Oil Price Watch

[Coyflyte]

This moneing CNBC reported that the NYME crude oil trading pit was filled with more traders than normal yesterday and they all chanted, "Go, Go, Go...!" as the price reached $80 pb.  Why?

"Most large financial institutions have gone long on crude, and each new high tested equates to substantial profits," wrote Simon Wardell, an energy analyst at Global Insight in London, in a research note.

http://biz.yahoo.com/ap/070913/oil_prices.html?.v=15

So, Chip, not only do most people not know what the price of oil is, most also don't understand how the price is derived nor how many are profiting on the price movement.  Not only do they not know, they also don't care as long as it doesn't disrupt their narcisistic consumpion. 

[Chip Haynes]

If ignorance is bliss, we are truly the happiest country on earth.

   The one thing I've often said I am not looking forward to when the oil crash hits, more than anything else, is the crying and whining and moaning from virtually 300 million Americans as they go to gas rationing and the food prices go really nuts. Every last one of them will be clamoring over each other to waddle in front of the nearest local TV news camera and cry about how bad it is, and how they had no warning- and why doesn't the government do something? Yet another reason to not watch TV when the oil crash becomes the ultimate media circus.

And it will.

[coldout]

[If ignorance is bliss, we are truly the happiest country on earth/quote]
Chip- the USA wins hands down but canuckistan is trying real hard to catch up.

[Chip Haynes]

Sorry to hear that, Coldout. I've always thought of our northern neighbors as the sensible ones.

Well, not so sensible that they knew enough to  move someplace warm, but you know what I mean.

Oh, by the way- I think we still have your Stanley Cup down here somewhere. Did you want it back?

 

[Chip Haynes]

Oil's cruising along above $80.50 this afternoon, and yet you'd never know it by the MSM news.

Your 4 o'clock update: Oil clsoed at $80.57.

I find that interesting because in the past, I've seen the price of oil back off as traders got closer to that 4 o'clock bell. Today, there was no back off at all.

What will tomorrow bring?

[Chip Haynes]

Bloomberg had oil at $82.16 as of 3:28 pm today.

Those of you that predicted oil might hit $85 by the end of the year may want to revise that estimate to "end of the month"- if not the end of the week.

[MiccyNarc]

Closing at 82.38.

[Thurston Howell IV]

Closing at 82.38.

Still a bargain.

[the_end]

When I filled up my tank yesterday the petrol cost $1.16 a litre (in Australia we do it in litres). That's a pretty good price compared to this time last year where it was about $1.40 or something (from memory).

[galvheim]

You must understand that this is best felt in the US or some other poor countries that are forced to use US dollars. As the dollar now goes into inflation for real, the price of oil will not skyrocket for us bystanders. Because as the dollar plunge, and the price pr. barrel is only moving up by a few dollars we can still buy cheap dollar to pay the oil for. So it's only in the US and coutries like Cambodia that this will be felt in a hard way. For us here in Norway the price of Gas and Oil is still ok, and not something we talk about like in the past.

This surge in oil-price is partly an effect of dropping dollar value, and not directly peak oil. The rest of the world will not feel any disruptive price changes until we really see peak oil prices, or USA goes fighting with Iran. Then we will se the same, but then again, the US will suffer in a very very hard way.

[suburban_junkscape]

Goldman Sachs predicted $95 by the end of this year. I thought it was pretty crazy at the time. Now we're just a big hurricane or a pipeline blast away.

I remember in 2002 they were saying that if Ras Tanura or Abqaiq in Saudi Arabia were taken out "oil could trade as high as $80 a barrel." Here we are in 2007. Nothing of the sort has happened and we're at $82.

[SaveThePlanet]

Your 4 o'clock update: Oil clsoed at $80.57.

What will tomorrow bring?

Dunno, but the question I'm interested in is, when will America notice? When it was $30, I would have said $60. When it was $60, I was figuring $80 would finally do it. Now its $80, and what happens to the stock market? They are SO excited they run up the DJIA nearly 3%.

[Coyflyte]

Because, STP, when you're a drunk and crave a drink even the smell of it will get you excited.  Pure emotion, anticipation, and speculation drove the market higher today.  As we have all been lamenting for a long time, fundamentals no longer drive the market, especially since it has passed actual market value.  We don't notice the increase in the oil price as it's obviously still too cheap.

[SaveThePlanet]

We don't notice the increase in the oil price as it's obviously still too cheap.

Well I can sure agree with that.

[Bruce]

at 2:54 am oil futures at 80.88.............................Bruce