You implied that this would only happen with market manipulation. That's why I mentioned price elasticity, etc.
Posted on 06/18/2014 3:30:17 PM PDT by TigerClaws
The ISIS rebels have carved out an impressive swath of territory in northern Iraq. This has enormous implications and risks to the world’s oil supplies.
Months before the ISIS rebels began their threatening move into Iraq’s southern regions, the International Energy Agency was imploring OEPC to produce and export an additional 1.2 million barrels per day (mbd) more oil by the end of 2014.
(Excerpt) Read more at marketwatch.com ...
Get the poor people off the streets!
Outta my way, I’m a rich Republican....
if you like your $3.50 gas.. you can keep your $3.50 gas!
Oh great one more notch in the AntiChrist’s belt.
At that point, you will know for certain that Obama armed the folks taking over and that he is making good on his promise to make energy costs skyrocket.
Obama still over 40%. His supporters are the best, most loyal, stupidest that money could buy.
Do you think losing Iraq and $200 ppb would be enough for Obama to get to 35%.
Horsecrap.
It’s good for Alberta. Each dollar in the rise of the barrel of oil is about $150 million dollars in revenue.
$4 gas, 8% unemployment (13% real), surging food prices, and trillion dollar deficits got Baraq re-elected.
Crony capitalists and the entitlement army, not the working middle class, rule the elections now.
Too bad that the U.S.A. doesn’t have a nearby friendly neighbour who has a lot of oil they want to sell.
Oh, wait a minute, you do — it’s just that you don’t want a pipeline that would make shipments possible. Too bad, so sad.
Romney called it. There’s a percentage of people in the country now so dependent on the government handouts they’ll NEVER vote Republican. Rats are speeding up the process with amnesty. Problem is with socialism the parasite eventually kills the host.
Far better we ship it via Crony Capitalist Warren Buffet’s choo choo cars.
Why would the price of oil almost double when Iraq doesn’t produce 50 % of petro...?
Me thinks someone is manipulating the market.....
nay couldn’t be....
There will come a point.. The tipping point, where those of us who pull the wagon just say “ENOUGH!” drop our yokes and either jump in the wagon or stand at the side of the street..
that point I think is coming. I know I have personally cut back and started enjoying my life more. why work my ass off when someone else gets to enjoy the fruits of my labor?
When those of us producing the money revolt, it’s gonna get ugly.
You need to look up “price elasticity”, “inelastic supply” and “inelastic demand”. In the short-term, the price of oil rises or falls a large amount, if there’s even a small shortage or surplus of supply (as the case may be).
A 50% rise in the price of crude price is not unprecedented. That translates into a much smaller percentage increase in the retail price of gasoline.
I understand those concepts...
So do you think oil will $200 a barrel if Iraqi oil goes off line...unlikely...
After all even terrorist organizations would like to cash in on the billions...
During the 2008-9 recession, worldwidle oil demand dropped about 3 to 4 million barrels per day on a base of roughly 84 million BPD. The price before the crash had peaked at $140 or so, and dropped in half.
Taking Iraq off-line — not counting any makeup by Saudi Arabia — would be a supply shock of approximately the same magnitude—so oil could go up quite a lot—maybe 50%, or to about $150.
On the other hand, an oil price surge of this magnitude would almost certainly curtail demand and might trigger an obvious recession. So, I’d guess that after a brief spike, the price would settle at higher than today’s level, but not that high. My guess—$130.
You implied that this would only happen with market manipulation. That's why I mentioned price elasticity, etc.
We have an oil/fracking genius freezer…I forget his name.
Can someone who knows that guy ping him?
He knows everything.
Hold on. These predictions are from the same source that “guaranteed” that the sequester would cost us 100 million jobs.
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