Crude Oil

[ry0972]

WTI crude was down to $19.85 a few min ago! NYH RBOB gas is down 9cents as well.
Canola up $3.60 and wheat up a penny.
Grains were up more just after the open.

[biglentil]

WCS crude $3.82 a barrel.

[bucket]

The logical sidea of brain says capitalists are the socialists of the world....

Capitalism is the quickest way to socialism...

The last two issue in the world ...one in 2008 and now this one....have proven that the capitalists beg for bailouts...so society says phuck it ....why work when the capitalists are never held to account...

Record bank profits in Canada and they still get help in the name of helping the population...bank profits won't go down and if the record a loss then they can write down against profits ....

[Oliver88]

But ...but ...but ...what happened to the open market?????

Oh yeah that little capitalist when shit hits the fan needs price controls and a guaranteed price support ...for oil....

Doesn’t Saudi Arabia currently have a tariff on our grain due to Freeland lecturing them?

[foragefarmer]

Bucket

"Oh yeah that little capitalist when shit hits the fan needs price controls and a guaranteed price support ...for oil....

Who would have thunk it....

What are farmers told ???? Why do some farmers still believe in open markets....its a fallacy..."

Spot on !

When oil was $100.00 USA/barrel from 2012 to 2014 and 2006 to 2012 also had strong prices where did all the profits go the Oil Companies made? We as farmers had to pay those high fuel prices. I also had to tighten my belt to survive as a farmer and made sure I saved money in the good years

So I as a farmer will have a lower fuel bill hopefully for one season and now some idiot farmer posts on here preaching that unethical should be cut off to North America!

I stated post after post calling out the so called capitalists here on Agriville. But then again they follow every word the Orange Man says so what can you expect from them.

I will say this.....at 5 dollars a barrel ..80.9 cents is much too high for a posted gas price locally....

And once the oil price starts to go up...what will gas prices be...

You would think the refiners would be locking it supplies for as long out as they could....

5 liters of gas buys a barrel of WCS....

agreed , but a lot is taxes , and the $170 k refinery workers are to blame also
federated is a heavy handed control freak , but rural Sask would have SFA if not for them

[helmsdale]

Peak oil was a fallacy....and when you think about it ..if OPEC and then Russians have to lower prices to get business or maintain it....who is really in control????...sounds like a buyer's market not a seller's...

Wouldn't anyone that buys oil for refining be as far out as possible at the current and future price????

Peak oil was indeed a fantasy. Wish I had the contact info for all my old classmates back in ~ '05. I wagered a case of beer with the lot of them that we'd see $20/bbl sooner than we'd see $200. I was thought a dullard...

That aside, there's still a decent contango play to be had. Ships are being loaded and put to sea stuffed with oil that is sold months out into the futures. The market craters in about 10-14 weeks when storage (both land and sea based) will be used up with current production #'s. SHTF when that happens.

[bucket]

The big picture that most pundits seem to be missing here is that Saudi Arabia, and OPEC in general have lost the ability to put a floor under oil prices. This is the only tool they had left, this is desperation. Shale has been that disruptive. They no longer control the world oil market, and likely won't ever again. Now all they can do is try to put their competition out of business by flooding the market. But in the case of shale oil, it takes a matter of weeks to get a new well on line, US is the easiest place to raise capital, the government sees energy independence as vital, and so will ensure they get that financing to rise from the ashes in record time when the need arrives.

As soon as oil prices rise back to where shale oil is profitable ( and that level will be even lower when this is all over, thanks to bankruptcies wiping the legacy debt off the books, and new companies taking over without that cost burden, plus cost efficiencies thanks to the low price environment), shale will once again flood the market, making Saudi's sacrifices all for nothing, and proving they are impotent in the shale era.

Peak oil was a fallacy....and when you think about it ..if OPEC and then Russians have to lower prices to get business or maintain it....who is really in control????...sounds like a buyer's market not a seller's...

Wouldn't anyone that buys oil for refining be as far out as possible at the current and future price????

[AlbertaFarmer5]

The big picture that most pundits seem to be missing here is that Saudi Arabia, and OPEC in general have lost the ability to put a floor under oil prices. This is the only tool they had left, this is desperation. Shale has been that disruptive. They no longer control the world oil market, and likely won't ever again. Now all they can do is try to put their competition out of business by flooding the market. But in the case of shale oil, it takes a matter of weeks to get a new well on line, US is the easiest place to raise capital, the government sees energy independence as vital, and so will ensure they get that financing to rise from the ashes in record time when the need arrives.

As soon as oil prices rise back to where shale oil is profitable ( and that level will be even lower when this is all over, thanks to bankruptcies wiping the legacy debt off the books, and new companies taking over without that cost burden, plus cost efficiencies thanks to the low price environment), shale will once again flood the market, making Saudi's sacrifices all for nothing, and proving they are impotent in the shale era.

[bucket]

But ...but ...but ...what happened to the open market?????

Oh yeah that little capitalist when shit hits the fan needs price controls and a guaranteed price support ...for oil....

Who would have thunk it....

What are farmers told ???? Why do some farmers still believe in open markets....its a fallacy...

Every industry is getting help.....except farmers....and those that represent us are doing a shit job getting the message out...

.

If the government engages in price control for oil then there should be price controls on gas and diesel...

Don't think for a minute the refiners don't have their supply locked in at 5 bucks a barrel for the foreseeable future????