Oil drops below $130 a barrel

Okay 1 year from today email me my $100

 

Thanks for the laugh !!!

 

Sure...You of all people should realize that this is just a momentary pause. I'm sticking with my prediction of last March; $150 oil in midsummer.
rx

 

$170 or more by Thanksgiving.
$200 within 365 days or less.
$40 never again.
rx

 

And thank you also for the laugh !!

 

Considering that the dollar is gaining ground and investors or speculators are starting to move their money in securities, the fundamentals may tend to fall back. Demand is down worldwide and if the boneheads in congress work with Bush to drill offshore and pump our oil (I know it will take time but the psychological effect will cause crude to swoon) instead of letting China pump our oil.

 

Speculation by most estimates is responsible for perhaps 20% of current crude oil costs.
Actually I think the environmentalists (trust me, I'm not much of an environmentalist- it hasn't been too many years since we were dumping used equipment oil into a pit out at the ranch)and boneheads in congress are taking too much of the credit for the lack of drilling in this country. Think about it... only about 40% of existing leases are being exploited now. Why is this? Could it be that simple economics might have something to do with it? Maybe equipment and manpower shortages?

If I was in the oil business- well, okay, I am in a remote sort of way- why in the world would I invest the funds in new drilling equipment, hire the personnel (who by the way don't exist; so should I hire and train illegal aliens?) and drill for oil- whereby I would create additional supply, thereby diminishing the value of the oil that I've put on the market? As an investor, I ###### sure wouldn't put my funds in such a losing proposition. Folks are clamoring for us to drill for more oil. Who's "us"?

As far as demand for crude oil, yes, I will agree that demand is down maybe 2-3%; this is only a short term lapse- demand is empirically trending upwards. This trend will continue until oil becomes simply too expensive to be utilized as fuel. This all makes logical sense when one considers that we are after all burning up a finite resource.
rx

 

Rex, Halliburton is pretty busy up Central and Northern CA. I have never seen or heard of an illegal working for them either.
I see via the news this morning Pelosi is still againsnt offshore drilling and she brought up 1969 Santa Barbabra. I suppose that women and her lib friends are stuck in the 60's, so no matter what kinds of new drilling/pumping tech is out there they still won't buy it. How long will it take for the libs supporters to get tired of high prices because of their wacko agendas?

 

Don't mind Rex, he lives in his own little world.

 

Uh, "The World According to Rex"???