Are you kidding?? If oil reached $120 or even $100 a barrel before you know it the world would be awash in the stuff. Everybody and their brother would be pulling up oil from existing wells, opening closed wells, looking for new deposits, etc. all hoping to cash in on the $100+ price.
The glut of would drive the price down as sure as the sun shines. In addition, the price of oil will drop like a brick b/c no one will buy the stuff at $120. Nations and private companies alike will be working around the clock to develop/refine/perfect syn-fuels.
And, last but not least, the oil producing countries (OPC) -- which generally produce little else -- have a very big stake in keep the price of oil within reason. If the price of oil gets too $$$$ buyers cut back, look for alternatives, etc. and revenues for said OPC falls. The fall in revenue means a fall in "bread-and-circuses" for the masses of the OPC, and that,in turn, means the politicos jump at every noise and warily eye every shadow.
A very good analysis. I'm sure the Saudis have run the numbers, too. Of course, so has AQ, and this is probably exactly what they're looking for. It gets them ever closer to their dream, the 7th century.
Didn't Texas oil people close a lot of wells up?? I wonder at that price if it wouldn't become feasable to drill for oil again??
enviormentalist have pretty much put a stop to any new drilling or wells, point of my mentioning oil in this manner were that terrorist direct point is to destrot the dollar, you will see this near when the YEN hits 75 on the dollar, oil could come back but under difficuties,this is clearly outlined by some of the best in the business and know, please read THE OIL FACTOR by stephen leeb and donna leeb, study the arab oil embargo of 1973, should a coupe ever take place in saudi arabia oil will go higher than $42 and as high as $92 and possibly much higher than $120, point of new reins in power especially extrememist is to destroy the dollar and oil is the weapon, even if oil does come back down and I believe it the damage will have been done to the dollar. american dollar is under attack by extremist, that is the target and as long as attacks ocurr in middle east against american interest oil will go higher, G2intelligence at worldnetdaily.com indicate this, latest threat intelligence release on may 14 indicate several targets in U.S mainly refineries and distribution points within 45 days with others projected at future dates. 1929 stock crash caused 40 billion in losses in one day, imagine what trillions over trillions in losses will do, would take more than 10 years to over come. you are correct 120 a barrel will damage that is exactly what I meant to do damage to the U.S dollar study the extremist you will know this to be so, this point was the intention written in the voice of the jihad stated at northeast intelligence in its transalation of arabic issue, search northeast intelligence then scroll down to find the subject in precious metals.