Oil Speculators At It Again – This time instead of fooling with contracts they are actually fooling with the tankers themselves.

Is there no end to the criminal ingenuity of Wall Street. It’s not enough that they destroy the mortgage market or sell all our jobs over seas, they just have to squeeze every dollar out of their grandmother’s social security check.

http://www.peakoil.com/modules.php?name=News&file=article&sid=45530

http://marketplace.publicradio.org//display/web/2009/01/09/pm_contango/?refid=0

Investment banks hoarding oil

Fifty million barrels of oil are just sitting around on supertankers. They’re not getting unloaded because investors are waiting for the price of oil to go up. Mitchell Hartman explains.

More on Oil

TEXT OF STORY

Bob Moon: Now here are some millions that haven’t raised the ire of Congress — 50 million… Barrels of oil. They’re sloshing around on huge supertankers right now. They’re not going into port, not getting unloaded. They’re just waiting, for the price of oil to go up. It’s a financial play known as “contango.” A lot of investors are getting into the act. Marketplace’s Mitchell Hartman explains.


Mitchell Hartman: “Contango” refers to a market condition in which the future price of a commodity is higher than the cost of buying it today. Right now, investors can lock in oil futures contracts to get paid $46 a barrel in March. They can fill a supertanker right now for just $41 and change. It’s pretty cheap to keep the tanker floating around in the ocean. When it unloads in the spring, the investors make a tidy profit: more than $3 a barrel.Daniel Yergin is author of the Pulitzer-winning book, “The Prize.” He says there’s a glut of oil right now, caused by the global recession. But futures prices are going higher, because OPEC has promised to cut production. And, says Yergin, oil traders are reading something else in the economic tea leaves.>Daniel Yergin: There’s a bet here that all of the stimulus, new economic programs, are going to work, and that by the second half of the year, we’re going to move out of recession, back into economic recovery, and that demand will start rising for oil again.

.

:}
For more please go to the PBS site and listen to the report. For a different point of view:

http://www.supplyexcellence.com/blog/2009/01/13/oil-price-fundamentals-contango-opec/

Oil Price Fundamentals: Don’t believe the hype

January 13th, 2009 · by Bob Zieger ·

Last week, Marketplace had an interesting report on the growing trend of “contango” in the oil industry. For those of you who are not familiar with the practice, contango occurs when investors sit on a commodity because the future price is higher than the spot price. In this case, that results in full oil tankers sitting offshore, waiting for the price to rise before they unload their 50 million barrels onto the market. So a quick buck is made by those holding the inventory on the high seas, but what happens when those barrels eventually reach a port ? We’ve got a glut of material again, which forces prices down. This type of profit-taking merely adds to the volatility of the market, but has little influence on macroeconomic fundamentals.

Frankly, it seems as though the oil/energy sector has the most interesting bag of tricks when it comes to speculation, rhetoric, and other market manipulation. But all the headline grabbing stories aside, oil is just like other commodities in that pricing is governed by supply and demand. While contango, Somali pirates, and accounting tricks can be a source of market volatility, these games don’t have a long term impact on pricing.

:}

The POINT for us is that they are “messing around” like mice worrying at a hole. Practicing. If someone doesn’t hit them with a broom, sooner or later they will succeed.

:}

For more on Cantango and other disgusting practices:

http://www.investopedia.com/articles/07/contango_backwardation.asp

 http://www.motherjones.com/kevin-drum/2009/01/super_contango.html

http://blogs.wsj.com/marketbeat/2008/11/11/crudes-credit-contango/

http://www.energybulletin.net/node/47633

:}

Please note Goldman Sachs says oil will hit 102$$ per barrel by the end of the year and I have said that oil will hit 130$$ a barrel by next summer. I wonder whose right?

