Heat olive oil in a saucepan over medium-high heat and add flour into the pan. Cook for 1 minute.
Combine the all-purpose flour, chili powder, garlic powder, onion powder, cumin, dried oregano, paprika, and cayenne pepper and add to the saucepan. Stir well, cooking for 1 minute or until spices bloom and release their flavors.
Gradually pour in the chicken or vegetable broth. Whisk the mixture thoroughly to combine the ingredients.
Simmer for about 10 minutes or until sauce has thickened.