Posted on 12/17/2014 10:05:19 AM PST by blam
Sam Ro
December 17, 2014
Oil prices are surging.
The price of West Texas Intermediate crude oil on Tuesday rose to $58.98 from $54.20. Brent crude rose to $63.50 from about $58.70.
At this point, there seems to be no obvious explanation for the move.
On Tuesday, oil prices tumbled to five-year lows. WTI touched $53.60 and Brent sank to $59.86, both were the lowest levels since May 2009.
(snip)
(Excerpt) Read more at businessinsider.com ...
Gas will go back up 50 cents a gallon over night.
I didn’t do it. I haven’t filled up my tank yet..............
Not surprised. NYS just banned fracking for natural gas: http://www.freerepublic.com/focus/f-news/3238208/posts
A station near my office is listed at $1.99/gal.
Now I got to decide if I leave work early just for the bragging rights of buying it.
Could also be a dead cat bounce.
Cuomo to Ban Fracking in New York State, Citing Health Risks
lol, Halliburton, Cheney, gloom, despair
HA HA- beat me to it!
Could be end of year short covering.
The big picture is that domestic oil production will continue and will continue to grow.
The other factor is the price war that the Saudis are waging. They have deliberately rejected production cuts in response to price reductions. They aim to stop growth in the USA for new production and to facilitate making existing producers close up shop. Their strategy is to preserve their market share and drive the US oil industry into the ground.
An easy conservative response to the Saudis that would preserve and encourage job creation in the oil patch would be to ban OPEC imports below a certain break even price at around $35 per barrel. If Saudis try and sell Houston oil traders $34 oil, they will be prohibited. If they want to sell their oil at $36, then they can.
Legislating a floor of $35 oil is good for everyone, consumers and producers and it also prevents the Saudis from wreaking havoc on our emerging oil industry.
We are now in an oil war with OPEC led by the Saudis. We need to help our fellow Americans tough it out.
Surprise! "Most Shorted" stocks are surging today - up over 1.7%, almost double the performance of the broad market as it appears energy stocks, following a modest bounce in crude prices, have ripped a stunning 4.4% higher on the day. The credit market, however, is not so excited... We will see who is right!
It’s $2.25 in Lakewood, WA right now!
How does a nat gas drilling ban, raise the price of oil?
Especially from a state that has had the same ban as “temporary” for 5 years?
How much do you make pushing BI articles? I mean, why help a Lefty?
Conservatives don't ask for more government involvement to manipulate the market.
I like your idea, but why not just put an import tax on OPEC oil, rather than ban it at a certain price?
*chuckles* But you maybe not that far off.
So Mexico and import OPEC oil and sell all their own oil to us at an inflated rate, rather than consume some of it themselves.
Take Reagan viewpoint when you look for the federal government to “help” private industry. They have no business selecting winners and looser in industry.
Why punish the US refinery and petrochem industry by inflating their prices for feedstock above other nations?
Exxon station in Pearland at $1.93.
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