What's with the low oil prices?

[frigidweirdo]

Overhead is compensated for by increased product. Potential supply is contingent upon conditions, just like crabs and lobster. This is all a supply and demand issue and the only reason things have cost way more than they need to is because this president thing's energy policy has allowed OPEC leverage it didn't and doesn't have to have.

You have just shown an incredible lack of understanding on this issue.

And everything you've posted reflects supply and demand dynamics.
Do you work for the obama admin? The DNC?

Yes, it reflects supply and demand when 80% of the supply is held by one group who can raise and lower prices at will. They're trying to put US oil production out of business by making it unprofitable.

 

[RoshawnMarkwees]

Overhead is compensated for by increased product. Potential supply is contingent upon conditions, just like crabs and lobster. This is all a supply and demand issue and the only reason things have cost way more than they need to is because this president thing's energy policy has allowed OPEC leverage it didn't and doesn't have to have.

You have just shown an incredible lack of understanding on this issue.

Explain. Don't just throw barbs.

You're blaming the US president for the international price of oil when he isn't in OPEC which controls the largest supply of oil at present. It also controls the oil that is cheaper to get out of the ground and when OPEC decide oil prices go down, it's those companies who pay more to extract that are going to get it.

OPEC will have leverage because it is extremely powerful. It can simply reduce oil prices when it feels like it, maybe not so low, but low enough to cause major problems. And yet you blame the US president. What powers do you think the US president has over OPEC? The US only has the power to invade OPEC countries. It did that, oil prices went up, not down.

Supply and demand exists, OPEC control the supply, not the US president.

This president reversed major expansion plans for drilling domestically. When you consider the potential resources we have, OPEC becomes a smaller fish in a bigger pond. Do you believe OPEC drove the price down in 2008? Their production was essentially constant during that period. The only thing that changed was the expiration of the offshore drilling ban here, the subsequent plans for comprehensive extraction increases domestically and then the reimposition of that ban. Obama reimposed the ban.

 

[RoshawnMarkwees]

Overhead is compensated for by increased product. Potential supply is contingent upon conditions, just like crabs and lobster. This is all a supply and demand issue and the only reason things have cost way more than they need to is because this president thing's energy policy has allowed OPEC leverage it didn't and doesn't have to have.

You have just shown an incredible lack of understanding on this issue.

And everything you've posted reflects supply and demand dynamics.
Do you work for the obama admin? The DNC?

Yes, it reflects supply and demand when 80% of the supply is held by one group who can raise and lower prices at will. They're trying to put US oil production out of business by making it unprofitable.

That's a bullshit excuse. When something drops in price demand increases and so the profit remains. Especially a commodity as essential as oil.

 

[MaryL]

Fracking, that's what's up. It's too bad, because I really think we need to think through the overall side effects of hydraulic fracturing. But cheap gas, that's going to make the long term effects worth it. Is it? Everything from polluted ground water to earthquakes.

 

[RoshawnMarkwees]

Fracking, that's what's up. It's too bad, because I really think we need to think through the overall side effects of hydraulic fracturing. But cheap gas, that's going to make the long term effects worth it. Is it? Everything from polluted ground water to earthquakes.

You obviously make too much money.

 

[frigidweirdo]

This president reversed major expansion plans for drilling domestically. When you consider the potential resources we have, OPEC becomes a smaller fish in a bigger pond. Do you believe OPEC drove the price down in 2008? Their production was essentially constant during that period. The only thing that changed was the expiration of the offshore drilling ban here, the subsequent plans for comprehensive extraction increases domestically and then the reimposition of that ban. Obama reimposed the ban.

So?

As I said before, the "potential" that exists only exists within a little bubble which requires oil and gas prices to be high enough for them to be profitable. If the US starts pumping out oil and gs too much, prices drop to a point where it's no longer economically viable. OPEC know this, hence why they're doing what they're doing. I'm not saying Obama stopped domestic drilling in places because he knew that too much production would cause such an effect, however you can't criticise someone for not allowing something to go ahead which would have damaged the US economy. I mean this in the sense that this extra drilling would have further lowered prices, would probably have gone bankrupt by the end of OPEC's campaign to put oil prices down. Some of the present drilling sites might just go bust soon anyway.

OPEC doesn't become a smaller fish, it becomes a slightly less large fish. Do you know how much oil the US would have to be producing in order to make OPEC lose its power? Let's just say it isn't all the potential oil the US thinks is there.

