Oil prices poised to drop sharply, energy consultant says-(1.15/gal)

contracostatimes ^ | Wed, Sep. 13, 2006 | Kevin G. Hall

[neodad]

Thank God Karl Rove timed his market manipulations perfectly for the midterms.

[Extremely Extreme Extremist]

Where's that "Rove, you magnificent bastard!" pic at?

[MediaMole]

Oil starts up and the "experts" tell us gas will top $4/gal.

Oil starts down and the same "experts" tell us gas will drop to $1/gal.

[oceanview]

yes, I know its good news.

but you see how the "artificial forces" in this market make it impossible for new investments in supply and alternatives to get off the ground. alot of these new investments are based on, let's say $50 oil. so when they take it down to $35, they essentially bankrupt all that new investment - leaving the same old players in control, to run it up to $75 again.

[bray]

$oro$ is feeling the pain right about now. Oil prices are in an absolute Free Fall. Should be a nice winter.

Pray for W and Our Freedom Fighters

[Talking_Mouse]

His weather machine is truly a thing of beauty.

[misterrob]

Time to dump my position in the energy markets. This will also likely screw the funding for alternative energy resource development. Shortsighted I realize but low oil prices make it far more cost comeptitive than solar, wind, etc

[SauronOfMordor]

Real story: OPEC has enjoyed a long period of high prices. Stable high prices encourage alternate supplies. Prices need to occassionally fall in order to crush alternate suppliers financially so that they will not become a threat to OPEC

[unkus]

What's good for America is bad for the Dims.

[Perdogg]

Are we talking $1.15/gal wholesale??

[zarf]

Democrats.Worst.Nightmare.

[gogeo]

I'm throwing the BS flag on this. To the best of my knowledge, pension funds could only *possibly* use commodities futures as a stabilizing hedge for their portfolio, and I don't see how that would apply here. If someone sees this who Series 7 licensed, maybe you could clarify that.

If he gets something like that wrong, how much would I find if I looked a little more?

[oceanview]

well of course, this is always how they cut the legs out from under such investments.

[gogeo]

If you aren't out, I would say get out this week...or don't bother.

[Paladin2]

Starting just before the first hurricane last year, I started storing my own 3-month supply of fuel (Diesel). Since the oil companies don't keep nearly as large a reserve on hand to damp out wild swings in price supply and demand as they used to, I now have to do it myself. At this point I still have ~5 weeks of supply. I think I'll wait at least a couple of weeks before any buying.

[familyop]

Ping to a grin.    [g]

[MNnice]

Embrace global warming!

[familyop]

familyop to Kevin G. Hall (author of the piece):

You so funny!

[COEXERJ145]