Expect A Global Recession No Matters What Happens In The Eurozone [View article]
Thanks, I forgot to include links to the NYT original charts and report in my post. NYT full report http://nyti.ms/sewz7g and Here is the NYT interactive charts http://nyti.ms/rQBbV0
I think the NYT chart might not have everything but serves as a visual reminder as to how interconnected the global economies and systems are.
US debt situation is alarming, but the country has one thing going for them - US dollar (and treasurys) is and will be the dominant reserve currency in the foreseeable future. So I personally don't see a crisis for the U.S. like the current euro sovereign debt implosion, but do see interest rate eventually will go up, which would increase the interest payment. I also think it would be best for the U.S. policymakers to focus on GDP Growth first vs. reining in fiscal responsibility in the middle of a possible double dip.
Netflix: What Not To Wear At The High Stake Tech Party [View article]
If you read carefully, I did not recommend Blockbuster and have no position either as Blockbuster has its own problem which landed the company in its current state to begin with. That being said, whenever a company such as Netflix did something to infuriate and alienate its subscriber base, it naturally opens the door for competitors. Blockbuster is the closest alternative that angry customers would go to.
Libyan Oil Offline Indefinitely Just a Red Herring [View article]
News flash: (April 7, 2011) US crude supplies have risen in 10 of the past 11 weeks, reached 357.7mm bbl, gasoline demand down 1.2% yoy bit.ly/dE5zkh
We don't even know how much is sitting on the Brent side as there's no regular inventory report.
So, obviously, 'Peak Oil' is not here and now! Not to mention China is raising fuel prices as well as interest rate.
Right now, demand / supply cannot account for the oil price keeps going up, and I would like to see anyone point to anything other than speculation (and excess liqudity from QE2) that's driving the crude, and other commodity markets.
Oil Market Speculation Argument to Be Tested by WTI Rollover Cycle [View article]
Copy and paste below is my response to a similar comment at Zero Hedge ((link h/t Charles Mackay):
af.reuters.com/article... [According to FACTBOX from the Reuters], Cushing storage "capacity" is around 52,000 million barrels; however, (excerpted from the same Reuters link)
"Actual usable storage capacity is estimated to be approximately 80 percent of shell capacity due to operational and safety constraints"
52mm bbl x 80% = 42mm bbl, so it may even be less than the 44mm bbl I quoted from a CNBC special interview at Cushing.
My additional comment below: Your conclusion about inventory not correlating with oil price in 2008, and other times, exactly proves my argument that speculation drove up the oil price to peak at $147 then, and is doing it now again. (Thanks, by the way)
Here and now - plenty of supplies with U.S. storage maxing out, another 2 million barrel build just last week, and negative demand growth yoy, and yet crude prices are still moving up, spotlight will be on speculators.
Although many have concluded that trading activities have very little effect on oil market, but after you eliminate the demand and supply factors, whatever remains, however improbable, must be the answer.
U.S. Consumers Have Big Banks to Blame for High Gas Prices [View article]
As Fxmaven said "This would be very difficult to do but would make a great PhD Finance thesis for somebody from Stanford or MIT."
Mainstream media reports only major banks analysts feed them, and they are long oil. so you don't hear much.
Check out my analysis about WTI on SA. Traders took deliveries at last rollover (btw, typically big boys can do this), but unlikely to do so in the next rollover since Cushing is litereally maxed out.
U.S. Consumers Have Big Banks to Blame for High Gas Prices [View article]
Do you truly believe banks hoarding QE2 speculating in commodity markets have NOTHING to do with rising commodity prices, including gasoline, even as Cushing is choking on crude glut? Too much liquidity in the hands of wrong parties, though not the only factor, is a big part of it. .
Japan Earthquake Could Test U.S. With $5 Gasoline Prices [View article]
Crude markets are now largely dominated by speculative traders and fundamentals such as supply and demand really don't mean much at the moment. Price swings widely one day to the next where supply and demand really has not changed significantly. Geopolitical events so far have not altered the physical market that much, but the media hype heightening the expectation of certain doom is enough to move the market.
Japan Earthquake Could Test U.S. With $5 Gasoline Prices [View article]
Bob and I collaborated on this piece. So SA first split between us and then consolidated under Bob. Your sense of humor probably would fizzle at the gas pump pretty soon.