When Bush lifted the ban on offshore drilling and prices decreased massively, it was just one of those things. Prices rose again.

We're talking here about prices dropping in 2014. So Bush said he would drill, prices drop. Obama reversed this and prices are dropping. Supply and demand? Or a cartel in OPEC deciding prices? They don't set prices so much as control them. Things are outside of their control for a time and oil prices will change to reflect that. However they can always put out a strategy that will have far more of an impact than a US president who can make a small impact, but ultimately not much.

Obama put new restrictions on oil in the gulf at the end of 2010, and prices rose. Why did oil prices rise? Just the market? Or did OPEC have anything to do with this?

Here's another chart. Oil exports by Qatar went down in 2006/2007 time and increased around 2009. Why?

We see the same thing with Saudi Arabia.

If the president said "hey, we're stopping the ban on offshore drilling", why would this reduce the exports of oil BEFORE the impact of the lifting of the ban could take place?

OPEC were already taking measures to make sure they were in control. The market was happy, the president had that initial impact on the market. But OPEC were reducing production, hence exports in a bid to raise oil prices.

Now it's completely different. OPEC wanted oil prices to rise. They probably didn't have a strategy back then. Now their strategy has changed, and it's to drive US oil companies out of business. They might even get at Russian oil too.

 

[frigidweirdo]

That's a bullshit excuse. When something drops in price demand increases and so the profit remains. Especially a commodity as essential as oil.

But then again, supply is controlled, if you see the difference between production and supplies of oil, you'll see how much OPEC does what it wants. Now it wants lower prices, it gets them.

 

[RoshawnMarkwees]

This president reversed major expansion plans for drilling domestically. When you consider the potential resources we have, OPEC becomes a smaller fish in a bigger pond. Do you believe OPEC drove the price down in 2008? Their production was essentially constant during that period. The only thing that changed was the expiration of the offshore drilling ban here, the subsequent plans for comprehensive extraction increases domestically and then the reimposition of that ban. Obama reimposed the ban.

So?

As I said before, the "potential" that exists only exists within a little bubble which requires oil and gas prices to be high enough for them to be profitable. If the US starts pumping out oil and gs too much, prices drop to a point where it's no longer economically viable. OPEC know this, hence why they're doing what they're doing. I'm not saying Obama stopped domestic drilling in places because he knew that too much production would cause such an effect, however you can't criticise someone for not allowing something to go ahead which would have damaged the US economy. I mean this in the sense that this extra drilling would have further lowered prices, would probably have gone bankrupt by the end of OPEC's campaign to put oil prices down. Some of the present drilling sites might just go bust soon anyway.

OPEC doesn't become a smaller fish, it becomes a slightly less large fish. Do you know how much oil the US would have to be producing in order to make OPEC lose its power? Let's just say it isn't all the potential oil the US thinks is there.

When Bush lifted the ban on offshore drilling and prices decreased massively, it was just one of those things. Prices rose again.

We're talking here about prices dropping in 2014. So Bush said he would drill, prices drop. Obama reversed this and prices are dropping. Supply and demand? Or a cartel in OPEC deciding prices? They don't set prices so much as control them. Things are outside of their control for a time and oil prices will change to reflect that. However they can always put out a strategy that will have far more of an impact than a US president who can make a small impact, but ultimately not much.

Obama put new restrictions on oil in the gulf at the end of 2010, and prices rose. Why did oil prices rise? Just the market? Or did OPEC have anything to do with this?

Here's another chart. Oil exports by Qatar went down in 2006/2007 time and increased around 2009. Why?

We see the same thing with Saudi Arabia.

If the president said "hey, we're stopping the ban on offshore drilling", why would this reduce the exports of oil BEFORE the impact of the lifting of the ban could take place?

OPEC were already taking measures to make sure they were in control. The market was happy, the president had that initial impact on the market. But OPEC were reducing production, hence exports in a bid to raise oil prices.

Now it's completely different. OPEC wanted oil prices to rise. They probably didn't have a strategy back then. Now their strategy has changed, and it's to drive US oil companies out of business. They might even get at Russian oil too.

