"The Cat is Out of the Bag".....why oil prices keep going up. (CNN)

[cthrumatrix]

A brave new oily world

The current spike isn't like the oil shocks of yesterday ... tight supply is here to stay.
March 21, 2005: 9:30 AM EST



NEW YORK (CNN/Money) - The view that becomes clearer and clearer in the oil market still bears repeating as we see once again that global bond and stock markets remain fixated on petroleum prices: We are not going back to the future in the oil market because the situation now is not like the 1980s or 1990s when oil prices spiked higher on a supply shock.

This is a price move based on tightening supply as OPEC pumps near capacity versus a brave new world where the US of A is no longer the lone gas guzzler because demand is rising from LA to Beijing to Delhi.

I asked Joe Terranova, director of trading for MBF Clearing Corp. at the New York Mercantile Exchange, why oil keeps going up and up. "Simple, the cat is out of the bag!" according to Joe. "Traders now recognize, for the first time since oil futures have traded, that there truly exists a demand to supply problem."

snip



http://money.cnn.com/2005/03/21/commentary/column_hays/hays/

We have got a "problem" and politicians/media will not educate America.

[chlamor]

1. You are right-It is up to you and me and...

others who are aware of the oil depletion and consequences. Talk about it everyday in every way. In the aisles of grocery store, while waiting at checkout counter, at gas stations etc. Thousand different way to bring it up. You are the answer.

[cthrumatrix]

4. after we get our steroid and court case updates we are just exhausted

when it comes to the real issues

[mhr]

2. You Mean - The MSM Is Admitting Peak Oil Is Real - Imagine That!

eom

[Coastie for Truth]

3. Some further serious reading on this

1. The boring engineering and geology--

a. Hubbert's Peak : The Impending World Oil Shortage
By: Kenneth S. Deffeyes

b. Out of Gas: The End of the Age Of Oil By: David Goodstein

2. The petro-politics--

a. Prize: The Epic Quest for Oil, Money, and Power By: Daniel Yergin

b. Funding Evil: How Terrorism Is Financed--and How to Stop It, Revised Edition By: Rachel Ehrenfeld

c. A Century Of War : Anglo-American Oil Politics and the New World Order... By: F. William Engdahl

d. House of Bush, House of Saud: The Secret Relationship Between the World's Two Most Powerful Dynasties by Craig Unger

I have deliberately avoided the booooring geology and equally boooring chemical engineering and petroleum refining engineering books -- but if you really want it - try Transport Phenomena, 2nd Edition by R. Byron Bird, et al -- if I had to suffer through it... ;-)

It's not so much petro-politics any more (although the petro-politics kept us from developing alternative and renewable energy strategies -- and allowed us to avoid serious work on nuclear waste management) - it's geology.

[PROGRESSIVE1]

5. .

[Wilms]

6. kick n/t

[mhr]

7. Energy Flows In The US Economy - Oil And Otherwise - For Perspective

[LittleClarkie]

8. They're more worried about a shortfall in SS that can be easily fixed

than a shortfall in oil that can't be easily fixed.

In one case, they're concerned about the future, or pretend to be. In the other they just keep shouting "Stay the course! We're fine! No crisis here!" How about looking for alternative solutions, just like SS. Oh no, they couldn't do THAT. THAT would make to much SENSE.

[tkmorris]

9. The thing is, this isn't about peak oil

Not exactly anyway. The problem in the oil futures market right now isn't so much that we are running out of oil but rather that the world is literally using it faster than it can be pumped out of the ground. I find that a scary thing. There simply isn't any way I am aware of to significantly increase capacity, and demand is going to continue skyrocketing for the foreseeable future.

It can be argued I suppose that the limited capacity of production is directly related to oil supplies dwindling but I sure didn't expect to see us bump the ceiling yet, I figured on about 5 more years before we got to this point.

I think what most people don't understand is that once we've gotten to where we are now there is no going back. Prices will NOT drop appreciably from here, logic dictates they cannot. Demand will increase far faster than supply will (if it even does) and prices will creep inexorably skyward.

If you'll pardon me I suddenly have the impulse to go tune my bike.

[dewaldd]

10. why aren't more people kicking threads like this?

This is far worse than any shit that the Republicans are pulling. This is actually something that could kill us here in this country.

I think we ARE at peak oil, but it is really a perfect storm: the convergence of rapidly increasing demand on stalling/declining oil pumping capacity. The major oil companies' oil reserves are being depleted as they try to match demand.

WAKE UP, PEOPLE!

[Al-CIAda]

11. Why aren't people more curious about the LIE of 9/11?

About treason?
About mass murder?
About the MOB that is running a 'protection racket' in the WH?