Rikiki

Wall Street Breakfast: Must-Know News

Herr Klaus,

You are on a slippery slope Freund. Do you remember the AMT...Alternative Minimum Tax... meant to snare a few hundred non tax payers. The folly is that raw numbers, as opposted to percentage based calculated numbers, do not allow for INFLATION. And once congress has tasted blood with this program they will be just as loathe to fix it as the have the AMT.

However, I totaly agree that the NY financial instutions are totally out of whack with the rest of the world in that peple get paid way more than virtually all other industries. Better just tax income and not distinguish the source.

Rikiki


On Feb 11 10:37 AM [e-mail] wrote:

> I think they should relegislate the 91% Fedral Income Tax on all
> bonuses exceeding $1mil, no exceptions, no deductions and no exemptions
> - stick that up their craw - take the incentive out of these items
> of corporate squalor

Federal Gas Tax Increase a Definite Possibility

Great ideas! I believe petroleum vulerable Europe has the general answer.... Tax motor fuels AND tax big cars by weight or engine size. Talk about demand destruction. In USA because of large geography, I don't think motor fuel should be taxed as heavily.... but still taxed more than now.
ASIDE: I never saw a Ford F150 sized pickup in Ireland where fuel is/was nearly $8.00/USG.

>> J. Wills.. When I lived in Texas, I had almost exactly the same daily (45) commute miles as yours. My Mercedes diesel routinely gets 30+ MPG and during the spike fuel averaged about $3.90/USG. For 21 work days/month plus approx 400 "leisure" miles, my ~80 gallons of diesel cost about $320/month. Your numbers don't compute.
Your ideas are quite credible.

Rikiki

PS. My brother's Jetta VW TDI (diesel) has given >50 mpg on road trips.

Rikiki

To What Extent Is Alternative Energy Performance Linked to Fossil Energy Prices?

>The Hand

I totaly concur with your points above.

As long as the congress and president act again as if the oil spike is an aberration, we are condemned to the repeat of history as you suggested. Congress and President have never had the guts to put forth a true "alternative energy" program. They have repeatedly reneged on CAFE (especially for light trucks) standards and buried heads in sand as to an increase in federal tax on gasoline and diesel fuels which would make european size vehicles the norm here. Heavens, they stand the chance of not getting reelected by the mindless mobs who want cheap now and the hell with the future. We americans are guilty of "more for us now" and less for our kids and grandkids. Almost sounds unionesque.

We have F150 and F250 pickups getting an average of 12 MPG. Who really needs that big of a truck .... I know .. Dallas, TX commuters. Right... I pick on Ford because the F150 is the most popular vehicle throughout the US (especially Texas, my former abode) . Yes, I had a F150 for my business 10 years ago. And, I got at best 16 MPG on the highway.

Another area where the government is way behind on is the new clean diesel cars and trucks. Diesel vehicles get at least 20% better mileage than injected gasoline options. My F150 only got 16 at best... my neighbor's F250 (bigger truck) claims as much as 24 on the highway. Why is it that VW, Mercedes and other imports meet our stiff standards for emissions and there is no american car that can?

The congress and the mob that continually reelects them apparently do not believe in long term solutions. I guess that we here are all victims of our culture of " I want now". Is there hope? People tend to believe their elected officials who depend on the lobby wonks to provide them with information on our votes... their way, of course.

To move to alternatives to liquid fuels, a very long, high price spike in petroleum is needed to get the attention of the mobs an the elected "servants". A gasoline and diesel tax increase could do a lot, in the mean time, to forestall the inevitable disaster of extreem fuel shortages and the crippling effect on the economy of the US.

Rikiki
.

Paul Krugman + Al Gore = The Way Forward

Folks, this is just plain silliness spilling over into a formerly great "Seeking Alpha". Just like the cable news, they have to keep something "interesting", "provacative", "polarizing" to keep the eyeballs on this site. Getting to be like the "Yahoo" sites' caustic slug fests... except without the filthy descriptors.
Many people on this site now just shout palaver from the right and left over and over. No basis in fact... just assertions and shoutdowns.

AGW is a theory debated by the EARTH SCIENTISTS, a relatively small and select group of MSs and Phds. Let them collectively debate the issues without interference form polititians and writers. I venture that if there were as much interest in the "Theory of Relativity" as there is in the "Theory of Anthropogenic Global Warming" we might be less distracted by "SCIENTIFIC THEORIES".
Maybe we could concentrate on human basic needs right now..... like getting rid of air pollution, assuring a minimal level of medical care for those who are in greatest need, caring for the young disowned street kids and unowned orphans, here and around the world.

Such displaced energy. What a waste of human resource.

Rikiki

Oil: Long-Term Bull Still Intact; Short-Term Weakness Should Persist

Shiv,

Excellent article. You background in Petro shows .

Rikiki

Oil: Long-Term Bull Still Intact; Short-Term Weakness Should Persist

CHL et. al.

The oil production countries are not exactly the most stable in this world. Any conflagration, assination, revolution, or inter-tribal wars can easily spike oil by huge amonts in a very short time.

In short, oil, oil futures and oil stocks are mega risky. Suggest you consider puts on all your long stocks and calls on all your short stocks.

Consider the following risky oil producers as my case in point:

Iraq, Iran, Saudi, Nigeria, Venezuela, Russia and China.

