Posted on 08/17/2015 1:45:02 PM PDT by blam
Bob Bryan
August 17, 2015
Oil prices have hit six-year lows, and Cumberland Advisors' David Kotok thinks the worst may be yet to come.
"We could go back to $15 or $20, this is a downward slope, we don't know a bottom," Kotok said in a Monday morning interview on Bloomberg TV.
WTI crude oil futures are trading near $42 a barrel while Brent futures are just above $48 a barrel.
Kotok said that despite the oil industries apparent belief that things will get better, there is little reason for anything to change.
"Hope is not a strategy, it’s a myth," he said. "The fact is, we don’t have the drivers."
The good news is that there's good news. When asked about the lack of an increase in consumer spending despite the more favorable oil and gas prices, he said it will come.
(snip)
(Excerpt) Read more at businessinsider.com ...
Will I get a chance to see gas again as cheap as it was when I was a young’un? 19cents/gal...
I just turned 18 and was in college when it jumped from the mid 30 cent range to 50 cents! I didn’t have a clue as to how I was going to afford that...
In the midwest, the “excuse du jour” for charging $3.00 a gallon is that an oil refinery in Indiana is down for repairs.
CC
Imma quit my engineering job and go to work at a Seattle Hardee’s for 1/bbl per hour.
If this is true the economy is going to collapse worse than 2008 and it will happen very shortly.
Me too.
My first car, a gift from my mom, a 1965 Mustang. First year they came out. I also got a 1966 later which I didn’t like as much.
But gasoline is $5.00 a gallon here in LA!
Oil could fall to $15. And monkeys could fly out of Hillary’s butt. Anything could happen! Gold could even go back up over $1200.
Expect more refinery problems to crop up. BP is screwing us here in the Midwest.
The Magic Negro is at work again. He’s bowing to his muzzie nasters in the mideast. This is part of his plan to destroy the domestic energy industry and, as a consequence, impose a caliphate on the Republic. Mark my words, America will be transformed into an islamic nation by this servant of allah (aka satan).
Dumb question perhaps but when BPWhiting is down and not making refined products, how do they make any money? Or are you suggesting they have collusion with the other refiners to split the windfall profits?
See post 3, I feel your pain.
CC
?
The Saudis are sucking bilge water at those prices too, I’d think.
Will I get a chance to see gas again as cheap as it was when I was a young’un? 19cents/gal...”
I remember when my kids started driving during the late 1970’s. We’d line their two cars and mine up at the pump, fill all three, I’d give the attendant a $20 bill and would get a little bit of change back. While the cars were filing with gas, the attendant would check the oil level in my car, the air in the tires and wash my windows. Doubt if those days will come back, particularly not having an attendant.
I’d rather oil would stay up a bit so people in that industry would continue to have jobs. We have enough traffic in our area with gas at the price it is. Would just be impossible to drive anywhere if gas was too inexpensive.
My first car was a 65 Mustang with K motor (289 hi-pro). My dad bought that one and a 66 with a GT package for my tow sisters. I bought the 65 from my sister in 1977 and it shipped back from Hawaii where she lived with her husband while stationed in the army.
When they opened the shipping container on the dock in Portland, I jumped in and grabbed rubber in all 4 gears heading out of the port! Man that sucker could flat out fly!
By way of a comparison, $0.19 in 1964 is the equivalent of $1.46 today.
But gasoline is $5.00 a gallon here in LA!
I can’t believe it’s that cheap out there. Gov. Brown needs to make some changes to get that price up.
It’s $2.08 here in Baton Rouge.
War is coming soon.
But hey! What part of "Death to America" is causing the confusion people?
Oil might go lower and even stay that way, until many more indebted producers are through. As for the “increase in consumer spending,” I doubt that it will go on for long or amount to much.
Gas is a little over $3, give or take, on the CO Rockies. Summer traffic was way up compared to the last six years or so. Dope tourism, perhaps?
I’d still take that over $3.00/gal any day of the week
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