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Posts: 115 |
  How low will oil/gasoline prices go?
Seems funny that today-Election Day-crude oil prices would jump $6/barrel. The dollar tanked a bit is all. And, has consumption really been cut in half to match the over %50 drop in crude oil prices?
My suspicion: The anti-speculation legislation scared off the market players. Then, of course, came the big Fannie/Freddie meltdown. |
| "Get rid of that nickel-plated sissy pistol and get yourself a Glock", Chief Deputy Marshal Samuel Gerard(Tommy Lee Jones). |
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Posts: 115 |
$1.96/gallon here in NW Ohio. Haven't seen prices like that in almost 2 years. |
| "Get rid of that nickel-plated sissy pistol and get yourself a Glock", Chief Deputy Marshal Samuel Gerard(Tommy Lee Jones). |
Posts: 17337 |
Well, not exactly. The worldwide economy went into the shitter, which, along with the $140+ per barrel price, decimated demand. Commodity selling continued and even accelerated as hedge funds, money market accounts, and other investment vehicles were forced to liquidate accounts due to unwinding leverage, margin calls and redemptions. Oil has probably overcorrected a bit, as has every market vehicle, so $50 per barrel is probably a bit too low, even with the current reduced demand. I wou$60/barrel or above $90/barrel for the next few months, as an equilibrium is reached between producers (like Saudi Arabia, which has recently cut production by about 1M barrels/day) and demand. In the longer term, inflation is going to kick into high gear and send oil right back to it's previous highs, and likely higher, but the economies of the world must first show some signs of turning around. A prolonged (multi-year) recession will delay such move. |
| *EL's Epic Slammy List* | "You'd better get it straight that it's not a bunch of boy scouts you're up against -- then you'll know that this is not the age for beautiful gestures. We're after power and we mean it. Your fellows were pikers, but we know the real trick, and you'd better get wise to it. There's no way to rule innocent men. The only power any government has is the power to crack down on criminals. Well, when there aren't enough criminals, one makes them. One declares so many things to be a crime that it becomes impossible for men to live without breaking laws. Who wants a nation of law-abiding citizens? What's there in that for anyone? But just pass the kind of laws that can neither be observed nor enforced nor objectively interpreted - and you create a nation of law-breakers -- and then you cash in on guilt. Now that's the system...that's the game, and once you understand it, you'll be easier to deal with." - Ayn Rand |
Posts: 18754 |
Since pretty much everything we own is a V8, and has superchargers and all that jazz, I'm pretty excited about it, fuck yeah, wasting gas. Gas prices will go way the hell back up once the weather around here gets decent, just like always. |
| You had better watch your step, Pineapple Face. |
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Posts: 115 |
Didn't oil start its slide before the Freddie/Fannie debacle? My guess is that OPEC producers will cheat like hell on their production quotas. They've run up some sweet bills on the hopes of $145/barrel oil. Russia,Iran and Venezuela thought $140+ oil was here to stay. |
| "Get rid of that nickel-plated sissy pistol and get yourself a Glock", Chief Deputy Marshal Samuel Gerard(Tommy Lee Jones). |
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Posts: 17337 |
Yes, oil peaked in mid July and the FNM/FRE bailout came mid September. As I said, the demand destruction caused by $145/barrel oil started to kill demand, followed by the end of Chinese demand in August after the Olympics, and then the global economic meltdown. Of course, I agree that the rogue OPEC nations will continue to try to pump as much oil as they can, but their production pales in comparison to the major Middle East producers. Regardless of production, demand dictates price much more than supply, and I still contend that oil will consolidate until inflation ramps up. |
| *EL's Epic Slammy List* | "You'd better get it straight that it's not a bunch of boy scouts you're up against -- then you'll know that this is not the age for beautiful gestures. We're after power and we mean it. Your fellows were pikers, but we know the real trick, and you'd better get wise to it. There's no way to rule innocent men. The only power any government has is the power to crack down on criminals. Well, when there aren't enough criminals, one makes them. One declares so many things to be a crime that it becomes impossible for men to live without breaking laws. Who wants a nation of law-abiding citizens? What's there in that for anyone? But just pass the kind of laws that can neither be observed nor enforced nor objectively interpreted - and you create a nation of law-breakers -- and then you cash in on guilt. Now that's the system...that's the game, and once you understand it, you'll be easier to deal with." - Ayn Rand |
Posts: 1911 |
Um...what the fuck is a liter again? How many liters in a foot? (2.09 here in eastern MD) |
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Posts: 17337 |
I don't know, but Jules Verne said it's about 20,000 below sea level until you hit a giant squid. |
| *EL's Epic Slammy List* | "You'd better get it straight that it's not a bunch of boy scouts you're up against -- then you'll know that this is not the age for beautiful gestures. We're after power and we mean it. Your fellows were pikers, but we know the real trick, and you'd better get wise to it. There's no way to rule innocent men. The only power any government has is the power to crack down on criminals. Well, when there aren't enough criminals, one makes them. One declares so many things to be a crime that it becomes impossible for men to live without breaking laws. Who wants a nation of law-abiding citizens? What's there in that for anyone? But just pass the kind of laws that can neither be observed nor enforced nor objectively interpreted - and you create a nation of law-breakers -- and then you cash in on guilt. Now that's the system...that's the game, and once you understand it, you'll be easier to deal with." - Ayn Rand |
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Posts: 18754 |
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| You had better watch your step, Pineapple Face. |
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| Gotta Get'em Before The Fuzz Duzz...I Always Say haha |
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