Posted on 12/30/2014 9:23:26 AM PST by C19fan
Brent crude plunged below $57 per barrel briefly on Tuesday, marking a new five-and-a-half-year low as traders bet that the global oversupply of oil will continue deep into 2015. The benchmark has fallen more than 45pc since June and is on track for its worst year since 2008, while oil traded in the US is now poised to crash through the $50 per barrel level. "Oil bulls are having another hard week as Brent oil dropped to $56.90, a new five-year low, as lingering worries over supply excess overwhelmed fear of Libya supply disruptions," said Peter Rosenstreich, head of market strategy at Swissquote.
(Excerpt) Read more at telegraph.co.uk ...
You know what the best part of this is? The Scottish Nationalists where proved catastrophicly wrong. If Scotland had become independent now, they’d be right up 541t creek, suffering super-austerity far beyond what they blame the evil, nasty tories for, and they’d probably be coming with a begging bowl to the rest of us looking for a bailout, having told us to go and 4u2k ourselves because they were going to be rich and prosperous whilst we would sink into poverty without ‘their’ oil propping us up. LOL.
I’m thoroughly enjoying this, because the rest of the UK economy is going to benefit immensely from lower transport and energy costs.
Although isn’t a lot of UK retirement and pension funds invested in BP since it is one of the biggest components of the London Stock Exchange?
BP has fossil fuel interests all over the world, of which the North Sea is a very tiny part. They can ride out the storm until OPEC decides to cut production and drive the price back up again. What it may do is drive some of the smaller companies and oilfields in the North Sea out of business. In the long term, this may even benefit a huge international corporation like BP. I wouldn’t be surprised if they had a hand in persuading OPEC to do this.
BP owns the gas stations, so doesn’t it seem logical that the lower the price the more consumption at the gas pumps as people will travel more?
I mean, this is how free ecomomies work, but the MSM is now screaming about what the free fall in oil prices will do this country or this company etc.
It’s about time that we have lower energy prices...
I am still stunned by the insanity of it all. Markets appear to be working in the oil markets, telling us a coming global recession bites demand, yet the equity markets are rallying like its 1999 all over again.
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