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WTI has now dropped over $2 today with December futures trading below $75 for the first time in over 4 years... "unequivocally good news" right?
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OW Bunkers (third largest bunker trader supplying fuel to ships from Denmark) and some others have bankrupted themselves in the last 2 weeks due to this plunge...expect more to follow...
http://www.todayonline.com/business/more-lawsuits-filed-against-ow-bunke...
A PE firm sold all its shares at the time of IPO on March 28, 2014 until bankruptcy in Nov 2014. Less than 8 months from top of the world to ZERO! All thanks to the fraud and manipulation in the world of IPO's coming out due to decline in the price of oil!
http://online.wsj.com/articles/singapores-shipping-fuel-dealers-hit-by-o...
Not mention what it will do to the Alternative Energy Co's. Yep, taxpayers are going to take another one right up the arse.
If a company IPOs, and they don't need to raise cash, then you are clearly being marked as a BAGHOLDER.
Is it that we love taking up the arse, or are we unable to determine the cause of the arse-pain as a result of stupidity or distraction or apathy or what?
The Saudi's love us so much they are selling us their oil at cheaper prices than they charge the rest of the world.
In return we get rid of Asad...Quid Pro Quo...
Excellent post that! Manipulation is so "in your face". People who invest in today's markets should be aware they are trading blind, while the insiders manipulate and trade on inside information.
"OW Bunkers!" should go viral as an alternative to "Oh Shit!"
Look at all the lost jobs!!!
I need to stock up on some fuel while it's cheap!
Not a bad idea except gasoline shelf life isn't very good.
Well, my car had been standing still for 10 years after the owner died. The fuel filler cap was inaccessible because the car was tighly parked.
So the car was started on the old fuel still in there. Guess what? It started right up! That was mindblowing.
The car turned out to be in exceptionally good shape. Paid very little for it. Best deal ever.
Yep.
Why not! China is! Tankers are being leased and filled to the brim with cheap oil, destination China!
Peak oil guys are full of shit as usual.
God would cry tears of petroleum before he would allow limits on FFs to infringe on Man's right to happy motoring.
Damn right. I am dropping in a second motor in my car. I am not trying to go faster, I just want to increase my carbon footprint. We are clearly not doing enough because I am freezing my balls off when I step outside.
I am going to change the oil in my vehicles twice this weekend just cause it's so cheap.
pods
If you have any extra oil left, just poor it in the street - it helps seal the tarmac.
Abiotic oil is generated deep within the earth.
Huh? How many barrels per day? Millions?
Then why is this planet blue and not black? Add up the figures...
Crude oil sinks.
Lol
And now tell us the one about skittle shitting unicorns please...
Your conclusion is based on "price discovery" in this "market"?
LMFAO!!!
Cheap diesel? Fucking bring it!
Maybe it was deadpan sarcasm, seeing as the "peak oilers" have long identified falling oil prices as a potential symptom of FF limits?
Yeah, when your are doing "god's work", oil can be whatever you want.
Peak shit guys are full of oil as usual.
In what sense are they full of shit? It helps to back a statement like that with an argument, don't you think? Peak Oil is not, lack of oil. It's cost of production, nothing more, nothing less.
I don't know.
I think it's simply the contention that all finite resources, in this case oil, reach a rate of maximum extraction. Then "peakers" diverge widely about what the graph looks like afterwards, how to define "oil," and when the top will happen.
Wait till it hits $30 to go long
This is like watching the movie, ground hog day.
Make lemonade out of that, Putin!
Fortunately, Saudi Arabia has a very diversified economy. Its number one export, Salafist mercenaries, are a booming business.
Saudi Arabia + Israel + Wall St + City of London
But don't use the J word! That would be racist... BTW, the House of Saud are rumored to be Crypto-Jews. Self-hating?
I do believe 'Rothschilde' covers it.
Sure, we can go to the UAE and snow ski in the desert.
Keep fucking dropping. Want to see this below $40.
for that price you only need to time travel back 5 years. I know, time flies !
88 mph and 1.21 jigawatts.
So will my bus pass be cheaper? Or are the stiffs in Shitty Hall going to get a raise from the budget surplus?
States will be rich making up the difference in taxes
Buy munis
States and cities that rely on oil extraction taxes are going to suffer a bit, but may recover some on reduced fuel costs to run the buses. Then again they've probably sold out the city treasury to some BS Goldman Sachs credit default swaps that has some oil price trigger that will blow sky high. IDK. Just speculating here how the squid has got its tentacles in this deal.
No different from the precious metal "prices" being manipulated to fuck squared and back again. So why is everyone getting their balls in an uproar about oil?
Kind of a silly little thing, oil.
how the fuck are US futures at an all time high on this, Chinese slowdown and European recession? are they that shit scared of a one day sell off
but but but... we are the cleanest underwear in the hamper
May I serve you are delicious ass whipping derivatives hors d'œuvre before your meal?
This shit is a buy due to at some point some oil exporters will stop exporting (namely Russia) causing a massive and sudden supply shortage. Feb contracts are looking good.
Good then that the Russians are exporting to China and settling their trades in Yuan.
The Dollar is dead. That's the real story.
WTI is interesting but most of the world prices against the Brent which is at $78. A lot of players are getting slammed and even the Saudi's are digging themselves a deep hole. the world markets will have a giant fall if this keeps up and I'm adding it to my black swan list.
LOL "Shalenado", that is funny. And a great alternative to "X is "crashing" or "X is being "monkey hammered"! Though, I admit, I like the monkey hammered thing....
