Should we be buying as much oil as possible?

I'm waiting for my boss to call me and tell me we're working tonight so I'm active on the boards today. Anyway...

If I was an investor to me it would seem like a great time to stock up on some oil. I'm wondering.... If our country started purchasing massive amounts of oil to add to our reserves could we use that oil as leverage in future markets against the Saudis and Iran?

Seemed like a good idea to me.

Sure, as long as China will loan us the money.

Seriously though, no, all oil production should be temporarily halted. We should tell all the Middle East producers to suck it, and bring the price back up. It's killing our economy and the world's...

a reply to: Signals

I don't understand how it's bad for the economy.

a reply to: onequestion
I agree with you!

originally posted by: onequestion
a reply to: Signals

I don't understand how it's bad for the economy.

Iran is trying to undercut the Petrodollar. The lower the oil prices drop, the less power USA's economy has.

a reply to: BELIEVERpriest

So they are trying to devalue our currency?

Topically it seems to be alleviating our economy by offering consumers lower gas prices.

Aside from that I've read that fracking companies will go into debt before they stop producing because of what happened last time they stopped producinf(can't remember)

a reply to: onequestion

Yes, but I think we should be buying 100% of what we use if possible. I tend to think more long term about this situation and feel we should conserve our domestic resources for the future when foreign sources are depleted. Yes, I know it would drive up costs to the economy but just how much more so in the future if alternative sources of energy are not discovered in time to offset the use of oil?

a reply to: CharlesT

I've followed that line of thinking as well but determined that investing the same resources into alternative energy would be more efficient in the ultra long term, and eventually absolutely necessary.

a reply to: BELIEVERpriest

Correct, but Saudi Arabia is the culprit, they started this path.

And what do our leaders do?

a reply to: onequestion

Low gas prices are only temporary. If prices continue to fall, our wells will have to shut down due to production expenses and America will have to import more oil. That will raise gas prices sharply, and the US oil industry (wells, drillers, truckers) will all suffer. My dad transports drilling equipment. He has a lot to lose, as does the trucking industry in TX, LA, OK, AL, CA, and other states.

a reply to: onequestion

Lol crossed my mine too but at an individual level, as you know it will jump back to 100+ a barrel.


This is an amusing and pretty interesting article I came across before the new year:

That Time I Tried to Buy an Actual Barrel of Crude Oil
www.bloomberg.com...

a reply to: interupt42

The CEO of BP just released a statement saying that the prices will drop down to 10$ a barrel and then in six months slowly climb back to 50, he aid it will likely never go back to 100.

originally posted by: onequestion
a reply to: interupt42

The CEO of BP just released a statement saying that the prices will drop down to 10$ a barrel and then in six months slowly climb back to 50, he aid it will likely never go back to 100.

I believe that it will go back up, however i don't believe that it likely won't go back up to 100.

Although, I suspect it will be in short intervals in order to avoid alternate methods such as fracking from expanding again.

However, Perhaps they found what the market bears before alternative methods become viable competitors. So maybe , but I think the temptation will be to great for them to not once in awhile dip into.

a reply to: Signals

I still don't get why America keeps Saudi Arabia at it's side. We have enough oil in our own country to sustain our economy independently, long enough to find an alternative energy source.

I guess they fear the rest of the world following our footsteps and becoming independent too. That would disband the Petrodollar, and the elites would lose all prospects for their NWO.

a reply to: BELIEVERpriest

It's because we need an asset in the Mid East besides Isreal. It's also leverage against Russia and China. We don't want their economies growing.

originally posted by: onequestion
a reply to: BELIEVERpriest

It's because we need an asset in the Mid East besides Isreal. It's also leverage against Russia and China. We don't want their economies growing.

That's probably true, but if we had a strong enough military and a good independent economy, we wouldn't have to worry about Russia and the ME drama. But I'm just following a pipe dream.

As a individual if you got money to invest. Buy a big tank and buy gasoline and keep it treated. Especially if gas gets real low.
Fill it up, gasoline (petrol) will not be around forever. Basically stock up and save while you can. Hoard it. If everyone did this gas would be dirt cheap for a long time. Backward supply and demand.

a reply to: Booji

Great, so everyone has a hazardous and most likely improperly stored stockpile in their backyard.

Nothing to go wrong with that idea at all.....

a reply to: BELIEVERpriest

Or, it could be as simple as realizing our leaders have insider deals with the Saudis!

originally posted by: BELIEVERpriest
a reply to: Signals

I still don't get why America keeps Saudi Arabia at it's side.

Have you read the book "Confessions of an Economic Hitman" or studied the U.S. government contracts in Saudi Arabia? That would shed some light on this question of yours


ETA: what Signals said