If you are bullish consider Longer term call spreads on DIG; If bearish use the DUG call spreads. Limit your losses (and gains).... but predictable max and min $ for positions.

RIkiki

How Does the Financial Crisis Affect the Peak Oil Thesis?

RichJoy,

I noted in your comment that you believe "Peak Oil" is just a theory. I admit that the "Peak Oil" production position for this planet is not currently knowable (only educated guesses at best) and therefore not really germane to shorter term price (supply and demand) discussions. So I do believe the insertion of "Peak Oil" into this headline leadin is just a teaser with little regard for the actual content.

I posted this earlier on another article on oil and it addresses "Peak any non-renewable commodity.

>>"How can you persist in calling "Peak Oil" a theory. When there is a finite quantity of ANY product or resource that is being consumed grand scale, you will have a "Peak XXXXXX" There are capped oil wells in both east and west Texas that reached their peak production prior to 1962. There are entire oil fields in California that reached peak production at mid century. There are regions such as the Permian Basin in west Texas and east New Mexico and Catarell in Mexico which have been in decline for over a decade. And, indeed, there are countries that are pumping less every year. The pool is being sucked dry worldwide. While some field's production is questionable ( i.e. Saudi), others are yet being discovered. Yes, Russia is pumping more and may not peak for some time but Norway and UK have to look forward to a lot less from the North sea platforms.

The point is that you (all countries) have proof that harvesting non-renewable, non-recyclable "stuff" is in decline. There is no argument here, scientific or otherwise, to dispute this "law of use and depletion of non-renewable resources". So it is not a theory. It is provable! <<

Rikiki

OPEC Embarks on a Fool's Mission

Michael,

How can you persist in calling "Peak Oil" a theory. When there is a finite quantity of ANY product or resource that is being consumed grand scale, you will have a "Peak XXXXXX" There are capped oil wells in both east and west Texas that reached their peak production prior to 1962. There are entire oil fields in California that reached peak production at mid century. There are regions such as the Permian Basin in west Texas and east New Mexico and Catarell in Mexico which have been in decline for over a decade. And, indeed, there are countries that are pumping less every year. The pool is being sucked dry worldwide. While some field's production is questionable ( i.e. Saudi), others are yet being discovered. Yes, Russia is pumping more and may not peak for some time but Norway and UK have to look forward to a lot less from the North sea platforms.

The point is that you (all countries) have proof that harvesting non-renewable, non-recyclable "stuff" is in decline. There is no argument here, scientific or otherwise, to dispute this "law of use and depletion of non-renewable resources". So it is not a theory. It is provable!

AGW, on the other hand, has hundreds of variables, modeling and outright guessing based upon short historical patterns of climate. There is no "proof" one way or the other that global warming is anthropogenic. I believe most in the field of climatology simply say there is no proof. Therefore, like Einsteins Theory of Relativity, AGW will remain a theory.

Proof, Michael.


Rikiki

Congressional Insanity: Sue OPEC over Oil Prices

Our intelligent public servants elected by our educated populace at work! There should be only be two absolutely mandatory requirements before running for public office in both Federal and State governments.

1. Every public elected individual must personally prepare his own income tax returns within 8 clock hours and be audited by the respective Federal and State taxing authorities.
2. Every public elected official must take and obtain a certified "B" or better grade in college level "Economics 1" and in high school level "ethics".

There should be also a limiting of terms of office for these arrogant condescending twits.

Rikiki
MN, CA, HI, WA, TX

Drivers Are Feeling the Pinch

Most respondents to the "Oil crisis
completely skip the second half of the Supply/Demand equation. I see tremendous waste of gasoline and diesel fuel here in Texas and around the country in summer.

1. Each summer nearly every county road and highway is sheared by gasoline and diesel tractors which pull huge rotary mowers to mow medians and shoulders of roads ( sometimes dozens of feet wide). When did this "beautification" or "fire abatement procedure" become so required of nearly every county in the country? How many millions of gallons of fuel are wasted. How many tractors sit idle 9 or 10 months of the year.

2. Each summer millions of households mow the lawan many times a summer. And how many millions of weed whackers/trimmers (gas/oil poluters) run hours each summer. Here in Texas $3-4000 riding mowers are common place. And there are A LOT OF THEM.

3. Texas Drivers routinely let their cars set in parking lots with engines running even on temperate days and nights. Diesel pickup drivers are the worst offenders. Texans are BIG WASTERS! I have lived in many other states than Texas.....! I even witnessed a brand new Volvo in the Post Office lot in Cedar Park, TX on an 80 degree day running for at leas 20 minutes while I was mailing a package. There was no person or animal in the car. Destroyed my illusion about Volvo drivers being "Tree huggers"

3. Independent truckers routinely let their rigs run for hours on end especially in summer overnight. A Kenworth size rig will burn near 2 gallons just running at idle. The independents bitch about fuel prices and yet they seem to be the worst wasters. Go figure. Hey guys check into an airconditioned motel and turn the engine off!

Conservation and wise use of a limited resource can help reduce the demand side of the equation. I have no real hope for counties to do the conservation thing.... they will just bury the increased fuel cost for mowing in the budget and then raise your taxes to cover it.

Rikiki
Round Rock, Texas