Category Archives: Oil

“Judicious investment” in oil

"Downgrading the forecast, IEA said the oil demand would rise 0.6% or 540,000 barrels per day on average during 2008-2014. In its latest Medium-Term Oil Market Report, the Paris based agency said the oil demand would rise to 89 million … Continue reading

Posted in Oil | 25 Comments

Oil Prices, OPEC and the Financial Markets

"It's a warm spring day in Vienna, and OPEC delegates meeting in the former imperial capital seem more relaxed than they have been in months. There is less behind-the-scenes skullduggery than usual. Instead, it's an opportunity to hold leisurely dinners … Continue reading

Posted in Oil | 24 Comments

Cheap gasoline will mean big cars.

El presidente has decided to give GM and Chrysler money from the TARP.  They have until March to re-structure enough to survive as distinct business entities.  If they can’t do that they have to re-pay the money.  Oh?  With what?  … Continue reading

Posted in Oil | 30 Comments

I bet that OPEC can’t…

"Crude-oil futures soared above $49 a barrel Thursday, propelled by sharp weakness in the dollar and expectations that the Organization of Petroleum Exporting Countries will deliver a significant production cut next week. Crude for January delivery rose $4.46, or 10.2%, … Continue reading

Posted in Oil | 19 Comments

Is the price of oil a tolling bell?

The price per barrel is now approaching $42.  We should consider the implications.  If the price of crude continues to fall, then at some point there will be widespread shut-downs of production and exploration. OPEC will meet soon to seek … Continue reading

Posted in Oil | 37 Comments

How low will oil go?

By now, those of you who are interested have noted that the price of crude dipped balow $50/barrel today. You may also have noticed that I have thought for some time that much of the price range that was achieved … Continue reading

Posted in Oil | 25 Comments

Will OPEC production cuts work?

"Even the Saudis, who argued for keeping the markets well supplied at the last OPEC meeting, seemed to have been struck by the speed of the price drop. When prices spiked this summer, the cartel’s leaders attributed the jump to … Continue reading

Posted in Oil | 20 Comments

Oil – Down, Down, Down.

No comment needed, but….  Seems like this is a predicted Black Swan.  Musta been dumb luck on the "Casenova the Turkey" model. pl

Posted in Oil | 17 Comments

Fabius Maximus teaches us. Thank You, Fabius.

Our brother Fabius, who evidently writes about oil was courteous enough to inform me that he has posted the following in his blog.  I thank him for his help in explaining this complex phenomenon.  So many have sought to help … Continue reading

Posted in Oil | 42 Comments

“How to burn the speculators” – Galbraith

"On these matters, there is a quick fix. Under pressure, the cftc is closing the London loophole. Early in the next administration, Congress must slam shut the Enron and swaps loopholes. Index speculation should be curtailed by making such strategies … Continue reading

Posted in Oil | 27 Comments