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To: thackney
If the cause of the crude price decline is supply and demand, then it is longer-term. If it is the Saudis fighting Iran, Russia and U.S. shale producers and punishing OPEC members who exceed production quotas, then it will be six months.

What do you think?

13 posted on 12/12/2014 10:33:05 PM PST by Praxeologue
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To: Kennard
If the cause of the crude price decline is supply and demand, then it is longer-term.

I think speculation can drive prices up/down on the short term, but that is the definition of a futures market, speculating what the future supply and demand will be.

If it is the Saudis fighting Iran, Russia and U.S. shale producers and punishing OPEC members who exceed production quotas, then it will be six months.

If I could predict the price of oil and the durations of the peaks and valleys, I wouldn't have to work for a living. Predicting political fallout is well beyond my ability. I do believe Saudi Arabia is well prepared with their cash reserves to hold out far longer than Iran, Venezuela and probably Russia.

15 posted on 12/13/2014 7:04:12 AM PST by thackney (life is fragile, handle with prayer.)
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