$100-a-barrel oil may be only a few months away

[RedEarth]

NEW YORK: The $100-a-barrel oil that Goldman Sachs Group said would prevail by 2009 may be only a few months away.

Jeffrey Currie, a London-based commodity analyst at the largest brokerage firm, said that $95 crude was quite likely this year unless OPEC unexpectedly increased production and that declining inventories were raising the chances for $100 oil.

Jeff Rubin at CIBC World Markets said $100 a barrel could come as soon as next year.

John Kilduff of the New York office of the futures trading firm Man Financial said: "We're only a headline of significance away from $100 oil. The unrelenting pressure of increased demand has left the market a coiled spring."

http://www.iht.com/articles/2007/07/23/business/oil.php

[tecelote]

1. Start shipping those compressed air cars - $2 to fill up!

http://www.alamogordonews.com/opinion/ci_6446616

[valerief]

2. Yeah, but $100 won't be what it used to be. nt

[TomInTib]

3. And I gave my royalties to my ex.

Damn.

[sarcasmo]

4. Does that equate to $4.00 a gallon or $4.50 a gallon?

[Imagevision]

5. This is precisely what Bush needs right now, with Gonzo

getting assigned to a special prosecutor investigation new subpoena's for Miers & Rove, yesiree-Bob, This President wants every good American to be more concerned with the rising costs of gasoline, don't concern yourself with politics and believe Mr. Bush when he said earlier this week in North Carolina that the US. is making progress in Iraq.

[Ganja Ninja]

9. It's all piling up.

Aside form all the domestic problems we may be looking at a Turkish invasion of northern Iraq and hurricane season is about to get revved up. If this all comes down on him in the next 8 weeks an impeachment could get unanimous support.

[taterguy]

6. . . .

[AndyA]

7. I wonder just how much this oil shortage thing is being manipulated.

Think about it:

The Saudis could intentionally lower the number of barrels they pump per day, and allow the rumors of peak oil, demand exceeding supply, etc., to circulate, knowing all the while that they have plenty of oil left. The result would be (and is) much higher prices worldwide, and less cost to them since they are pumping less.

So, they make more money with less oil, and it's all a staged event. The oil companies go along with it, because it benefits them as well. This could be a major part of the super secret Bush/Cheney/Oil Company Energy Policy.

Is this totally beyond possibility? :shrug:

[Maven]

10. Yes, it is.

The cartel already fixes prices to maximize their marginal revenue. They have no need to artificially restrain supply in order to increase prices.* Nor would such a plan even work, since it would provide other members of the cartel (or other producers outside the cartel) with a perfect opportunity to "cheat" on the cartel and soak up more of the market.

Something much more basic is going on here.

* Especially since demand for oil is now even with or even slightly outpacing supply.

[tecelote]

11. Of course it is being manipulated!!!

How do you think that the oil companies achieved the highest profits in the history of any company in the world?!

[Maven]

8. And yet no mention of the P-word

Even though they quote Matthew Simmons, and you KNOW he mentioned it when he spoke to them.

This is my favorite part of the article:

Currie, Goldman's global head of commodities research in London, is predicting that oil prices will probably touch a record high and stay at unprecedented levels for months or years. The all-time high for the benchmark Nymex crude future is $78.40 a barrel on July 14, 2006.

"Ultimately, the key to the outlook going forward is when will Saudi Arabia ramp up production," he said in an interview.

:rofl:

What a maroon.

[radfringe]

12. and the way the stock market is going

we probably won't be able to afford it even if it was a buck a barrel

...ashes ashes we all fall down.... except for those with super-secret-off-shore-tax-free accounts