Gosh goober, Friday seems to have taken all the fun out of CRUDE OIL

greenspun.com : LUSENET : TB2K spinoff uncensored : One Thread



October 00 ($US per bbl.) 9/8 14:42 34.55 34.78/33.40 33.60 --- -1.79 122922


October 00 ($US per bbl.) 9/8 14:42 33.85 33.85/32.35 32.60 --- -1.95 59288

-- cpr (buytexas@swbell.net), September 08, 2000


Anyone want to bet the OPEC member Traders have been shorting since the price was $29?? After all, they can ship.

-- cpr (buytexas@swbell.net), September 08, 2000.

Can anyone say "obsessed"?

-- consumer (shh@aol.com), September 08, 2000.


-- (hmm@hmm.hmm), September 08, 2000.

Halftime score:

cpr blindfolded monkey flipping a coin ___ __________________________________

1 4,967

-- Cave Man (caves@are.us), September 08, 2000.

http://dailynews.yahoo.com/h/nm/20000908/bs/energy_opec_dc _7.html Friday September 8 3:25 PM ET
OPEC Raises Hopes for Cheaper Oil

By Richard Mably

VIENNA (Reuters) - OPEC Friday gave grounds for optimism that the oil cartel will mount its third supply increase in a year to soothe an international outcry over high energy costs.

The Organization of the Petroleum Exporting Countries, under fire to ease fuel bills and temper inflationary pressures, is thought likely to lift output by about 700,000 barrels daily, just under 3 percent, when it meets Sunday.

``OPEC is going to do its part to lower the crude price to within the target band,'' said Saudi Oil Minister Ali al-Naimi, referring to the cartel's preferred price range of $22-$28 a barrel.

But petroleum producers should not take sole responsibility for prices that hit decade-highs this week, he added on his arrival in Vienna.

``We hope that the consuming countries will do their part to lower the product price and lower the burden (on consumers),'' Naimi said, a reference to taxes that account for three-quarters of the price of petrol in Europe.

Expectations are that Saudi, OPEC's leading producer, will add its share of new oil to a large dose of leakage that already has the kingdom pumping well in excess of its official quota.

That pushed world crude prices Friday sharply lower from Thursday's 10-year highs. London Brent futures lost $1.80 to close at $32.75 a barrel and U.S. light crude finished $1.79 easier at $33.60.

Iran, OPEC's second biggest supplier and traditionally an oil price hawk, signaled that it would not block extra production.

``We do not seek exceedingly high oil prices nor do we seek to create an artificial shortage of supply on the market,'' Iranian Oil Minister Bijan Zanganeh said from Tehran.

Fuel Protests

Fuel protests in France and Spain and renewed calls in the United States for a release of government petroleum stocks have highlighted a growing impatience among OPEC's customers for the group to take strong action.

Finance leaders in the West, though, suggested that fears of another 1970s-style recessionary oil shock around the corner are misplaced.

Germany, rejecting calls for the government to drop plans to raise energy taxes, said high fuel costs posed no threat because inflationary pressures in other parts of the German economy were low.

And International Monetary Fund Managing Director Horst Koehler said of oil's spike: ``It's casting a shadow on the outlook but I am confident the global economy is strong enough to cope.''

Traders are doubtful that an extra 700,000 barrels daily from limits now of 25.4 million will be enough for a sustained move lower for prices ahead of the winter.

Since most OPEC countries already are pumping to capacity, any significant increase would have to come from leading producer Saudi Arabia.

Saudi Leaks

Saudi's Naimi said in New York earlier this week that Riyadh already was pumping 600,000 barrels a day more than the allocation it was awarded in June.

And insiders said Saudi's share of extra OPEC supplies would come on top of the leakage, taking the kingdom's output beyond nine million barrels a day for the first time in nearly 20 years.

Industry observers say petroleum stocks in the West, particularly of heating oil, are so low that unless the northern hemisphere has a very mild winter crude prices may stay firm for some months to come.

They say OPEC was too slow earlier this year in easing the output restrictions that carried prices from a 22-year low in 1998.

``They've left the market hostage to fortune,'' said Mehdi Varzi of Dresdner Kleinwort Benson. ``But if they go for 700,000 bpd that at least should undermine some of the market speculation.''

With inventories drained, refiners are loathe to do more than operate hand-to-mouth, declining to rebuild stocks for the time being at such high prices, hence perpetuating the shortages.

``The real worry is the shortage of petroleum product stocks,'' said Julian Lee of London's Center for Global Energy Studies. ``More crude oil won't really answer that problem.''

U.S. Reserves Option

If OPEC's third output rise this year, coming on top of a 2.4 million bpd increment already, does not do the trick then attention will turn to U.S. government policy on emergency stocks.

Congress is pressuring the Clinton administration to loan oil from the giant 571-million-barrel Strategic Petroleum Reserve (SPR) for sale on the open market.

``The U.S. may have the last card to play with the SPR,'' said Gary Ross of U.S. consultancy PIRA.

OPEC policy is under close scrutiny from finance ministers around the world.

European finance ministers, worried about economic performance in the eurozone, at a meeting in Versailles called on OPEC to raise output.

Finance chiefs from Asia-Pacific Economic Cooperation (APEC) governments meeting this weekend will examine the risk from rocketing oil import costs to the region's strong economic recovery.

Let's add the rest of that post, Charlie:

Charlie, I hope you've just misspoken yourself rather than resorting to outright falsehoods, to wit: "And this little note takes care of the OilZombies BULL SHIT that the Saudis "couldn't ship anymore because they are at full production". THEY HAVE BEEN SHIPPING EXTRA BBLS !!!!. "

No one, and I repeat NO ONE YOU DUMB SHIT, except perhaps you, ever said the Saudis were at capacity. In fact, every story, every post, every reference to S.A. I can recall here stressed the fact that S.A. was one of the few OPEC countries WITH excess capacity. Jeez, even when you try to get it right, you get it wrong. Your obsessive behavior is getting alarming, Charlie.

-- Cash (cash@andcarry.com), September 08, 2000.

Should we have expected anything less from the great cpr?

Oil takes a ONE DAY drop, and cpr doesn't start just one thread to brag about it, but a DOZEN THREADS!

I guess he's making up for all those INCREASES of the last week, and month, and year.

Since oil has TRIPLED in price over the last 21 months, why don't you start... naa... never mind... it's not worth my effort...

And isn't it funny that cpr ignores all the stories about the OPEC increase not meaning squat, as far as demand goes.

Oh well, I guess cpr is right. Oil is going down. Today.

Let's see what he has to say next week. Or next month. Or let's wait and see what he has to say this coming winter, about heating oil prices.

Knowing cpr, I'm sure he'll have something to say. Probably a DOZEN FREAKING TIMES!

What an asshole...


-- Sysman (y2kboard@yahoo.com), September 08, 2000.

Ah, I have to leave a soft place in my heart for anyone who uses the words "gosh goober".

-- Grace (SincerelyGrace@aol.com), September 09, 2000.

Moderation questions? read the FAQ