Oil price over $147 for the first time-now above $80

[cycloneye]

Why $120 Oil is Good?



Above is an interesting articule about why the price of oil around $120 is good.

[cycloneye]

Oil breaks another record high



After closing this afternoon at a new record high of $123.69,in after hours trade,it has risen above $124 for the first time ever.

[Dionne]

In the next 30 years we will either develop widespread use of other fuel sources, the price of oil will cause a third world war, or the price of oil will cause a second great depression. Either way, all three of those solve global warming or make it irrelevant.

I will agree that the use of alternative fuels is an emerging trend. Given the history of mankind, there is no question that war will happen. But I find it unlikely that a "great depression" is possible. We're already seeing conservation at work. Everyone is driving less. Even the truckers are driving slower. My wife is now using photovoltaics to power her fountains in the gardens. I'm enjoying watching the demise of an oil dependent country. We knew this was coming 40 years ago. I suspect we're going to see $5 gallon gasoline much sooner than anticipated. Irregardless of what happens to us, the Earth will continue to go through cycles of cooling and heating. The Earth will survive. We won't.

[Nimbus]

This is like forecasting a major hurricane. All the elements are there for rapid intensification but there may be factors that will break the price spiraling faster than a Texas cold front!

Without intervention we could see oil prices break $155 a barrel this summer. That would be like a cat 4 hurricane for gasoline prices. Many airlines and trucking firms buy fuel options and take delivery as insurance to keep their fuel prices under control. Companies like southwest airlines that aggresively buy fuel options could weather a near term superspike in oil prices. After a superspike you can get months or even years of lower oil prices as positions unwind like they did back in the 80's.

Any superspike will likely occur in the next 5 months and even the perfect storm couldn't drive prices over $173 a barrel.

[feederband]

And right on Q $3.69 gas now at my station...Didn't go down a penny when the oil went down a few bucks the other day...

[coriolis]

In the next 30 years we will either develop widespread use of other fuel sources, the price of oil will cause a third world war, or the price of oil will cause a second great depression. Either way, all three of those solve global warming or make it irrelevant.

I will agree that the use of alternative fuels is an emerging trend. Given the history of mankind, there is no question that war will happen. But I find it unlikely that a "great depression" is possible. We're already seeing conservation at work. Everyone is driving less. Even the truckers are driving slower. My wife is now using photovoltaics to power her fountains in the gardens. I'm enjoying watching the demise of an oil dependent country. We knew this was coming 40 years ago. I suspect we're going to see $5 gallon gasoline much sooner than anticipated. Irregardless of what happens to us, the Earth will continue to go through cycles of cooling and heating. The Earth will survive. We won't.

Some people draw parallels between the US and the Roman Empire. That empire evolved to rely on cheap imported food. Ours has evolved to rely on cheap imported oil. I think it's a good way to look at this as a wake up call rather than a disaster. People don't like change, but change is inevitable.

[cycloneye]

BANGKOK, Thailand (AP) -- Oil prices hit a new record high above $125 Friday as a weaker U.S. dollar drove investments into commodities.



Oil at $125



Well folks,a new record high for oil has been broken early in the morning on international trade now over $125 a barrel.

[HURAKAN]

Nothing new. It increases at least one dollar every day. I believe there has to be an end.

[Cryomaniac]

Nothing new. It increases at least one dollar every day. I believe there has to be an end.

There has to be an end, but what that is is a different matter.

[feederband]

Nothing new. It increases at least one dollar every day. I believe there has to be an end.

Yeah but at what end will that be?

[feederband]

Nothing new. It increases at least one dollar every day. I believe there has to be an end.

There has to be an end, but what that is is a different matter.

Damn beat me too it...

[cycloneye]

Nothing new. It increases at least one dollar every day. I believe there has to be an end.

An end may be if what it appears to be a vast oil concentration off the coast of Brazil is drilled then there is much more oil supply.

[gtalum]

There is already plenty of supply. This spike in price is not driven by any shortage, it's based almost entirely on the weakening of the dollar.

[cycloneye]

And now $126



Incredible what is going on today as Oil first hits a new record early in the morning above $125 and by late morning it surpasses $126,so the record highs keep breaking.Now is Venezuela to blame among the causes of todays spike.

[feederband]

F

[HURAKAN]

And tomorrow the excuse will be that the Earth is the third planet from the Sun. They will always find an excuse for everything.

[cycloneye]

Analysis of why the spike of Oil Prices



Interesting to read about why Oil is going higher and higher in price.

Look at this chart of one year from May 2007 to May 2008 how oil has gone up.

[Dionne]

We are experiencing dramatic cost increases in fuels because of decades of restricted development of new sources. The crude is there. Look at ANWR.....huge discovery locked up.

[gtalum]

Isn't keeping those resources lockes up until there's a true supply crisis better than wasting them now when supply is plentiful? ANWR isn't as big as some pols would like us to think. The most generous estimates say it would give the US oil for only a couple of years at current rates of consumption.

The problem isn't crude supplies or refining capacity. It's speculation.

[feederband]

Ok I'm sure if we were to open up drilling everywhere possible under our own country and were independent and didn't have to get oil from anyone for along time which I think is possible but would still take many years if we start yesterday would the US oil companys sell it to us cheaper?

I mean wouldn't the oil still be on the world market?

Why would the sell it to the US for 50 a barrel when they still could get 130 a barrel on the world market?

Am I thinking right?