Home » Behavioural Investing » France’s Reason for Supporting US Strikes Against Syria $SLB $TOT

France’s Reason for Supporting US Strikes Against Syria $SLB $TOT

France has two very large cap reasons for supporting US cruise missile strikes against Syria. Schlumberger (NYSE:SLB) which has operated in Syria will stand to gain huge repair and construction contracts. The civil war is creating a lot of damage and eventually economic thinking will prevail. Schlumberger with offices in Houston is headquartered in Paris.

Total Petroleum (NYSE:TOT) is the French Oil company with a deep background in Syria. Syria does not rank with Iraq or Saudi Arabia for reserves. But the oil is commercially feasible and can easily be exploited.

Currently because of EU sanctions Europe is not importing oil from Syria. At least that’s what the regulators are told. But it is so close it makes sense to ship to Europe.

Before the current stupidities over half of Syria’s oil exports were split between Germany and Italy. European recovery would be well served by cheap supplies close to home controlled by European companies.

France understands geo-political leverage and will fight alongside Americans to get it.

George Gutowski writes from a caveat emptor perspective. Follow him on Twitter @financialskepti

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