Posted on 02/03/2015 1:00:16 PM PST by tcrlaf
Right now the oil market is totally focused on finding a bottom for oil prices. However, according to OPEC's Secretary-General Abdulla al-Badri we've already hit bottom.
Not only that, but he sees a real possibility that oil prices could explode higher to upwards of $200 per barrel in the future. He's far from the only one that sees a return of triple-digit oil prices.
Finding a bottom: According to recent comments by the Secretary-General when he was in London, the oil market doesn't need to look for oil prices to bottom as the market has already bottomed. Instead, he offered quite bullish comments by saying, "Now the prices are around $45-$55, and I think maybe they [have] reached the bottom and we [will] see some rebound very soon."
Normally that type of remark would be just another layer of noise, but this is coming from OPEC's Secretary-General so it comes with a lot of weight behind it.
(Excerpt) Read more at money.cnn.com ...
He's a helluva salesman. He's not God when it comes to markets and oil. If you doubt that, Google "peak oil."
I agree. I don’t think we’ll see $200 bbl either unless, of course, all hell breaks loose in the middle east. And prices that high would severely dampen demand. I don’t know about you but I would certainly cut back on my driving at that price! :)
Any hint at the opportunity to raise oil prices makes it happen. Yesterday, local area pump price for unleaded was $2.09, less than 24 hours later it is now $2.14 or a $0.05 increase. When gas prices were dropping a few weeks back the prices came down only about 1 or 2 cents at a time which was over a two-three week period. Oil companies have to maximize prices when ever/where ever.
Any hint at the opportunity to raise oil prices makes it happen. Yesterday, local area pump price for unleaded was $2.09, less than 24 hours later it is now $2.14 or a $0.05 increase. When gas prices were dropping a few weeks back the prices came down only about 1 or 2 cents at a time which was over a two-three week period. Oil companies have to maximize prices when ever/where ever.
Repeat after me...the Erl Bidness is cyclical. We will see $100 oil again.
He’s not God when it comes to markets and oil.
**********
Who is? If you know someone who is then please let me know so I can follow their infallible predictions. We could all make some easy money.
I suspect it will last if he’s careful...I’ve followed him since the late ‘70s, he’s got to be somewhere +/- 90 years old.
They say everybody is human; in the case of a lot of tycoons its especially true. In the case of guys like T. Boone or Lee Iacocca it shows how far salesmanship can take you.
Is that like a Mr. Fusion?
OPEC sees oil prices exploding to $200 a barrel
Matt DiLallo, The Motley Fool 4:28 p.m. EST February 3, 2015
http://www.usatoday.com/story/money/2015/02/03/opec-sees-oil-prices-exploding-to-200-a-barrel/22800331/
Where Is All That Excess Oil Going?
[investors buying low, will sell high]
http://kccu.org/post/where-all-excess-oil-going
For striking U.S. refinery workers, Shell shocks with a new style
http://www.freerepublic.com/focus/news/3253488/posts
Increase in average gasoline prices ends 17-week streak of declining prices
http://www.freerepublic.com/focus/news/3253492/posts
Oil Prices Gain More Than 3%; Drop in U.S. Drilling Activity Will Balance Oversupplied Market
http://www.freerepublic.com/focus/news/3253496/posts
Good News: American Eco-Fascists Now Praising Saudis As Their “Best Ally” in Fight Against Keystone
http://www.freerepublic.com/focus/news/3253588/posts
Vermont just replaced its only only nuclear reactor with fossil fuels obtained from fracking
http://www.freerepublic.com/focus/bloggers/3253336/posts
from the (recent) FRchives:
T Boone Pickens tells Cramer: $100 oil will return
http://www.freerepublic.com/focus/news/3233270/posts
Oil said to back near $100 by 2010-2015
http://www.freerepublic.com/focus/news/2155525/posts
Crude Oil Is Crashing Again ($46.77
http://www.freerepublic.com/focus/gop/3245939/posts
Saudi Prince Says We’ll ‘Never’ See $100 Oil Barrels Again.
http://www.freerepublic.com/focus/news/3246026/posts
PRINCE ALWALEED: Oil Is Never Going Back To $100
http://www.freerepublic.com/focus/news/3246058/posts
At $200 bbl, alternative energy becomes more attractive. Enough attention paid to solar and battery technology will soon produce cars, trucks and ships running on something other than oil. Eventually petroleum as a fuel will go the way of whale oil.
A friend of mine said the same thing when I showed that to them.
How odd.
This pretty much was overlooked by the US media, but I found it on BBC several months ago.
Ask yourself how likely it is for Lockheed Martin to make such a bold claim and then not back it up. This is Skunkworks for God’s sake. They don’t make crud up.
[snip] Russia is a lumbering failure of a country which has seen at least two coups d’etat in the last century. Its population is on a steady decline. Its annual gross-domestic product is on a par with Italy, a grossly inefficient country with less than half as many people and some 6.5 million fewer square miles. However, the Russian government has a long, stellar reputation when it comes to meddling in the affairs of other nations. The latest effort at intervention appears to be an effort to thwart multinational energy corporations from engaging in hydraulic fracturing, or fracking, in Eastern European countries, reports The New York Times. Romania, a member of the European Union, is widely believed to be among Russia’s primary targets for meddling. Last year, rural and otherwise very obscure parts of Romania became a destination for zealous anti-fracking activists after Chevron, an American company, began exploratory drilling. Clashes between police and protesters became violent. The same basic scene has also played out in Lithuania and Bulgaria. [/snip]
“...unless, of course, all hell breaks loose in the middle east...”
You mean like if there’s a war between the Shiia and Sunni and Wahabbhists? None of that oil would get out, from Iran through Iraq, Kuwait and the Arabian states, and I could easily see $200/bbl. Indonesian and Nigerian oil could be affected in that scenario, too.
Except he sold a lot of those windmills before the crash. Pickets knows how to pump and dump with the best of them.
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