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It's Official - US, UK To Release Strategic Oil Stocks
And so the lunacy hits a crescendo:
- U.S., U.K. AGREE TO EMERGENCY OIL STOCKS RELEASE, REUTERS SAYS
Translation:
Hi China, this is Barrack, please buy our oil at firesale prices as you in turn build your strategic reserves. I have a reelection to win. Oh and when Iran attacks one of our 3 aircraft carriers parked next to Tehran in a false flag attack, at least oil will soar from a lower price point.
Love, B.H.O.
In other news, Barry's reelection is now a matter of national emergency.
Here is a chart of US SPR vs Oil, courtesy of Reuters.
And, as a reminder:
As US Contemplates Releasing Crude From The Strategic Reserve, China Resumes Building Emergency Inventory
A tale of two civilizations, one in ascent and one in decline, can probably be best summarized by how they ration for the future in that most important of commodities - energy, in this case vis-a-vis the respective treatment of the strategic oil reserves of China and the US. Because while all the rage in D.C. political gab in recent weeks has been whether the US will allow a release of oil from the SPR, just to appease those Obama voters who actually have a job and have to take a car to get to it, things over at America's nemesis in civilizational conflict are diametrically opposite. As Bloomberg reports, China has "started filling its emergency petroleum reserve at Lanzhou in the nation’s northwest, according to an official at the nation’s largest crude producer." Unlike the US, where everything is now a function of market liquidity, evil speculators, and political ambitions (rest in peace supply and demand), China is completely ignoring all the day to day mundane drivel, and is doing what is right - which is to make sure it is prepared for an "eventuality" in the crude supply. Said eventuality is 100% guaranteed to happen if the Panetta-McCain is given a green light to allow the liberation of Iranian crude to finally proceed following years of foreplay.
From Bloomberg:
China, the world’s second-largest crude consumer, finished filling the first phase of its emergency stockpile with 103.2 million barrels of oil in 2009. The second phase, comprising eight locations with a storage capacity of 168.6 million barrels, is scheduled to be completed by early 2013. The Lanzhou depot has a capacity of 18.9 million barrels.
The nation imports 10 million metric tons of crude a year, or 200,000 barrels a day, from Central Asia via a pipeline from Kazakhstan that started in 2006. The annual capacity of the cross-border oil line, China’s first, will rise to 20 million tons by 2013, according to CNPC.
As a reminder, here is how Chinese crude imports stood most recently as of February.
A new all time record.
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Sheer....Fucking.... Lunacy.
How will this "emergency release" affect Chevy Volt sales?
War confirmation.
The US and GB agree.....
What teo miscreants together...
This gov't operates in crisis management mode only. No long term perspective at all.
The wheels are falling off, and all they can do is stoke oil supply and interest rates. Horrible joke.
We are exporting gasoline and these psychopaths are opening the SPR?
If that does not prove that they are desperate, evil or both, nothing will.
wtf difference does it make if we are exporting gasoline?
War over oil is INEVITABLE given export land model
Disaster Economics means never let a good crisis go to waste. And if you need to create a crisis to implement shocking measures of control, so be it.
But what if the world ends tomorrow? Then all of their short-term thinking would have been justified. See, they have a plan. The apocalypse is all they need to prove their policies right.
I watched yesterday with bewilderment at how far the once might have fallen. Hard to imagine two once great nations being led by the likes Obammy and Cameron. Especially after dealing with bush and Gordo and Blair. Hard to imagine more inept leadership. And no one to blame but the people who vote for these glorified hamsters (apologies to hamsters worldwide)
I watched yesterday with bewilderment at how far the once might have fallen. Hard to imagine two once great nations being led by the likes Obammy and Cameron. Especially after dealing with bush and Gordo and Blair. Hard to imagine more inept leadership. And no one to blame but the people who vote for these glorified hamsters (apologies to hamsters worldwide)
Agree.. War or something coming. Get the price lower before actions start. Holding my WTI longs and will pickup more on this dip.
How will this "emergency release" affect Chevy Volt sales?
I hear they're going to explode.
(it's bad, I know)
Yea really...I thought the mantra was high oil prices are good news, and everyone needs to buy a Gubment Volt.
i'm waiting for the tax credit to hit $25,000 THEN i'll think about it. a little.
Then they will just raise the price by $25,000.
