Rates are crashing and fuel to the moon!

The thing is oil is like anything else, you can sanction it or quit buying it but some middle man will sell you the Iranian oil. I have a Russian truck and when the US shut the door to Russian products it meant (to me) I "couldn't get the parts." .....BUT, I can get them, I get them from countries that get them from Russia so they cost a lot more than they used to. They get shipped around and people get their cut before I get them. Same with oil, same with natural gas. It is a global economy and there is always a way around. Supply and demand. The prices adjust themselves as long as someone wants the product (commodity).

 

If Iran keeps it up, there may be nothing left of them but a few smoldering embers. I am not a war monger, but I have enough sense to know that there are a couple of military powers here that are about done with their BS

 

What kind of Russian truck?

 

Late 1950s Ural 6 X 6

 

You need your own oil well for that truck

 

I got fuel in Aurora for $2.94 7 hours ago.

 

If fuel goes over 4.30 p/gal. Will that be enough to park rigs with 1.78 p/mile rates?

 

I dont believe this is true, based off of what I heard and read tonight. But even it if does this will be more of an issue with Middle East and China. Will oil go up? Of course it will but it won't be much here. Max will be no worse than Biden area prices and I dont think it will even come close to that.

 

I got fuel in WY tonight for 3.18 after they raised the prices on a few around the area.

 

It will impact the cost per barrel on Brent oil and so that normally will raise the prices for our oil WTI. These are the two top oil in the world that everything is based on. Of course supply and demand is the only thing that matters. So mainly Iran oil is sold to China. Like 20 percent of the oil goes through that strait they control in Iran.

The real issue why oil is going up right now is because of the insurance and coast of shipping on the tankers. It will go up across the board and so that will raise the prices more until the war gets settled down from Israel fight with Iran. This is why the cost of fuel has been going up the last week.