The chaos in Venezuela could take down more than just the Maduro regime, according to one strategist.
“The Cubans are the ones who are running the show in Venezuela,” Bulltick Chief Global Markets Strategist Kathryn Rooney Vera told Yahoo Finance’s “On the Move” on Wednesday. “As soon as Venezuela falls, what we are going to see is Cuba fall in its wake.”
Cuba is among numerous countries including Russia, China, and Iran that have stood firm behind President Nicolás Maduro.
President Donald Trump has threatened action against those backing the current regime, tweeting:
If Cuban Troops and Militia do not immediately CEASE military and other operations for the purpose of causing death and destruction to the Constitution of Venezuela, a full and complete....— Donald J. Trump (@realDonaldTrump) April 30, 2019
....embargo, together with highest-level sanctions, will be placed on the island of Cuba. Hopefully, all Cuban soldiers will promptly and peacefully return to their island!— Donald J. Trump (@realDonaldTrump) April 30, 2019
The U.S. along with Brazil and several EU countries has backed opposition leader Juan Guaido. Guaido called for an uprising against Maduro this week, urging military leaders to join his cause. Venezuelans have taken to the streets in support since his call.
Rooney Vera says Maduro does not belong in office. “This is not a coup and it’s so critical to highlight that point,” she said. “President Maduro is not the legitimate president. It’s against the constitution and the last presidential election was deemed illegitimate.”
The chaos in the oil-rich nation has caused turmoil in the commodity market as traders remain unsure if Guaido’s claim to power will be a success. Production in the OPEC country has seen a steep decline in recent years, with exports falling from a peak of 2.38 million barrels per day in the third quarter of 2015 to just 840,000 currently.