I give up. I'm not a masochist but does this country ever attempt to do anything other than alleviate short term pain?
I am seeing oil currently down one penny on the day. Do we remember what a penny is? It is one of those things that people won't even bend down to pickup anymore. That should really spell relief for the masses.
Today's inflation number was great. Only gas was up. And we all know gas doesn't have much impact on a hyper-consumer driven economy.
Hummmm -- No!
No, they just supplement it with long term pain!
everything is an election cycle away. did clitton do anything to alleviate the massive bubbles in housing and stocks? Nope...he rode it to massive popularity and let the next guy deal with the fallout. Busch did the same thing...Raygun too
I see what you did there...
<--Obama desperate over Bernanke-pumped oil/everything inflation in election year
<--Obama opens SPR spigot to partly offset further gas price ramp from coming Iran 'action'
About an hour ago I heard a clip of the Blowhard in Chief reading a toast to Cameron and the Queen. It was painful. The guy has no charisma at all. He sounds like a sixth grader reading a science textbook. And this is the guy that all of the braindead, and racially motivated sheep, drooled over in 2008. That still frightens me.
His performance shows that if BHO ever had an original idea it would die of loneliness.
War oil. Dont worry, the price of gas wont go down for us peasants, it will keep climbing.
Ah, it won't matter. Since you soon won't have a job, its price will have even less importance to you.
That frees up more money to buy other stuff, and that's bullish.
EMERGENCY ROBINSONS! EMERGENCY!!
SOMEBODY SMACK THAT STUPID ROBOT TO PIECES!! LOOK AT WHAT'S HE'S DOING TO THE PLACEèèè
Danger, Will Robinson, DANGER! :>D
All coming together nicely, push gas prices down with strategic release from GB and then USA and then light up Iran so that the people of the west don't scream bloody murder about spiking gas prices soon after. Sounds like a plot from a James Bond Movie, problem is, it is true.
And the other problem is, releasing from the SPR will have a minimal impact on prices. Barely a ripple in the long run.
BA, seriously.. Bamster has not planned this beyond the end of his nose, pure electioneering / Axelrod garbage..
So anybody who did not follow Armada Markets recko to sell short crude oil calls has turned out to be an idiot.
This will push oil down then maybe goldmans QE call by April isnt that hard to believe. Any thoughts my niggas??
Skynet has already won. Just like launching the nukes against the Russians caused them to retaliate. The US will enter a war with Iran and by extension its allies Russia and China who have more than one nuclear weapon.
Halleluja
Any fucking idea what the word "emergency" means?
Yes, it means that November 6th is getting close.
But I thought all they needed to do was pump stocks and all would be well?
The algos have prolly been directed to rehypothecate the WTI sell-off to BAC and the DOW. Problem solved.
Perhaps this will help clarify what "emergency" means in this situation:
Under a 1975 Memorandum of Understanding (MOU) the USA guaranteed all Israel's oil needs in the event of a crisis. This Memorandum of Understanding is quietly renewed every five years. It commits U.S. taxpayers to maintain a strategic U.S. reserve for Israel, equivalent to $3 billion in 2002 dollars. Special legislation was enacted to exempt Israel from restrictions on oil exports from the USA. Moreover, the U.S. government agreed to divert oil from the USA, even if this causes domestic shortages. The U.S. government also guaranteed delivery of oil in U.S. tankers if commercial shippers become unable or unwilling to carry oil from the USA to Israel.
shall we tick down the list of important congressional positions and who is in them? or will Clitton's entire senior cabinet be enough? How about banks or media?
I mean how fuckin obvious does it need to be for people to remove their mental shackles and shut off current to their third rail?
LINKS....
Eyedropper in the swimming pool.
How they gonna do the accounting for the $160/bbl replacement cost - LIFO?
As in Tax-Payer?
That is funny. There is no budget or accounting, only statistics.
Oiling the economy's wheels is a slick job.
how does releasing some sludge from a cave equal plenty more refined fuel at the pump?
My head hurts. Shots anyone?
Scrw the shots, it's time to start drinking Old Crow in one... long... pull...
http://www.youtube.com/watch?v=3mx8eBZb9II
... releasing it again into the stores of JPM I bet...las ttime barry handed JPM half the entire release (92 million barrles) at $92 a barrel.
Sweet deal for JPM but sucked for consumers....