More bullshit. Do you work for this administration? You are flinging bullshit.
The price is dropping because supply is increasing against demand. Just like the potential for supply against demand when the offshore moratoriums were lifted in 2008. The price went up immediately upon obama pronouncements and actions to reimplement restrictions. OPEC did nothing different as far as supply is concerned when the price dropped and did nothing different when obama reimplemented restrictions when the price rose. Their impact was negligible in those instances.
Their impact is significant in this case because obama restrictions have not been lifted and the US government this time around has down nothing to that effect.
Then -- OPEC nothing, US something. This time -- OPEC something, US (obama) nothing.
You're putting up smoke screens.

 

[Claudette]

As the price for oil approaches 50 dollars a barrel what do you think is up?

The Oil cartel could cut production as they have in the past to maintain prices but have not. They are sitting on a pile of gold so it is not like it would hurt them.

Could it be to hurt fracking? Which I have heard there is now no where to store more gas in the US.

Or could it be to bankrupt Russia? To destroy their oil industry and if so what do you think Putin might do?

According to what I've been reading we have lower gas prices because domestic production is up and the price of foreign crude has come down.

We have oil here and we should be pulling it out of whereever it is.

Barry's green bullshit was a bust and cost we taxpayers billions.

 

[Freewill]

Overhead is compensated for by increased product. Potential supply is contingent upon conditions, just like crabs and lobster. This is all a supply and demand issue and the only reason things have cost way more than they need to is because this president thing's energy policy has allowed OPEC leverage it didn't and doesn't have to have.

You have just shown an incredible lack of understanding on this issue.

And everything you've posted reflects supply and demand dynamics.
Do you work for the obama admin? The DNC?

Yes, it reflects supply and demand when 80% of the supply is held by one group who can raise and lower prices at will. They're trying to put US oil production out of business by making it unprofitable.

That's a bullshit excuse. When something drops in price demand increases and so the profit remains. Especially a commodity as essential as oil.

Don't know if that is really true. Looking at it on the micro level, I do not expect my consumption to change all that much due to the lower price, I will be very happy to spend my money on something else.

 

[jon_berzerk]

Overhead is compensated for by increased product. Potential supply is contingent upon conditions, just like crabs and lobster. This is all a supply and demand issue and the only reason things have cost way more than they need to is because this president thing's energy policy has allowed OPEC leverage it didn't and doesn't have to have.

You have just shown an incredible lack of understanding on this issue.

And everything you've posted reflects supply and demand dynamics.
Do you work for the obama admin? The DNC?

Yes, it reflects supply and demand when 80% of the supply is held by one group who can raise and lower prices at will. They're trying to put US oil production out of business by making it unprofitable.

That's a bullshit excuse. When something drops in price demand increases and so the profit remains. Especially a commodity as essential as oil.

Don't know if that is really true. Looking at it on the micro level, I do not expect my consumption to change all that much due to the lower price, I will be very happy to spend my money of something else.

exactly why would you need more fuel --LOL

lower fuel prices really help the small store owner

when gas is cheap customers spend more inside on coffee and candy and such

since they have the money to spend

 

[Freewill]

You have just shown an incredible lack of understanding on this issue.

And everything you've posted reflects supply and demand dynamics.
Do you work for the obama admin? The DNC?

Yes, it reflects supply and demand when 80% of the supply is held by one group who can raise and lower prices at will. They're trying to put US oil production out of business by making it unprofitable.

That's a bullshit excuse. When something drops in price demand increases and so the profit remains. Especially a commodity as essential as oil.

Don't know if that is really true. Looking at it on the micro level, I do not expect my consumption to change all that much due to the lower price, I will be very happy to spend my money of something else.

exactly why would you need more fuel --LOL

lower fuel prices really help the small store owner

when gas is cheap customers spend more inside on coffee and candy and such

since they have the money to spend

If oil prices stay low our economy will surge and Russia's will falter and that maybe the aim all along.

 

[jon_berzerk]

And everything you've posted reflects supply and demand dynamics.
Do you work for the obama admin? The DNC?

Yes, it reflects supply and demand when 80% of the supply is held by one group who can raise and lower prices at will. They're trying to put US oil production out of business by making it unprofitable.

That's a bullshit excuse. When something drops in price demand increases and so the profit remains. Especially a commodity as essential as oil.

