i just cant believe world demand has doubled the price of oil in 4 years, just doenst seem reasonable. I've read all the explanations but still dont buy it.
its more than worldwide demand. look at the value of the dollar over the last 4 years....
Jimmy I agree.
Zacs, it has to be a mix of that, demand to a smaller degree and speculation.
Bryan
Originally Posted by #^&#^&#^&#^&#^&#^&#^&#^&#^&#^&#^&
"For once I agree with Spence. UGH. I just hope I don't get the urge to go start buying armani suits to wear in my shop"
wow - I went to Europe in 2001 and 1 dollar bought @ 1.15 E
i know... its crazy. you would think it would be the number one story on the news every night. it barely gets a mention, because i think most Americans don't understand how currency effects things.
It is especially hard for a guy like me that sells imported commodity (seafood). I have to tell this story day in and day out, to people who should understand it. They usually just look at me and scratch their head when I tell them this is the reason their prices are increasing 15% year over year.
i just cant believe world demand has doubled the price of oil in 4 years, just doenst seem reasonable. I've read all the explanations but still dont buy it.
I believe that market speculation is 66% of the run up. Even the Saudis have said 40% is speculation. All the capital markets are in decline the only place to make money is in commodities. Remember the sugar run-up? the siliver run-up? Oil is no different other than we all use it.
Speculation,obviously is a huge part of it,but why?What do they know,that we don't?I saw a documentary on the Sundance channel,While I don't normally buy into everything I see on tv,this was a pretty convincing show(I believe it's called Crude Awakening)Anyway,according to them,we (as a planet)have "peaked",meaning we will pump less oil tomorrow,than we did today,forever.I don't claim to be an expert,or that this is fact,just what I saw.The show went on to explain how it takes 60 bbls of oil,to produce 20 bbls of Ethanol.Not exact numbers,but you get my meaning.Same thing with Bio-diesel,solar,and most of the "alternatives".The fact is,we ARE screwed.All of us.
They're telling us we have 75 years,maybe it's only ten.As the most powerful country in the world,we'll have to decide whether or not we want to invade countries to take their oil.I mean really to take it.Not like this Iraq thing.If that really were our goal,I personally think we'd OWN it now.However,in the next few years,We'll have to decide it.
As far as libs vs cons,I don't think it's an issue.How many refineries did Clinton build?The smart money out there right now,is in oil.I would bet big $,that both Obama and McCain have money in it,as well as Bush,the Clintons,Kerry,Gore,Et,al....
In my own opinion,this has the potential to topple our economy,and if we fall,who stands?
Once you can't afford to go to work,what then?
Sorry for the rant,but,I seriously think we are in for hard times.You can invest in whatever you'd like,but me,I'm buying bullets.
China has upped it's oil demand by 20% percent in 4 yrs.You and I have caused this.Why?We shop at Walmart,and the dollar stores.There are almost NO,US built products there.You save 60 cents on a toothbrush,built by a 6 yr old chinese kid,and the oil co's send more oil there,to those factories.We aren't even trying to help ourselves.
Hybrid Mode