Are there other kinds of government sponsored deals?
certainly somebody on CNBC will interpret this to be bullish for AAPL... after all...isn't everything?
Sheer fucking lunacy is the notion that it will be Iran who attacks a US carrier. Qui bono? Not Iran, that's for sure...
That is strictly false flag territory and Israel will be the one who reverts to form in killing our kids in some sick attempt to launch a war. They can't help themselves. Sick is as sick does.
Israel will attack the US carrier...nothing new there they did it with USS Liberty too.
When I read the news headlines the other day, "USS Enterprise Makes Final Voyage" it struck me as strangely prophetic. The thought that crossed my mind almost immediately was -- this ship ain't coming back.
Hope I'm wrong.
And all of Obummer's Trekkie nerd supporters will be outraged.
Where are the algos goin' to park all the WTI sell-off money? The 10Yr? AAPL? Barry's war chest?
DESPERATION
FUCKING.
DUMB.
You know who this helps? Jimmy Carter. When people ask who was the worst POTUS of your lifetime, the answer may not automatically be Jimmy any more.
+1
remove the " may " and I'm with ya
My answer is ALL of them. (Johnson was the first)
worst telepr...um...president ever!
Who's gonna pay for this war????
The usual suspects.
Exactly right. And according to DHS, who are those suspects?...wait, back in a sec, someone's knocking at the door...
tell them you're getting dressed then slip out the fire escape.
it always works in the movies so it must be true.
DHS agents dressed as Girl Scouts asking for contributions to the war effort.
Yeah. Which merit badge does bagging you earn them?
WW3 = #ON!
It is now clear that Cammeron is just as much a faithfull lapdog to the US Government as Blair once was.
In other news, in the last couple of weeks the UK has extradited 2 British citizens to the US without the UK courts ever having reviewed any kind of evidence on those alleged crimes. This is all because of an extradition treaty between the UK and the US which was never approved in the US (so it's only UK citizens that get extradited to the US, not the other way around).
What's the amount to be released, over what timeframe?
Are you an algo?
Best you not know.
They have taken complete leave of their senses.
Like Thelma. And eventually we'll all go over the cliff.
Isn't it funny how a .50 cent jump in gas can ruin an economy? I mean how many gallons a week are we talking, 10?, 20? Do you mean $10 of extra expense a week can topple a $15t economy? That $10 spent on gas instead of McDonalds or Franzi and it's curtains to the world? Come on! Wake up!
Each pennies rise in gasoline pulls a BILLION from discretionary spending.. So um yeah if you do actual math it adds up doesn't it.. 15 T, lol that is counting Government expenditures right. The money they extracted from the economy or borrowed or printed. You been gulping saltwater boy?
Fine by me. No oil for the war machine means no more war machine.
Its not for you, its FOR the 'war machine'! Anyone who thinks theyll now be gifted by cheap gas for 'happy happy summer motoring fun' has been sniffin fumes.
Let them use it all up for petty engagements. That way when the beast really needs it, it won't be there.
Sorry man, but that's wishful thinking.
they'd sooner cut off oil supplies to senior citizens in the dead of winter than let the military go one nanosecond without the means to kill at will anywhere on earth.
Maybe...
I think there's a reason SS and Medicare dwarfs the DoD. Without consent from old people the whole thing could very well fall apart. The grandparents have tremendous influence over their children and grandchildren. Think of the money they hand out to them... Besides, who doesn't love their grandparents???
OHHHHH YEAH BARRY....skeet skeet skeet your strategic oily love all over the place!!! Just keep it out of my hair.
Obama donates taxpayer oil to his reelection campaign.
Not to nit-pick or anything, but a "false flag" attack already has an actual meaning.
A False Flag attack is when someone attacks their own position carrying the flag of the enemy. The idea would be to then offer up the evidence that the enemy attacked and not oneself. The attack serves a political agenda, usually to create hostility for the purpose of larger warfare. The enemy of course denies all knowledge of an attack, as well they should, since they weren't involved.
Iran attacking a US carrier in the Straits would not be a false flag attack, unless they carried the flag of a third country (Israel? Greece? New Jersey?)
Words have meanings, okay kids? Let's not dilute important words for fun otherwise we lose the utility of their use later.
Now back to your regularly scheduled rant.
No you miss the point entirely. The 'false flag' of course would NOT be from Iran, the falseness will be when Israel attacks and blames it on Iran. For those who say thats insane, Israel has done it before!