$300 Oil by 2020: Scary but Unlikely [View article]
Oil dropped as much as 3% Thursday, March 11 partly on news of China slowdown, I'd say that's part of the demand side of response to high oil prices as I point out in my post here. Rate hike and/or global economy slipping into a double dip would kill oil price before it hits $300.
Expect A Global Recession No Matters What Happens In The Eurozone [View article]
and Here is the NYT interactive charts http://nyti.ms/rQBbV0
I think the NYT chart might not have everything but serves as a visual reminder as to how interconnected the global economies and systems are.
US debt situation is alarming, but the country has one thing going for them - US dollar (and treasurys) is and will be the dominant reserve currency in the foreseeable future. So I personally don't see a crisis for the U.S. like the current euro sovereign debt implosion, but do see interest rate eventually will go up, which would increase the interest payment. I also think it would be best for the U.S. policymakers to focus on GDP Growth first vs. reining in fiscal responsibility in the middle of a possible double dip.
Netflix: What Not To Wear At The High Stake Tech Party [View article]
That being said, whenever a company such as Netflix did something to infuriate and alienate its subscriber base, it naturally opens the door for competitors. Blockbuster is the closest alternative that angry customers would go to.
LNG Export: A U.S. Natural Gas Game Changer? [View article]
www.thehindu.com/news/...
Get Ready for Another 'Sell in May and Go Away' Year [View article]
Libyan Oil Offline Indefinitely Just a Red Herring [View article]
(April 7, 2011) US crude supplies have risen in 10 of the past 11 weeks, reached 357.7mm bbl, gasoline demand down 1.2% yoy bit.ly/dE5zkh
We don't even know how much is sitting on the Brent side as there's no regular inventory report.
So, obviously, 'Peak Oil' is not here and now! Not to mention China is raising fuel prices as well as interest rate.
Right now, demand / supply cannot account for the oil price keeps going up, and I would like to see anyone point to anything other than speculation (and excess liqudity from QE2) that's driving the crude, and other commodity markets.
Oil Market Speculation Argument to Be Tested by WTI Rollover Cycle [View article]
af.reuters.com/article...
[According to FACTBOX from the Reuters], Cushing storage "capacity" is around 52,000 million barrels; however, (excerpted from the same Reuters link)
"Actual usable storage capacity is estimated to be approximately 80 percent of shell capacity due to operational and safety constraints"
52mm bbl x 80% = 42mm bbl, so it may even be less than the 44mm bbl I quoted from a CNBC special interview at Cushing.
My additional comment below:
Your conclusion about inventory not correlating with oil price in 2008, and other times, exactly proves my argument that speculation drove up the oil price to peak at $147 then, and is doing it now again. (Thanks, by the way)
Here and now - plenty of supplies with U.S. storage maxing out, another 2 million barrel build just last week, and negative demand growth yoy, and yet crude prices are still moving up, spotlight will be on speculators.
Although many have concluded that trading activities have very little effect on oil market, but after you eliminate the demand and supply factors, whatever remains, however improbable, must be the answer.
U.S. Consumers Have Big Banks to Blame for High Gas Prices [View article]
"This would be very difficult to do but would make a great PhD Finance thesis for somebody from Stanford or MIT."
Mainstream media reports only major banks analysts feed them, and they are long oil. so you don't hear much.
Check out my analysis about WTI on SA. Traders took deliveries at last rollover (btw, typically big boys can do this), but unlikely to do so in the next rollover since Cushing is litereally maxed out.
seekingalpha.com/artic...
U.S. Consumers Have Big Banks to Blame for High Gas Prices [View article]
No Fly Zone Succeeds: Libyan Rebels To Sell First Oil Cargo is.gd/Z4cNyJ
U.S. Consumers Have Big Banks to Blame for High Gas Prices [View article]
Too much liquidity in the hands of wrong parties, though not the only factor, is a big part of it. .
Libyan Oil Offline Indefinitely Just a Red Herring [View article]
Japan Earthquake Could Test U.S. With $5 Gasoline Prices [View article]
Geopolitical events so far have not altered the physical market that much, but the media hype heightening the expectation of certain doom is enough to move the market.
Japan Earthquake Could Test U.S. With $5 Gasoline Prices [View article]
Japan Earthquake Could Test U.S. With $5 Gasoline Prices [View article]
$300 Oil by 2020: Scary but Unlikely [View article]
Rate hike and/or global economy slipping into a double dip would kill oil price before it hits $300.
$300 Oil by 2020: Scary but Unlikely [View article]