:}

Man Made Global Warming Is Not Happening – So these experts say

Ah the liars strike back. SO TAKE THAT you you you environmentalists you.

http://scienceblogs.com/deltoid/2008/12/denialists_scraping_the_bottom.php#more

Denialists scraping the bottom of the barrel 

Category: Global Warming
Posted on: December 28, 2008 10:22 AM, by Tim Lambert

You have to think that global warming denialist Matt Drudge must be getting desperate when he touts a column by Christopher “White asbestos is harmless” Booker arguing that winter has disproved man-made global warming:

First, all over the world, temperatures have been dropping in a way wholly unpredicted by all those computer models which have been used as the main drivers of the scare. Last winter, as temperatures plummeted, many parts of the world had snowfalls on a scale not seen for decades. This winter, with the whole of Canada and half the US under snow, looks likely to be even worse. After several years flatlining, global temperatures have dropped sharply enough to cancel out much of their net rise in the 20th century.

But this time of the year you normally have the whole of Canada and half the US under snow. Look at the graph below from the Rutgers Global Snow Lab. If you move your mouse over it, it will show current snow cover. Not much different, is it?

Despite a strong La Nina this year, 2008 was nowhere near as cold as the years at the start of the 20th century.

So what’s the second part of Booker’s disproof of AGW?

Secondly, 2008 was the year when any pretence that there was a “scientific consensus” in favour of man-made global warming collapsed. At long last, as in the Manhattan Declaration last March, hundreds of proper scientists, including many of the world’s most eminent climate experts, have been rallying to pour scorn on that “consensus” which was only a politically engineered artefact, based on ever more blatantly manipulated data and computer models programmed to produce no more than convenient fictions.

OK, lets look at the list of “climate experts” who signed the Manhattan declaration. I don’t see many eminent climate scientists there. Of the 619 authors of the IPCC AR4 WG1, precisely zero signed the Manhattan declaration. There are a couple of eminent climate scientists there: Reid Bryson and Bill Gray, but the vast majority are not climate scientists at all, and the list includes entries like this:

John McLean, Climate Data Analyst, Post-graduate Diploma of Computer Studies, B. Arch., Climate Data Analyst, Computer scientist, Melbourne, Australia

Even if you repeat it, “Climate Data Analyst” is just a title he made up. Study the graphs above of climatic data. Congratulations! You’re analyzing climate data, so you can call yourself a Climate Data Analyst as well.

:}

But Booker is a serious author right? Here is one of his little triumphs:

http://www.telegraph.co.uk/comment/columnists/christopherbooker/3982101/2008-was-the-year-man-made-global-warming-was-disproved.html

I must end this year by again paying tribute to my readers for the wonderful generosity with which they came to the aid of two causes. First their donations made it possible for the latest “metric martyr”, the east London market trader Janet Devers, to fight Hackney council’s vindictive decision to prosecute her on 13 criminal charges, ranging from selling in pounds and ounces to selling produce “by the bowl” (to avoid using weights her customers dislike and don’t understand). The embarrassment caused by this historic battle has thrown the forced metrication policy of both our governments, in London and Brussels, into total disarray.

Since Hackney backed out of allowing four criminal charges against Janet to go before a jury next month, all that remains is for her to win her appeal in February against eight convictions which now look quite absurd (including those for selling veg by the bowl, as thousands of other London market traders do every day). The final goal, as Neil Herron of the Metric Martyrs Defence Fund insists, must then be a pardon for the late Steve Thoburn and the four other original “martyrs” who were found guilty in 2002 – after a legal battle also made possible by this column’s readers – of breaking laws so ridiculous that the EU Commission has even denied they existed (but which are still on the statute book).

:}

The EVIL METRIC people must be defeated….HAHAHAHAHAHA 

The Topic Of The Week Is Silly Energy Uses – As typed in at Google

I was shocked when I type in Silly Energy Uses into Google and got back 8 out of 10 references to Sarah Palin. But then I thought about it and realised that the Drill Here, Drill Now crowd does look silly, with oil prices in the 50$$ per barrel range and maybe going to 40$$ a barrel. The Saudis, the Ruskies and the Venezualans (should we call them Vennies?) have got to be looking to kill a bunch of Hedge Fund Operators and other bizzilionaires. Though the Brazilians (Brazzies?)got pletty of crap all over their faces too. What in the world are they going to do with all those oil rigs?