Ok? KID?
+ Gulf of Tonkin
blu, are you a dummy or simply reading/skimming too quickly?
Question: Who benefits from an attack on a US carrier in the Straits?
Iran: no
US: mixed
Israel: yes
NOBODY here thinks that Iran will pre-emptively strike the US. That would be suicide. Iranians are not suicidal, being one of the oldest cultures/civilizations.
Only a dummy would actually believe that Iran would pre-emptively attack anyone.
So it would probably be Israel and/or the US that would stage the false-flag attack. They've done it MANY times in the past 100 years.
I hope that spelling-it-out for you helps.
AND WHAT HAPPENS WHEN THE RESERVES NEED TO GET RE-FILLED WITH MORE EXPENSIVE OIL? WHAT WILL THAT CAUSE THE PRICE TO DO?
ASSHOLE
the Canadians can all afford to get new hockey sticks this year
What kind of stupid question is that?
Someone makes easy money is what happens. Jee-zuz, I thought we all knew how this worked by now.
I hope this blows up in his face big time. I for one will be buying oil at artificially low prices.
Much of the reserves were filled with $30-$60 oil and now they're going to need to get re-filled with $80-$100 (or higher) oil. This guy is such a fuckin' idiot.
B.O is now officially an oil speculator.
Ok, I'll bite... Why would we need to refill it? There is only one Nov. 6th for the Bamster.. Oh wait I see where your going, three terms got it..
Using SPR to manipulate oil prices isn't just stupid it is reckless. It panders to populist ignorance and ignores purpose of having a SPR.
Thats why I always said the SPR is not named correctly it should be named the Political Petroleum Reserve.
They are manipulating the prices of all kinds of other "assets" & commodities every day. Why not oil too?
I'm surprised they waited this long.
this is so political it's not even a close call. What nerve. Personally I think Americans will see right through this and in the end will be a hindrance rather than a help for Obama politically.
Wow, are you naive! Americans will see the price at the pump and ONLY the price at the pump in November and don't give a shit how it got there.
If it's up, he's hurt. If it's down, he's helped. It's not any more complicated than that.
The consumer peasant will not be treated to cheap gas, its only going up. This is war oil release.
It's not likely to effect the price at the pump that much. It's not a supply issue. Factors of printing dollars by Bernanke are having much more of an effect and that is not changing.
Personally I think Americans will see right through this and in the end will be a hindrance rather than a help for Obama policially.
If you think that, then you are not paying attention to how the system works. The establishment has been test-ballooning (new verb!) the idea of opening up the spigots on the Strategic Reserve for weeks now. They have the polling data that tells them how much of an uptick Barry will get from the sheep from this.
That you are logical does not mean the balance of the carbon unit mob is.
Hey, my pets are carbon units and they way out perform the mean balance.
Are they registered voters?
They vote with their feet.
saying it is one thing. are we skeptical?
What could possibly go wrong?
So what if Hilary tells the big Mullah his father wears a dress and his mother was a diseased goat and the US is going to attack in 15 minutes and he gets upset enough to launch at the carriers. What if the Iran launch fails big time and the "counter attack" is far more successful than anticipated and Iran ends up way short of electricity, fuel, and food and the media shows how the poor people of Iran are suffering. Then relations in the Middle East really start down hill. With the Eurps crying about the evil and nasty Americans. The US could end up with a lot fires and not enough firemen and water to put them out.
"Who knows what stupidity lurks in the balls of men...and wussies."
Posturing.
My popcorn is tasting really good today, the beer is cold, scotch is backed up...I'm ready for March Madness...gubberment style.
Who writes this crock?
Ahhh. I get it. You're hiding within your "comedy helmet". Kidding! Oh wait... But if you're right then you're not an entertainer but a prognosticator! Cool gig man. Win/win.
Note to self: Releasing oil reserves cannot cause a vacuum outflow, nor are such decisions made without contemplating 17 alternative outcomes.
How does it alleviate any short term pain?
1. It does not touch the $1.3 trillion Obama deficit
2. It does not add to jobs
There is no connection between oil/gas prices and supply and demand.
The only thing it does is serve polical scam purposes in the short term, to allow their longer term plan to go on behind the scenes. What does a destroyed and depopulated US need oil for anyway?
Demoralized?
When is the guy going to release stockpiles from the strategic ammunition reserve? $100 for 250 rounds of .45's? Are you feaking kidding me?
