joes

Oil: Supply and Demand? Hardly!

If this is true "China is out there producing auto and diesel fuels from cola" then we should stop sending them coke:^)


On Oct 30 02:46 PM bindlepete wrote:

> Your really don't understand this market. There are not often single
> elements driving any decision out side of a coin toss and even these
> can be subject to influence.
>
> Most decision are multifactorial from access to transport, price,
> currency fluctuations ones own perceived needs and on ad infinitum.
>
>
> As to the supply side " peak oil' is a reality and inconvenient to
> acknowledge in our political system. China recognizes it clear and
> simple but then they have a different pattern of decision making.
> As to the many bbls you see coming on line it will be more than eaten
> up by declines in world production. Yes, even at $80 a bbl. with
> our dollar going down the porcelain pot hole.
>
> Hey, it is finite and difficult to find and produce. The US does
> not control the world oil market it is a world market and the big
> locals have little interest in low prices and certainly not cheap
> as dirt alternative liquid fuels.
>
> China is out there producing auto and diesel fuels from cola in the
> form of dimethyl ether and methanol. That is not permitted here as
> it would break the oil companies monopoly on feeding our liquid fuels
> addiction. Again China has a different decision making procedure.
>
>
> Oil priceas will continue to bounce about but with a clear upward
> long term trend. Bet on it. I have and am not ashamed of my comfortable
> success.
>
> I know you want a simple explanation but sorry all questions do not
> have human answers. Richard Belman taught me this back in 1970 over
> looking the Pacific.

Oil: Supply and Demand? Hardly!

What is that site, the stats show no one goes to it, just a bunch of links?

On Oct 31 09:10 AM invest4free wrote:

>
> good weekend reading: financeopinionss.blogs...

Oil: Supply and Demand? Hardly!

Oil and Gold act like hybrid investments, we use them in the actual production of things, and if we are making more of anything oil goes up and gold goes up when countries like China and India's middle class starts expanding.

Oil and Gold also are favorites of speculators, because the the distribution of both commodities you have unusual and out sized influence from companies like Saudi Arabia and South Africa.

The Saudi have an especially inflated sense of importance, but when you understand that this isn't a country as much as a family run business with a total GDP of $600B (this is also the market cap of the two, only 2, largest US companies, Exxon and Microsoft) it is clear to see that the story is more interesting than the reality.

Letting the dollar slump for a while is fine by me as it pressures state controlled currencies like the Renambi and the Real to be exposed in the free market.