More than half the people over at the Ticker Forum (an investment forum) still think that oil is just a speculative bubble. Whenever anyone is getting nervous just realize there are just as many people out there that think PO is bs.

More than half the people over at the Ticker Forum (an investment forum) still think that oil is just a speculative bubble. Whenever anyone is getting nervous just realize there are just as many people out there that think PO is bs.

These people speculating are going to get crushed. Big time.

"This Brazil field is over more than 4000 meters down, under a kilometer of salt which is under a kilometer of rock under 2000 meters of ocean."

So because this situation is technically difficult *now*, it will be difficult *always*? Shall I bring up my point wrt PO again? "We know all we will ever know, and drilling techniques won't improve substantially, ever." That's very peculiar reasoning, rooted in one sentence:

"We can't now, and we won't be able to, ever."

Not to put to fine a point on it, but just because you cannot imagine extracting said oil cheaply doesn't mean it cannot be done. It just means you cannot figure it out.

This is a lack of imagination, which is a trait PO'ers have to a man.

I am glad none of you worked on the moon program in the 50's and 60's. I can hear it now:

"We can't design a rocket engine that can maintain 6.7MN of thrust. The rocket engine is experiencing catastrophic failures each time we test a new design and we don't have the technology to measure the hydrodynamic flow in the nozzle. We will need to wait at least 20 years for computing power to be able to correctly model this." Efc.

Relax this is not the time to freak out. Oil is expensive the time to be freaked out is when there is no oil and you see gas lines in the US for 6.00 gallon.

Yeah, I just wanted to point out how obtuse they are when it comes to PO. The crazy thing is that they hold themselves out as being in tune with finance and economics.

Lore, yeah I think they can't figure it out because the lack of context to understand the problem. The current PO on rush coupled with the direct spike in food prices, is such a massive problem their minds collectively just can't get it.

Idomar, it is frustrating but they will pay for their willful ignorance.

Arma, yeah 2009

Of course they have to believe this, if not, their whole world loses all meaning.

It wouldn't surprise me even next week. One bomb or a few bombs placed at any of a number of key oil producing areas around the globe could set off a panic that would not abate.

A small boat loaded with explosives in the Straight of Hormuz is all it would take to bring the world to its flippin knees.

AS farmers were set to begin their spring planting diesel fuel would rocket out of control wheat, corn, rice and all basic food staples would explode to a level that even first world nations would notice.

Save the panic for something like this, which could happen at any moment.

gas lines and $6.00 gas wouldn't suprise me for 2009

A few Months ago this "trader" I know said "we have lot's of oil".

I would surprise me. Particularily both gas lines and $6.00 at
the same time. Presumably, the price would first have to get
to $5.00 before 6, there will be a decline in demand at that
level.

$5.00 gal? Won't hadly make a dent.

It seems like everyone will ignore the price increases until they reach the 60-70 dollar/b price.

demand destruction needs an oil price of at least $100 and at least 1-2 years of steady prices to work.(thats my opinion of course)

I'd suppose, not just yet. $72 per barrel crude is "my" target price for demand destruction to start happening. Others talk about $70, $75, they're starting to "group" (using "gun terminology" Laughing) in the $70-$80 range.