I have not had so much laughter and fun since the gas lines in the 70’s and the recession that led up to globalization in the 80s.

http://www.salon.com/tech/htww/2008/10/29/sarah_palin_on_energy/

 htww.png

Sarah Palin’s silly energy speech

When the announcement that John McCain had chosen Sarah Palin to be his running mate broke across the political landscape like an Alaskan mountain avalanche, many analysts, including yours truly, jumped to the conclusion that her background in energy issues made her a savvy choice in an era of record-breaking oil prices. McCain’s “drill here, drill now” mantra was taking a bite out of Obama’s poll numbers, and the immediate expectation was that Palin would be a potent vehicle for delivering energy-related soundbites.

But it didn’t turn out that way. On Wednesday morning, oil traded at $65 dollars a barrel, more than 50 percent off its July peak of $147. The financial crisis proved more riveting than gas prices, and Sarah Palin’s rocky performance as a debutante on the national political stage swiftly obliterated the conventional wisdom that she could be an asset to the McCain campaign.

 :}

But Palin’s speech is still worth some attention, because it clearly makes the case for why the McCain-Palin agenda is fundamentally wrong for the United States.

Palin started off by acknowledging that “the price of oil is declining largely because of the market’s expectation of a broad recession that would lower demand.” She was absolutely correct to note that “this is hardly a good sign of things to come,” and that “when our economy recovers, and growth once again creates new demand, we could run into the same brick wall of rising oil and gasoline prices.”

(:=} even the Saudis got to get into the act)

http://online.wsj.com/article/SB122523334615277739.html

 LONDON — The slump in oil prices has spread relief among consumers and fuel-reliant industries, but also is squeezing the companies who could invest in new sources of oil — spurring concerns that prices will prompt them to shelve investments.

Industry executives warn that could mean the world will face a dramatic ramping up of prices as soon as the global economy, and demand, begins to rebound.

“Low oil prices are very dangerous for the world economy,” said Mohamed Bin Dhaen Al Hamli, the United Arab Emirates’ energy minister, speaking Tuesday at an oil-industry conference in London. 

(:=}

The piece drew many comments but the first is the most rational. Then they decay into the IT CAN’T BE DONE comments from the ignorant right. As usual.

 http://letters.salon.com/tech/htww/2008/10/29/sarah_palin_on_energy/view/index3.html?show=all

What we need is a commitment to relatively low-tech alternative energy

Solar satellites and fusion energy are pie-in-the-sky ideas that have been around forever and have yielded little practical promise. Existing earth-based solar collector and wind farm technology could provide a substantial percentage of our energy needs right now. Dedicating a few hundred square miles of CA/NV desert land to a massive solar collector that could provide 100% of U.S. electrical needs would be a worthy investment.

 http://www.gossiprocks.com/forum/u-s-politics-issues/86951-sarah-palins-silly-energy-speech.html

Both the McCain/Palin campaign and the Obama/Biden campaign are making unrealistic promises about the prospect of reaching energy independence. As Obama himself notes, when you consume 25 percent of the world’s oil but own only 3 percent of the world’s oil reserves, energy independence isn’t ever going to come from expanding domestic production.The difference between the two campaigns is that McCain/Palin is more unrealistic. Obama has made it clear that his energy independence plan will requires massive expansion of alternative and renewable energy resources and huge investments in conservation and energy efficiency, even as he acknowledges that more investment in offshore drilling, nuclear power, and clean coal will also most likely be necessary. (McCain and Palin routinely misrepresent Obama’s position on nuclear power and clean coal, and the vice presidential candidate did so again today.)Palin devoted one paragraph of her energy security policy speech to alternative energy solutions.

In our administration, that will mean harnessing alternative sources of energy, like wind and solar. We will end subsidies and tariffs that drive prices up, and provide tax credits indexed to low automobile carbon emissions. We will encourage Americans to be part of the solution by taking steps in their everyday lives that conserve more and use less. And we will control greenhouse gas emissions by giving American businesses new incentives and new rewards to seek, instead of just giving them new taxes to pay and new orders to follow.

