So not is Israel going to be best friends with Russia to assist in Syria or is this going to spur more involvement from the US now that there is money to be made?
It will probably just take the price of oil to $10/barrel and collapse the US Dollar.
weeeeee
buy buy buy
Iran announced they are going to cut oil prices for western Europe. Oh this is gonna get epic.
Can’t beat the US at war [Politics], soooo kill the economy instead. Genius I say!
So outside of places that drill for oil and manufacture that equipment the larger majority of people and businesses would be better off with cheap oil.
It is definitely a double edged sword.
What is good for the goose is not necessarily good for the gander.
I was reading a CNN article yesterday. Basically big banks have billions in existing loans that they gave out to companies to go out and drill for oil. Now those companies can’t sustain themselves at $30/barrel and less. So they’re probably going to go bust and leave the banks fucked with the billions of dollars they were given.
That monetary loss, coupled with job loss could be significant impact to our economy… I don’t work in that sector, so I don’t care. And honestly, I’d rather US companies invest in renewables over drilling. Still, will be interesting to see how it plays out.
Is US oil production its 0.9% of the US GDP.
So im really curious how much actual damage this will do vs speculation.
yeah, it’s no housing market collapse, but I’m sure it will have significant impact in some places.
Sounds like the auto industry all over again. Made billions of dollars a year in the energy sector and resulted in just massive contracts. Now it will force a small slow down and companies to reemerge more efficient and better optimized.
For a while, oil futures on the Q4 2016 terminals were showing $44. This has turned bearish pretty big and sitting close to spot.
Oprah meme: and you buy an F-150, and you buy an F-150, and you buy an F-150!!!
I think some of the contango was due to people trying to guess the point where the expensive oil producers would bust out and time their entry, but between Iran coming online and the Saudis basically disavowing themselves of OPEC, now the mood is that the Middle East is going to pump every drop they can since their cost basis is so low until they run dry. Also, there’s nowhere left to store it.
i dont think you’ll see too many people go under. instead they’ll likely be consolidated into larger, better operating companies
this is already happening up here.
Due for a recession,10 years was the longest gap throughout history between them. Things are still fucked up from the last one.
it’s funny to think about that but it makes me want to hold cash and wait… i remember how low real estate got in the US and seriously regret not being in better shape to be able to buy something down there in 2009-10
Some call our dollar the Petro-Dollar because oil. We are no longer based/backed by gold but oil was always traded in US Dollars. Some claim our dollar will collapse if oil gets to low or culture use other forms of money to trade. Most US people think we are invincible, we will see if the house of cards gets to continue.