CDZ Do you welcome lower oil prices?

[320 Years of History]

"Brent, the global oil marker, fell by more than $2, or 6 per cent, to $31.48 a barrel in late trading, a level last reached in April 2004. On the other side of the Atlantic, meanwhile, West Texas Intermediate, the US oil benchmark, dropped $1.70 to $31.28 a barrel, a fresh 12-year low." Morgan Stanley says $20/barrel isn't out of the question.

How do you view the big drop in oil prices? Do you just think that lower petroleum prices are a good thing (overall) because it means you're paying less for gas? Do you see problems, problems bigger and more important than your having to pay higher gasoline prices, with prices being so low and desire a return to higher prices per barrel?

For my part, I certainly don't offer to pay the gas station more, so I am availing myself of lower fuel prices; however, I would just as soon see the price rise. The lower prices are placing a strain on quite a few national economies as well as on employment in the domestic oil and gas industry. I don't see either of those things as good for the U.S., even though I am sure all most consumers see is that they are paying a good deal less than a couple years ago for gas.

 

[depotoo]

No. It will become unprofitable to even drill, leading to shortages, fewer great paying jobs in the field, greater unemployment, etc.

 

[TNHarley]

IMO, that begs the question; Is deflation a good thing?
Im not too worried about it YET. The Saudis are flooding the market with cheap crude. Let em.

 

[Toddsterpatriot]

"Brent, the global oil marker, fell by more than $2, or 6 per cent, to $31.48 a barrel in late trading, a level last reached in April 2004. On the other side of the Atlantic, meanwhile, West Texas Intermediate, the US oil benchmark, dropped $1.70 to $31.28 a barrel, a fresh 12-year low." Morgan Stanley says $20/barrel isn't out of the question.

How do you view the big drop in oil prices? Do you just think that lower petroleum prices are a good thing (overall) because it means you're paying less for gas? Do you see problems, problems bigger and more important than your having to pay higher gasoline prices, with prices being so low and desire a return to higher prices per barrel?

For my part, I certainly don't offer to pay the gas station more, so I am availing myself of lower fuel prices; however, I would just as soon see the price rise. The lower prices are placing a strain on quite a few national economies as well as on employment in the domestic oil and gas industry. I don't see either of those things as good for the U.S., even though I am sure all most consumers see is that they are paying a good deal less than a couple years ago for gas.

The drop in oil prices is great for the oil importing nations. Sucks for the oil exporters.
When you list the exporting nations, you see that many of them suck. Win-win!

 

[Toddsterpatriot]

No. It will become unprofitable to even drill, leading to shortages, fewer great paying jobs in the field, greater unemployment, etc.

No. It will become unprofitable to even drill, leading to shortages

Shortages would lead to higher prices, more drilling.

 

[saveliberty]

A cry for government intervention, wonderful. Supply exceeds demand. so prices drop. Just let the economy function already. You have the opportunity to prepare for higher prices by purchasing defensive stocks, stockpile plastic products and fertilizers, buy a fuel efficient vehicle while they are less expensive.

 

[depotoo]

And until then? Jobs lost, etc. I would much rather see it remain at profitable pricing, rather than have to deal with the period when it is not.

No. It will become unprofitable to even drill, leading to shortages, fewer great paying jobs in the field, greater unemployment, etc.

No. It will become unprofitable to even drill, leading to shortages

Shortages would lead to higher prices, more drilling.

 

[DGS49]

There are many great things and some sad things coming out of the recent oil glut and drop in oil prices. My take:

(1) It is a WONDERFUL illustration of how the markets are much wiser than any politician who thinks s/he knows better. Five years ago, nobody would have predicted this, even though with hindsight it was very predictable.

(2) Where are all those Liberals who were always complaining that the evil, greedy Oil Producers were manipulating the price of oil? I guaran-fucking-tee that the first time prices go up again - as they surely will - they will be saying the same stupid shit about how the prices are being manipulated by greedy capitalists.

(3) It is regrettable that Americans are jumping on this short-term phenomenon and filling their garages with 15mpg, 2-1/2 ton behemoths that they don't need. Just because gas is cheap doesn't mean it's time to be stupid.

(4) This would be a FANTASTIC time to raise gas taxes, so that "we" can get working on upgrading our eroding roads, bridges and tunnels. Nobody would even notice.

(5) Natural gas-powered cars are getting closer and closer.

(6) Producing ethanol from corn looks dumber and dumber every day.

 

[TheOldSchool]

There are many great things and some sad things coming out of the recent oil glut and drop in oil prices. My take:

(1) It is a WONDERFUL illustration of how the markets are much wiser than any politician who thinks s/he knows better. Five years ago, nobody would have predicted this, even though with hindsight it was very predictable.

(2) Where are all those Liberals who were always complaining that the evil, greedy Oil Producers were manipulating the price of oil? I guaran-fucking-tee that the first time prices go up again - as they surely will - they will be saying the same stupid shit about how the prices are being manipulated by greedy capitalists.

(3) It is regrettable that Americans are jumping on this short-term phenomenon and filling their garages with 15mpg, 2-1/2 ton behemoths that they don't need. Just because gas is cheap doesn't mean it's time to be stupid.