That’s not enough. True leadership on energy requires devoting more than one paragraph to vague handwaving about wind and solar and greenhouse gas emissions. Economic turmoil and low oil prices may have shunted renewables and conservation off the main track for now, but to quote Palin, “this is hardly a sign of good things to come.”

 :}

But then the real waste of Energy was people trying to “figure out the real” John McCain. He was the guy who wanted to build 100 NUKES and was too old and out of touch to be President.

http://sillyhumans.blogspot.com/

 By TIM DICKINSON Posted Oct 16, 2008 7:00 PM


This is the story of the real John McCain, the one who has been hiding in plain sight. It is the story of a man who has consistently put his own advancement above all else, a man willing to say and do anything to achieve his ultimate ambition: to become commander in chief, ascending to the one position that would finally enable him to outrank his four-star father and grandfather.

In its broad strokes, McCain’s life story is oddly similar to that of the current occupant of the White House. John Sidney McCain III and George Walker Bush both represent the third generation of American dynasties. Both were born into positions of privilege against which they rebelled into mediocrity. Both developed an uncanny social intelligence that allowed them to skate by with a minimum of mental exertion. Both struggled with booze and loutish behavior. At each step, with the aid of their fathers’ powerful friends, both failed upward. And both shed their skins as Episcopalian members of the Washington elite to build political careers as self-styled, ranch-inhabiting Westerners who pray to Jesus in their wives’ evangelical churches.

 http://www.rollingstone.com/news/coverstory/make_believe_maverick_the_real_john_mccain

On the grounds between the two brick colleges, the chitchat between the scion of four-star admirals and the son of a prizefighter turns to their academic travels; both colleges sponsor a trip abroad for young officers to network with military and political leaders in a distant corner of the globe.

“I’m going to the Middle East,” Dramesi says. “Turkey, Kuwait, Lebanon, Iran.”

“Why are you going to the Middle East?” McCain asks, dismissively.

“It’s a place we’re probably going to have some problems,” Dramesi says.

“Why? Where are you going to, John?”

“Oh, I’m going to Rio.”

“What the hell are you going to Rio for?”

McCain, a married father of three, shrugs.

“I got a better chance of getting laid.”
 :}

:}

Oil Falls To 57$$ A Barrel – We are all going to die!

We are all going to die….well not just yet.

 

https://censys.org/wp-admin/post.php?action=edit&post=756

 

Why are oil prices dropping?

The price of oil this morning is $72 a barrel — half of what it was three months ago. Ashley Milne-Tyte looks into some factors influencing oil markets, including the disappearance of some speculators.

http://topics.nytimes.com/top/reference/timestopics/subjects/o/oil_petroleum_and_gasoline/index.html?excamp=GGBUoilprice&WT.srch=1&WT.mc_ev=click&WT.mc_id=BI-S-E-GG-NA-S-oil_price

Countries like Russia, Venezuela and Iran that were flush with rising oil revenue saw that change reflected in newly aggressive foreign policies. But some unexpected countries reaped benefits, as well as costs, from higher prices. Consider Germany. Although it imports virtually all its oil, it has prospered from extensive trade with a booming Russia and the Middle East. German exports to Russia grew 128 percent from 2001 to 2006. The high price of gas became an important issue in the presidential campaign. Senator John McCain in particular made energy a focus, proposing to suspend the gas tax during the summer. He also made fervent calls to expand domestic drilling for oil, while his opponent, Barack Obama, emphasized the need for alternative fuels. The surge in prices hit automakers hard, as sales of the truck-based models that had been Detroit’s most profitable product dropped sharply. Mass transit systems across the country reported a sharp increase in riders. As prices fell in the fall, the question facing Opec and car makers alike was whether those shifts would reverse, as they had in previous downturns, or whether a tipping point had been reached.

:}

Drill Here Drill Now     

      Drill Here Drill Now             

              Drill Here Drill Now

                                      Drill Here Drill Now                                                                 

                                                          Drill Here Drill Now