770,000.