(4) This would be a FANTASTIC time to raise gas taxes, so that "we" can get working on upgrading our eroding roads, bridges and tunnels. Nobody would even notice.

(5) Natural gas-powered cars are getting closer and closer.

(6) Producing ethanol from corn looks dumber and dumber every day.

(2) They ARE manipulating the price of oil. And those liberals are still out there saying the exact same things as before.

 

[Toddsterpatriot]

And until then? Jobs lost, etc. I would much rather see it remain at profitable pricing, rather than have to deal with the period when it is not.

No. It will become unprofitable to even drill, leading to shortages, fewer great paying jobs in the field, greater unemployment, etc.

No. It will become unprofitable to even drill, leading to shortages

Shortages would lead to higher prices, more drilling.

And until then? Jobs lost, etc

Until then......lower prices, larger benefits for the oil consuming portions of the economy.
Portions which are much larger than the producing portion.

 

[william the wie]

oil is not the real problem but rather natural gas, the world is practically drowning in the stuff.

Coal fields are among the cheapest sources of NG and the world is moving away from the use of coal. Interestingly no one is worrying about the fact that NG is selling for less than $2/BBL equivalent to energy from a BBL of oil.

 

[martybegan]

And until then? Jobs lost, etc. I would much rather see it remain at profitable pricing, rather than have to deal with the period when it is not.

No. It will become unprofitable to even drill, leading to shortages, fewer great paying jobs in the field, greater unemployment, etc.

No. It will become unprofitable to even drill, leading to shortages

Shortages would lead to higher prices, more drilling.

Most of the people who work in the grunt levels of the oil industry are used to the rise and fall of demand, and hence work. What they do is go to their backup jobs (trucking, construction, etc) and run back to the oil industry when demand picks up again.

 

[Care4all]

What goes around comes around.

As mentioned above, the Oil Industry was drowning in profits made due to the higher per barrel prices and the rest of the world including businesses that rely on fuel for their industry, were going out of business and including all of us, unable to spend on the goodies that other companies sell because our once disposable income was going towards our fuel.....

Yes, the oil industry may hurt for a little while, but hopefully they saved for a rainy day when they were pulling in billions off of our backs.

 

[JakeStarkey]

Yes and no.

For me, right now, it is win win.

 

[depotoo]

More than grunts are being effected. Entire businesses within the industries surrounding the oil business will not survive for long. People that live off the royalties are being effected. Artificially low prices have a cascading effect.

Do I want more regulation? Of course not. But artificially low prices are more damaging than one realizes.

 

[320 Years of History]

oil is not the real problem but rather natural gas, the world is practically drowning in the stuff.

Coal fields are among the cheapest sources of NG and the world is moving away from the use of coal. Interestingly no one is worrying about the fact that NG is selling for less than $2/BBL equivalent to energy from a BBL of oil.

Quite likely nobody is worrying about the price of natural gas (NG) because it plays a relatively small role in our lifestyle and economy. For all the many and varied things that petroleum (oil) makes possible, transportation is the primary use of it in the U.S. Indeed, the gasoline that powers our cars and piston engine aircraft accounts for ~45% of the consumption of oil.



Could we switch to power our vehicles on NG? I suppose we could, but I'm not certain that doing so is going to put us in a better overall position economically in spite of the significantly lower fuel cost.

 

[mudwhistle]

"Brent, the global oil marker, fell by more than $2, or 6 per cent, to $31.48 a barrel in late trading, a level last reached in April 2004. On the other side of the Atlantic, meanwhile, West Texas Intermediate, the US oil benchmark, dropped $1.70 to $31.28 a barrel, a fresh 12-year low." Morgan Stanley says $20/barrel isn't out of the question.

How do you view the big drop in oil prices? Do you just think that lower petroleum prices are a good thing (overall) because it means you're paying less for gas? Do you see problems, problems bigger and more important than your having to pay higher gasoline prices, with prices being so low and desire a return to higher prices per barrel?

For my part, I certainly don't offer to pay the gas station more, so I am availing myself of lower fuel prices; however, I would just as soon see the price rise. The lower prices are placing a strain on quite a few national economies as well as on employment in the domestic oil and gas industry. I don't see either of those things as good for the U.S., even though I am sure all most consumers see is that they are paying a good deal less than a couple years ago for gas.

If it bothers you so much, pay the merchant at the station an extra $20 to assuage any residual guilt you may be feeling

 

[Dan Daly]

My pocketbook loves it. The oil industry...and especially our domestic oil industry...not so much. How many industry jobs did we lose in just the US last year...70,000? I can't even speculate on the number in related/supporting industries.

 

[Toddsterpatriot]

My pocketbook loves it. The oil industry...and especially our domestic oil industry...not so much. How many industry jobs did we lose in just the US last year...70,000? I can't even speculate on the number in related/supporting industries.

Or the number gained in the oil consuming industries. A 2/3rds drop in the cost of oil, fanfuckingtastic!

 

[JakeStarkey]

More than grunts are being effected. Entire businesses within the industries surrounding the oil business will not survive for long. People that live off the royalties are being effected. Artificially low prices have a cascading effect.

Do I want more regulation? Of course not. But artificially low prices are more damaging than one realizes.

Particularly to the old folks who have been living off the 97%.