Thats a pretty good historical price for .45, premium ammo avg's $1 a round now.
More than that, actually. A box of 20 Hornady Critical Defense .45's (20 rounds) cost $23.00. No sense in putting holes in paper with those.
Don't get me started on .223 prices.
I'd like to see the Gold/.45 Premium Ammo Chart. Maybe I should have been buying physical ammo instead of physical metals. Is physical ammo considered a barbaric relic?
they're priceless to me.
At these prices, make sure you aim carefully.
Actually, when no one in the US wants to go/support this war, we get Martial Law.
No kids voting for Ron Paul, removing 'The Creature From Jekyll Island' from the marketplace (get your copy while you can), camps open.
We spend too much time wondering what's best for us. Figure out what's best for the top 5 families of the NWO, and there's your answer. We lost the ability to stop them in '63.
Time for my nap. These repeats on TV are boring.
I would re-phrase to we found out in 63 that "we lost the will" to stand up to them. The ability has always been there.
That should give us a lower entry price for WTI before the SHTF.
The hypocrites in Congress are probably rushing out to buy petroleum futures.
Well hell now that SPR is unleashed, that should make room for at least another +500 on the DOW right?
Obama is the world's dumbest man.
Or just the best puppet ever.
Seriously anyone thinking ObaMao just thought this up and announced it himself has no clue at all.
No, he's just another President looking to buy votes for the next election.
He's not the first; won't be the last.
Actually, it's very clever. Most dumb-shit Americans (is that redundant?) will think it's for political purposes and that the elections haven't already been decided.
Okay, enlighten us.. It not for political puposes its for.. Lubing up the illuminati, oiling the room doors at the Bilderberg, no, no straight to Israel..
This is all by design, get with it buddy!
Desert Storm
Katrina
Arab Spring
41% in CBS/NYT poll.
Spot which one is not the National emergency or supply disruption?
Is this bullish for GS?
Military strike within the week.
...U.N.FreaKING believable. Give these bitchez a Nobel Prize. Oh, umm. never mind.
http://www.youtube.com/watch?v=_tkT3AvE8kk
Dear United States and United Kingdom:
USUK.
Haiku:
Chinese tanks roll by
the silent Americans'.
Out of gasolene.
It would be kinda funny if the US released their giant reserves, selling them to China, and then pulled out of Arabian Sea altogether. It would then crash the price of oil, then the US buys back the reserves for half the price, make a little money to reduce the deficit. The reduced deficit and low gas prices would propel Obama the puppet-in-chief to another term, destroying Ron Paul's chances for cleaning up the American political whorehouse, and delay the American Revolution/Awakening.
This is indeed a "Mad, Mad, Mad, Mad World.
The good news is I hear death is very pleasant...
Drain the damn thing for all I care, then they can go into OMG mode and scramble.
Should go back to Taft's time when all he did was sit in the rose garden.
Could they release their strategic gasoline reserve as well?
That's what I'm waiting for before I buy a new house. Cool.
They just opened up the Strategic Bullshit Reserve.
Rode the bike to work again today.
12 miles each way.
Truck in the garage hasn't seen me for about 2 weeks.
What are gas prices doing today..??...don't know and don't care.
Join the Bike Liberation Army.......
Liberate that 2 wheeled marvel of modern transport from your garages and basements...
Dear Serfs,
Bike riders are hereby declared as Terrorists.
Sincerely,
Your Government Overlords
http://i16.photobucket.com/albums/b47/babyboy_hot2005/Funny%20Pics/9f306...
No, knuckleheads. This is a way to disincentivize China from buying crude from Iran.
They have cut off Iran's financial relationships to the rest of the world. Now they are blocking the only way they have to trade or barter.
If China will shy away from trading with Iran, well, it will only take a few eeks and BOOM. Iran goes off the deep end and does something drastic and desperate.
I agree with the first half of your post.
The second half is absurd; Iran would never do something idiotic such as a pre-emptive strike on the US.
It takes a lot of Mainstream Media bullshit brainwashing to believe such a thing.
However, a false flag attack is EXTREMELY likely.
Kudos to the Chinese. By the time the dollar is all worthless, Chinese will probably have spent their dollar-reserves on commodities(such as oil), and will actually be sitting on REAL assets once the shit hits the fan....and so should YOU!