I am waiting for a soon to be Tyler headline:
"For a climax on the week, TPTB Donkey Punched oil at the close."
pdos
"His oil is so rich, it needs no distilling," - The Most Interesting Man in the World
Not good for American jobs, but at least I can save $50 a month on gas. Which will more than offset the $150 increase in my health insurance, oh never mind.
Which institutions sold protection on shale high yield?
A bailout is most likely already in the works....
A sign of things to come...
http://www.macrotrends.net/1453/crude-oil-vs-the-s-p-500
Aww, this means we can't stop the tax breaks and subsidies to big oil companies, right?
Well, why don't we take our savings and start investing in a mix of alternative energies that make sense locally [solar where sunny, wind where windy] and get to work on safer fusion energy?
I suppose I'm a silly goose for not thinking fossil fuel energy is the best possible option and will last forever.
Oh well.
Once frackers cut the midwest in half they can move to another part of the country. God Bless America!
let's see solar or wind power a ship, airplane, or railcar. then let's see solar or wind make fertilizer, rubber tires, plastics, and others. we are a petroleum based economy world wide and that will not change with wind, solar, and nuclear no matter what...
Our boy-genius Dear Leader Obama will next mandate that all commercial airline travel be by gliders - no engines.
Take off...
Wind powered ships....what a novel idea!
https://en.wikipedia.org/wiki/Tall_ship
Now, wind powered super cargo ships would take a little more doing....
I'm all for green energy! But when you say "investing" in alternative energies this means subsidies so I'm not down with that. Why don't we get government out of the picture and allow the free market to decide?
It's almost like the lack of QE makes it hard to articially inflate the price of oil. Did JP Morgan ever dock those tankers?
Remembering Michael Ruppert talking about this in Collapse.
Having a spike in oil prices, followed by a price decline where people think its a return to normal, only to be followed by another spike later, which destroys more industry.
The shale situation has just stretched that scenario out, but I think its still a good framework.
It's amusing when high oil prices are touted as being good for America because of a few thousand jobs in the Dakotas. The Shale Miracle jobs are no better than the Real Estate Miracle jobs. Or the Wall Street Miracle Jobs.
Fundamentally, the world is worse off with low oil prices since the remove incentives for renewable energy. Unless of course you think that pollution, etc. is just a left-wing conspiracy and God intended us to breathe smog.
As for Peak Oil, the fundamental truth is we are discovering less new oil than we consume each day. So while we are over-producing right now (thanks to a global economy in recession despite stock markets and propaganda), the inevitable truth is that we will run into oil supply problems somewhere down the road unless we change consumption. (I look forward to aging right-wingers saying "I told you so" as oil drops to $20 in forty years because all cars are electric or we discover desk-top cold fusion).
Overall, low prices are good for America, bad for Russia and bad for Saudi. That sounds like a Win-Win unless you are not American in which case you probably would be happier to see the most militaristic, rapacious and hypocritical nation on Earth implode because oil is at $200.
God intended us to drive 600 HP Camaros and giant pickups.
You can figure the rest out yourself.
Well, ignoring the liabilities on the U.S. balance sheet of course...
good luck with that logic.
He got me at cold fusion.
Don't worry. Most of us have high end cars and one peasant mobile to blend in. The lest your known, the better off life is. Cock sucking theves are always in the mode to steal money. Thanks to the Government EBT Card. Clinton and Obama.
I ride a second-hand bicycle.
:(
Obama administration press release, we need to drop petroleum prices to find our unicorn, rainbow and Chevy Volt.
Commodities are selling off in USD terms. Wall Street is trying to persuade the world that there's a flight to the "safety" in US Dollars. China is treating Obama like a 3rd grade school boy from Bali.
This is a Dollar exodus. Paper in Dollar is going to be worthless! China is settling their trades in Yuan with oil exporting nations such as Russia, Brazil and soon Canada. The Europeans are looking at it as well.
There's no flight to safety in USD terms. This is a selloff in all commodity related trading around the world.
If you're buying and selling aka trading the commodity in Yuan, why do you need to hold USD denominated futures? Fewer and fewer institutional traders or banks need to hold USD paper outside the US. The commodity paper is getting slammed and some of that USD paper is even finding its way into the S&P, DOW or NASDAQ.
CME is a thing of the past. Chicago might as well start looking for mothballs. Maybe Santelli ordered 9.3 billion of mothballs from BABA earlier this week.
It's pretty obvious what is happening.
"It's pretty obvious what is happening."
If it's cheaper to buy in dollars then stick with dollars tactic.
The worst leveraged shale drillers will start to drop like flies. Many were not turing a profit at recent higher prices, if you include all costs of servicing their debts. The leveraged drillers can't survive at these low prices. Just waht Saudi Arabia wants. Saudi is going to lower prices long enough to "fuck up" a whole host of shale drillers. Don't look at a drillers production figures, or even cost of production, look at their leverage and debts. Without ZIRP, shale would collaspe by 60% + overnight.
Dbl Post removed
Here in the REAL world Petroleum inventory declined by 5.2 MILLION barrels this week and nothing in the supply/demand arena suggests prices should have dropped like they have. Its obvious in the new paradigm of Atlas Shrugged that Physical Commodity producers not be allowed to profit. Profit is only for the Banksters and gubmint minions. Natural Gas inventories late becauses of Vets Day but last weeks report showed inventories still 6.2% below last year. Imagine with this weeks frigid blast those will significantly drop also. No matter those prices must drop also....obviously in the Brave New World we see inventories decline and pricies decline in lockstep....I guess until there is none left....
http://www.eia.gov/petroleum/supply/weekly/