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Fair points
Not directly, but a president's foreign policy and an administration's regulation on domestic fracking can have an effect on prices at the pump, which is what most American care about...Obama's foreign policy to not start any new wars in gasland, wind down the old ones and let states regulate fracking has contributed to a oil glut...at the same time that technology is making energy moire efficient.....
Fair points
Hey I knew a lot about the oil industry 10 years ago! Today? Eh, not so much.
Helmerich & Payne yard in Odessa...understand the one in Seguin looks the same...They have so many rigs coming in from the field they can't even lay the masts down for lack of room...
Gas prices creeping back up.
Will be over $2 again in the next week or so, imo.
I drove by that today.
lucky. I haven't gotten it for less than $2.25
labor strikes at the refineries have knocked out 10%+ of refining capacity.
The norm was around $1.79 here. I think the lowest I paid was $1.62 at Sams Club with the five cent member discount.
Read that the unions starting offer was 6% raises every year. That certainly left them a lot of room to negotiate.
Going to guess those are all exploratory rigs.
From what I have been reading, a lot of the pumps out there today have already paid for themselves, so the glut is going to last for a long time, because the operating costs are low enough to still make money pumping.
The seasoned drillers bought new equipment, didn't take on debt, and fixed or upgraded what they could, so they will weather it. (yeah, NPR did a piece on it)
Nope. Those are regular production rigs. They are still pouring into the yard...they have 40 more coming in.
http://www.wsj.com/articles/oil-pric...eek-1423218645
This stuff is difficult to predict.
Since most of us relate this topic to price at the pump we can play a market timing game. I think people that do the, "fill it up now" , or the always popular, " I will get closer to empty before I fill up (deflationary at ude)", would be quite surprised at how poorly they do if accurate records are kept. Market timing is very tough for the average Joe.
supply isn't that volatile day-to-day, demand isn't that volatile day-to-day, so it's more than likely (big) speculators (which includes Kock Bros and other BigOil companies effectively "self dealing"), not "real" market forces. Remember when oil was well over $100+, an oil exec told Congress probably 30% of the price, $30-$40/barrel, was due to speculators.
I never stated this was purely free market.
I said it was difficult to predict for the average Joe.
So you disagree. Why?
So much boot slappn to be done this morning. But alas, I am off.
http://ourfiniteworld.com/2016/01/07...bt-supercycle/I expect that the particular problem we are likely to reach in 2016 is limits to oil storage. This may happen at different times for crude oil and the various types of refined products. As storage fills, prices can be expected to drop to a very low level–less than $10 per barrel for crude oil, and correspondingly low prices for the various types of oil products, such as gasoline, diesel, and asphalt. We can then expect to face a problem with debt defaults, failing banks, and failing governments (especially of oil exporters).
First crude oil export cargo from Houston Ship Channel leaving this week
Although crude oil exports began last week, the first known crude export cargo from the Houston Ship Channel is expected to depart on Thursday evening or early Friday morning.
Houston-based Enterprise Products Partners said it began loading the Liberia-flagged Angelica Schulte tanker on Wednesday with 600,000 barrels of oil purchased by Switzerland-based Vitol, an international trading company that will market the oil in Europe.
http://fuelfix.com/blog/2016/01/06/f...ing-this-week/
As BigOil exports US national treasure, Americans get stiffed.
Boo finally figures out the US is now exporting oil.
You LieBoo finally figures out the US is now exporting oil.
little butthurt CC is stalking me as much as TB
Aramco IPO in the offing:
http://www.bloomberg.com/news/articl...of-the-centuryWhen one financial adviser heard about Saudi Arabia’s plans to list a company larger than the economies of most nations, he had to pull over his car because he was laughing so hard.
Saudi Arabian Oil Co., or Aramco, the world’s largest oil producer, said Friday it’s considering an initial public offering. It confirmed an interview with Deputy Crown Prince Mohammad bin Salman published in the Economist Thursday. The news was greeted with incredulity in the financial industry, according to interviews with a half dozen bankers who do business in the Middle East. They asked not to be identified to protect their business interests.
I saw that. Pretty surprising. You don't do an IPO when you are "down" unless thee is something else going on.
Are they trying to cash out and diversify before the Shia start ing with their eastern oil fields?...they could get ed up in a hurry. The Saudi Monarchy has taken a radical turn and really kicked over the hornets nest whacking that Shia clerics head off.
what are chances highly secretive ARAMCO will expose its financials, or is the market supposed to believe in "Allah will it"?
the oil crash plus deficit spending plus demographics have the Saudis in a tough spot. deficit spending isn't sustainable at current levels with oil prices this low, but austerity has ominous implications for political stability internally and thus, for continued regional hegemony.
Saudi's are in the middle of several proxy wars. THose are pricey.
and a hot one in Yemen
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