12-18-08 WTI Crude Futures Tumble

It seems to me that our global system is in desperate need of correction anyway. (NWO?) China was in a race against time and needed to put the brakes on. Their type of system should be able to correct itself easier back to socialism?

Today ABC news showed as similar story in China with protesters as was the ones we had in Chicago and 'shared' with us by China?

Maybe not just a coincidence that they may actually want to connect with us? This is a different kind if war against the greed of humanity and it's basic need for a correction. If only it was that simple.

That's much easier than an asteroid, isn't it?

Maybe we're all deluded.

Originally posted by ARNOMANNN
The price of oil is being manipulated on purpose to bankrupt the Arab world. Alex Jones has been making alot of noise about this, and even though I think he is a crackpot I believe he may be right on this one....

I really wonder what would be the benefit of bankrupting the Arab world . . .

But suppose that someone is manipulating the price of oil to bankrupt the Saudis. What would you think the Saudis would do when the price of oil tumbles down to $36 per barrel, like it happened yesterday?
I think the best thing to do would be to to buy January contracts and send the price back above $40 per barrel the same day.



See? The oil now trades 15.68% higher then some 12 hours ago.
There is no way that someone would manipulate the Arab world, coz the Arab world got so much money that it is virtually impossible.

Strange things happened over night

By Christian Schmollinger

Dec. 19 (Bloomberg) -- PV Oil Co., Vietnam’s state-owned oil marketing company, sold a cargo of Ca Ngu Vang crude oil for loading in February to Royal Dutch Shell Plc, said a trader who submitted an offer for the cargo. A company official, who asked to remain unidentified citing company policy, confirmed the price. Ca Ngu Vang means “golden tuna” in Vietnamese.

Details of the sale are as follows:
---------------------------------------------------------------
Crude: Ca Ngu Vang
Loading: February
Buyer: Shell
Quantity: 300,000 to 500,000 barrels
Price: Premium of $1.10 a barrel to the average of the
Platts/APPI Minas price**
---------------------------------------------------------------
** Average Minas crude price of Platts and Asia Pacific Petroleum Index.

Nobody's going bankrupt - yet. Prices will recover eventually and hopefully when they get ridiculously high again as they were last summer, we will have more choices for transportation than we do now and thus we wont need as much oil. Personally, I think peak demand for oil has past us. I'm driving a 35mpg car instead of the 15mpg one more often. When I can get one that gets 100-200 or even 50 I will and so will the rest of the world.

Here we go again... when trading opened this morning crude was at $34.5

WTI CRUDE FUTURE (USD/bbl.) 34.500 -1.720 -4.75 08:24

Guss we'll have to wait until the end of the day to see how bad it gets.

Today is OPEX - options expiration.

Oil contracts must be delivered, unlike many other commodities, which can be rolled forward. Oil cannot roll forward.

During the last few years, there are many players in the exchanges that are not in the production business (speculators). They do not have the crude to deliver, nor do they have the tanks to store. They sell the futures only and must exit positions for dollars on expiration days.

need to exit position + demand has fallen off a cliff = price craters

Today will be an interesting day for Oil

Originally posted by eldard
reply to post by Pinktip

 

Lindsey Williams only said about bankrupting the Arabs, not Russia.

Your correct, I had a typo.....The PTB want to bankrupt the Middle East, but other oil rich countries will be effected. Mainly Russia

"World Bank: Russia may need help if oil falls more."

www.breitbart.com...

Simply put this is one reason that deflation is bad. Why are you going to go out and buy something if you know it will be cheaper in 6 months?

Also in a deflationary situation there is ZERO incentive to invest. Your money is more valuable in cash than invested.

There is the theory that Al Gore and his group caused the high oil prices to influence the 2008 election and get Obama voted in and now that they have done that they pulled there money. to use for other manipulation of the world.
www.abovetopsecret.com...

Originally posted by ANNED
There is the theory that Al Gore and his group caused the high oil prices to influence the 2008 election and get Obama voted in and now that they have done that they pulled there money. to use for other manipulation of the world.
www.abovetopsecret.com...

Intriguing ANNED, but by the November elections, oil/petrol prices had already suffered a precipitous decline. Another theory bouncing to & fro says that OPEC has been strategically lackadaisical....tardy in announcing production-cuts to stem the price decline.......to a purpose:

1) Curb Alt-Energy investment: Alternative Energy Suddenly Faces Headwinds

2) Encourage rapid supply destruction: Energy projects put on hold in response to lower prices

3) Cripple the competition? Low prices hit high-cost producers hardest (OPEC being a cartel of low-cost producers).

In other words...OPEC is willing to exchange short-term pain for longer-term gain. Worth considering?

Originally posted by stander
I really wonder what would be the benefit of bankrupting the Arab world . . .

Good question stander. Especially with the Fed announcing that they intend to 'paper' the Global Titanic from stem-to-stern to finance our bail-outs. I mean, we need the Middle East to sop-up some of those zero-return treasuries....right?

Originally posted by jefwane
Most gold bugs won't even entertain the idea of deflation.

On the contrary. I would wager that anyone with a serious allocation to Gold has given careful thought to both sides of the argument...and placed his bet accordingly.

....being overweight gold in a deflationary environment is going to leave some gold bugs with sore sphincters IMHO

I'm not a fan, but I think even Mish likes gold in a new millennium deflationary spiral

For the sake-of-discussion, if the domestic inflation measure was to turn negative, signaling deflation (currently declining above zero: disinflation)...I think the pucker-factor would depend on when said 'gold bug' began accumulating (his cost-basis)...and at what price level he liquidates.

I'm still holding a deflationary thesis but willing to switch to a hyper-inflationary given certain government policies.

Deflation "thesis" with a protective-call on inflation. Safe bet.

In light of certain Gov policies (and bulging monetary aggregates I presume)....I've even noticed a subtle shift on the staunch deflation-camp boards...not quite as staunch-y