Yesterday (7/4) and today (7/5) crude oil futures for August closed over $75 a barrel...record highs since crude futures began trading in 1983.
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Crude Oil Surges Over $75 a Barrel
- Thread starter miraCRD
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JHZR2
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there is a lot of uncertainty in the world, and they have us cornered with all the low MPG vehicles that people HAVE to reasonably use...
Not much we can do at this point unfortunately, except not buy it.
JMH
Not much we can do at this point unfortunately, except not buy it.
JMH
money money money moooneeyy..... MONEY
This was an aftershock of the Korean missiles being fired.
Fear and greed.
Fear and greed.
Yes, they find every excuse to raise the oil price. Next thing small meteor will fall in Antarctic and they will raise oil price $10 more on fear of possibility of bigger meteor hitting refinery.
Get used to it. Hang on when the first prediction of a Gulf Hurricane hits. People will run to the gas pumps like so many sheep and that will spike it even more.
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Speculators + Traders = Chicken Littles
Al's right, too. G0D help us if a hurricane hits (or threatens to hit) the Gulf Coast again anytime this season. You can say hello to $4-$5/gallon gas for a long, long time if that happens.
The only good thing will be that if gas does go to 4-5 bucks, it WILL curb demand, and eventually the price will come back to where it is now or a bit lower.
Al's right, too. G0D help us if a hurricane hits (or threatens to hit) the Gulf Coast again anytime this season. You can say hello to $4-$5/gallon gas for a long, long time if that happens.
The only good thing will be that if gas does go to 4-5 bucks, it WILL curb demand, and eventually the price will come back to where it is now or a bit lower.
Schmoe, dont you worry! Some kid in Wyoming is gonna choke on a piece of cartilage from a Big Mac and end up in the hospital, and oil prices will soar to a new record high.
You got that RIGHT! Seems like if someone even sneezes loud "over there," prices go up as in a knee jerk reaction. Just like the stock market. Sometimes too much media is a bad thing. Unless I see a mushroom cloud, I don't want to know anything!!!
I need to sit down and research it. There is a confluence of too many factors and everyone gives me a different story. China, India, speculation, lack of refining capacity ... and so on. For Fuel to go from 20$/bl in 1998 to 75$/bl in 2006 is a near 400% gain. That waaaaay out steps inflation, and makes one heck a capital gains situation. That is what irks me 400% price increase this fast.
Valero stocks have tripled too. Russian Lukoil and their partnership with ExxonMobil is new on the scene and they are blazing as well.
If market prices control oil, than how come oil corporations seem to make a disparate profit gain to the bl price? In other words should not the profit margin remain constant regardless of bl trading price? I hate to lend credibility to anti-capitilists that blame conspiring corporations for everything and personal laziness.
On Alberta's oil sands/tar, is it true right now it is not profitable to refine it but at 100$ it will be quite attractive?
What are the depth limits for deep sea drilling and how far can we go as engineering progresses?
Valero stocks have tripled too. Russian Lukoil and their partnership with ExxonMobil is new on the scene and they are blazing as well.
If market prices control oil, than how come oil corporations seem to make a disparate profit gain to the bl price? In other words should not the profit margin remain constant regardless of bl trading price? I hate to lend credibility to anti-capitilists that blame conspiring corporations for everything and personal laziness.
On Alberta's oil sands/tar, is it true right now it is not profitable to refine it but at 100$ it will be quite attractive?
What are the depth limits for deep sea drilling and how far can we go as engineering progresses?
If inflation is described in terms of M3 money supply, inflation has been 1000% since 1980. But a barrel of crude has gone from $35 in 1980 only to approximately $75 today.
If the price of oil had just kept pace with the expansion in money supply, you would be paying $350 (a fair price for a barrel of oil, IMHO), instead of just $75.
Be very thankful that billionaires such as Bill Gates, Warren Buffet, etc., hoard their fiat wealth, instead of trying to convert it to physical goods. If the rich of the world suddenly wanted to start spending their fortunes (presumably...on stuff that involves oil to manufacture/use), oil would be affordable for nobody. The greed of rich people is the only thing that has saved earth from destruction thus far, definitely not the wasteful spending of the uninformed and ignorant of the world.
When the price is bid up the seller of the commidity benefits..its not the supier's fault that people demand the product and are willing to pay for it.
And a small difference in supply (smaller) and demand (bigger) can drive up costs way out of reason and proportion....Imagine 9 bags of rice that normally go for $10 each....winter is coming and 10 families are bidding on those 9 bags and one family will starve to death. Question: Will the bags sell for $10 each?
Originally Posted By: Al
And a small difference in supply (smaller) and demand (bigger) can drive up costs way out of reason and proportion....Imagine 9 bags of rice that normally go for $10 each....winter is coming and 10 families are bidding on those 9 bags and one family will starve to death. Question: Will the bags sell for $10 each?
Hehe, nice crystal ball buddy. You predicted the rice shortage 2 years ago..
And a small difference in supply (smaller) and demand (bigger) can drive up costs way out of reason and proportion....Imagine 9 bags of rice that normally go for $10 each....winter is coming and 10 families are bidding on those 9 bags and one family will starve to death. Question: Will the bags sell for $10 each?
Hehe, nice crystal ball buddy. You predicted the rice shortage 2 years ago..
Originally Posted By: pitzel
Hehe, nice crystal ball buddy. You predicted the rice shortage 2 years ago..
Honestly hate to be right here (for a change). Wow you musta' have had a fun Sat Night. Hahahaha..J/K
Hehe, nice crystal ball buddy. You predicted the rice shortage 2 years ago..
Honestly hate to be right here (for a change). Wow you musta' have had a fun Sat Night. Hahahaha..J/K
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