Don't know if that is really true. Looking at it on the micro level, I do not expect my consumption to change all that much due to the lower price, I will be very happy to spend my money of something else.

exactly why would you need more fuel --LOL

lower fuel prices really help the small store owner

when gas is cheap customers spend more inside on coffee and candy and such

since they have the money to spend

If oil prices stay low our economy will surge and Russia's will falter and that maybe the aim all along.

yes perhaps

 

[frigidweirdo]

More bullshit. Do you work for this administration? You are flinging bullshit.
The price is dropping because supply is increasing against demand. Just like the potential for supply against demand when the offshore moratoriums were lifted in 2008. The price went up immediately upon obama pronouncements and actions to reimplement restrictions. OPEC did nothing different as far as supply is concerned when the price dropped and did nothing different when obama reimplemented restrictions when the price rose. Their impact was negligible in those instances.
Their impact is significant in this case because obama restrictions have not been lifted and the US government this time around has down nothing to that effect.
Then -- OPEC nothing, US something. This time -- OPEC something, US (obama) nothing.
You're putting up smoke screens.

Sometimes I can be quite harsh with people because there's a lot of nonsense on this board. When you basically wondered why I was doing this it was because I felt you were doing the same thing. Now I see I wasn't wrong.

You don't understand the situation, I've tried to explain it to you, you still don't get it. That's not my problem.

But here's the thing, I'm making an argument, I'm backing it up. You're coming back with nothing more than some words.

Look at the situation in 2001:

4 OPEC countries who hated the US.

Venezuela, Iran, Iraq and Libya.

There are 201 countries in the world, something like that. The US has, in that time managed zero declarations of war, two military engagements authorised by Congress, two authorised by the UN.

Of the former, one was Afghanistan, the other Iraq. Of the latter one was Libya and the other Haiti which was peacekeeping anyway, not proper military engagement.

So, two out of three have been against the 4 nations I mentioned before.

Then there's sanctions. The US has sanctions against various countries, not many, Venezuela is next, Iran has had sanctions since 1979 but there has been a massive increase.

Then there's coup d'etats. The one in 2002 against Chavez was helped through their, ironically named, program supposedly designed to promote democracy, and they got rid of a democratically elected leader, to, er... promote democracy. Couldn't make it up.

So here's the question. Why has the US targeted these countries so much?
Why was Libya so essential to bomb the hell out of to get rid of Gadaffi in the eyes of John McCain, and yet Syria was only mildly annoying, not enough for US military action?

Why sanctions against (supposedly) Iran's nuclear program, while at the same time supporting Pakistan's (yes, PAKISTAN) nuclear program?

Why try and get rid of Saddam, Chavez, Gadaffi and the Iranian regime? What do they all have in common?

 

[frigidweirdo]

If oil prices stay low our economy will surge and Russia's will falter and that maybe the aim all along.

What happens if US drilling has to stop because it's not financially viable?

 

[Freewill]

If oil prices stay low our economy will surge and Russia's will falter and that maybe the aim all along.

What happens if US drilling has to stop because it's not financially viable?

What's your point? Should the US be propping up the price of oil?

 

[RKMBrown]

If oil prices stay low our economy will surge and Russia's will falter and that maybe the aim all along.

What happens if US drilling has to stop because it's not financially viable?

If we stop, drilling because it's not financially viable, we'll have less bitching and moaning about drilling here in the states. Our import/export trade imbalance will get worse. There will be people looking for work.

 

[nodoginnafight]

Oh yes, by all means let's artificially prop up the price of oil for U.S. oil companies who have been raping the American people for almost a decade while continually whining for MORE and MORE government subsidies.

 

[RKMBrown]

Oh yes, by all means let's artificially prop up the price of oil for U.S. oil companies who have been raping the American people for almost a decade while continually whining for MORE and MORE government subsidies.

Yeah cause working for a living and providing products the American people want to buy is the same as "raping the American people." By your measure anyone that works and provides products is a rapist. I suppose you want us to believe that pieces of shit like you that live in their mothers basement are the true patriots.... ROFL

 

[BlindBoo]

last time I checked OPEC is the empirical data .. but whatever you say. Maybe a magic wand will appear and grant the rest of the world enough oil capable of being harvested to catch OPEC...

You need to do some research. We have more potential reserves than OPEC.
Then consider Bush's post-drilling-moratorium plans from late 2008/early2009, plans immediately scrapped by the current fascist-in-chief as the moratorium was reimposed.

Simply not true. In fact they were going to open more federal waters for leasing in the Atlantic. The new plans were reviewed sometime after April of 2010. Need a reminder why?