redbaron

Is Oil a Bubble? Part One

T. Boone says that natural gas is the future; as he says, 'it is available here domestically, we don't have to import it, we are finding more of it here currently as we begin to look harder for it, it burns cleaner than gasoline or diesel, and it is currently about 60% the price of gasoline or diesel so it is cheaper'. IMHO we would as a country do well to listen to what he has to say. The company he founded is offering their systems to fleet transportation currently. Here is a link:
www.cleanenergyfuels.c.../

Is Oil a Bubble? Part One

I see signs that we are beginning to conserve here in the states, but actual consumption of energy is still going up. At the same time, consumption globally is also still going up. There will be a correction in the price of oil, but the question is 'Are we there yet?' I don't think we are because of what I observe each day. Eventually, it will happen, but it is going to take more significant moves than what we come up with so far. We first have to un-do some of the mistakes we have made (i.e., ethanol). We are beginning to ask some of the right questions, but the solutions for us here in the states to me seem far in the future. In the mean-time, I will own oil and oil related stocks.

I also am looking forward to Part II, which will likely promote more great discussion. I think such discussion, debate, or whatever, is a large part of the solution.

Is Oil a Bubble? Part One

FXTrader, yes I am aware of the way the chinese subsidize gasoline, but how is that different from what we do with grain and ethanol production? A gov't subsidy in the US is not any different than a gov't subsidy in China or elsewhere. We do the same thing!

Is Oil a Bubble? Part One

Great discussion. I vote with Papita and Ship Shape. An 'oil bubble' will become a reality, when we start conserving, and/or the developing countries are no longer emerging. We Americans look at the world only through our own perspective, and that ignorance of what is actually happening here is going to cost us big time. Those billions of Chinese, Indians, et al, want what we have, and are making progress towards getting it. They are buying cars now, instead of bicycles, and it is not going to stop just because we don't like it. We are beginning to take some basic steps towards doing some things right, but we have a long way to go, and the rest of the world is not waiting for us to figure this out. I'm holding my oil positions until I see some genuine progress, and at this time that seems a long distance into the future.