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Ian posted an update 5 years, 12 months ago
Oil crashing; yet another unfortunate sign of a global depression on the horizon. https://oilprice.com/
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Ian posted an update 5 years, 12 months ago
Oil crashing; yet another unfortunate sign of a global depression on the horizon. https://oilprice.com/
They informed small oil producers that because there is no more storage, distilleries and “Big Oil” would not be purchasing any oil after the end of April. This is expected regarding oil. If business can start up without all the draconian measures, the economy would be able to start moving; however, it won’t solve their quadrillion dollar debt they want to resolve by crashing the world.
The way I have always read a crash in oil prices ( and in this case, from *already* depressed level of $20/bl ) is that it indicates a severe lack of demand from *end users*, not merely the intermediary companies that explore for, and refine, the product.
Or, to clarify, the *markets forecasting* said severe lack of demand from end users.
There is also the fact that there is a huge debt being carried by oil/gas.
I wonder how those debts will be carried with oil trading *below zero* at the current time ( 12:05 PST )? Assuming the current price of negative $18 dollars for WTI-Crude doesn’t hold, and there is a “monster rally” to $5/bl, how’s that going to work out for firms with excess leverage?
The negative numbers are because the major producers have to pay to store oil at this time. If we can actually ignore FEMA, kick the governors in their capitals and let people get back to work which would use energy and oil, a lot of this could change. People MUST keep up the pressure as the Fed has OTHER ideas and wants to keep up the fear. Even people who should know better are not informing themselves about how ludicrous this “FAUX EPIDEMIC” is. It is NOT about health, it is about taking over the economy and booting out the low and middle class to camps (I can only guess). In order that this doesn’t happen, we have to get people back to work, SCREW social distancing so they can’t adequately surveil everyone and kick the Fed to the curb.
I’ve proposed gas/petrol “quantitative easing”, i.e. free or virtually free distribution of fuel to everyone. until we all have the real “free energy”. But this idea has not got much response….
lots of cheap oil for tar for the roads. I hope they go Gung ho