Bush defends huge oil profits and consumers should not expect price breaks

For the last time, oil prices are determined not only in the US on the NYMEX market but on hundreds of other markets across the world. Traders set the price of oil, exxon mobil and other oil companies do not.

We have reached peak oil. From here, the output of oil will only drop until we finally run out. Americans (I am American, relax! ) are to blame for the high oil prices. We ride in our huge SUVs and get stuck in traffic. Americans represent less than 5% of the worldwide population yet we use 25% of the oil produced daily. I believe we use 23M barrels out of 82M barrels daily. Until the consumer nation stops being such a consumer, high prices will stay.

 

What factors do traders key off of in your mind to set the current price of oil in the markets

 

First and foremost is the amount of oil brought out of the ground. When production slows, even for a day, this causes prices to jump. We are so close to reaching a level where all oil produced daily is used each day. When this happens you can expect oil to rise and just keep rising. I fully expect oil to be $150+ a barrel within the next 7-10 years.

 

How old are you

It seems that you are lost in a world of Republican propaganda!

For the real reasons oil is where it is at see this!

http://forums.digitalpoint.com/showpost.php?p=616643&postcount=125

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I can assure you I am not Republican. I am fairly liberal, I like big business and a free economy with little government intervention. With that said I will take the side of any oil company in existence today.

The markets around the world set prices for oil. The companies just dont pick an oddball high priced number to sell their oil.

 

So what do oil traders key off of when trading oil futures and setting the current prices

 

I was listening to Michio Kaku's weekly radio talk show called explorations and he was interviewing a scientists who quoted what you are saying. There is a proper name for it, but I can't think of it now.

In any event, I think the main problem is the "type" of energy we are using. Scientists and governments need to start taking a closer look at alternative sources of energy.

I can think of a bunch off the top of my head. MHD, OTEC, dry rock geothermal, wind, solar, fuel cells. The list just goes on and on. The oil companies are manipulating the market by offering one commodity to people when there are other alternative sources of energy available.

 

Peak Oil is a theory that we are running out of oil that traders and greedy oil men use to extract higher prices and and use as an excuse to justify invasions of other nations!

It is all hype, Nixon and Kissinger said the same shit when they created the first "so called oil crisis" in 1973, they made the same false claim then that we were out of oil and it is a lie that has been proved a lie!

The real reasons are here!

http://forums.digitalpoint.com/showpost.php?p=611348&postcount=6

Do not believe the Republicans and their pathological criminal lies!

 

Read any of the Essays Hubbert has published. It might change your mind.

 

After the first Gulf War, Saddam blew up the oil wells and the oil shot out of the ground high into the sky.....

The had to call in a Company from Houston to cap the wells, it took them weeks to cap them..oil kept coming out of them until they were capped.....

Did it look like we were out of oil then, how about when Nixon claimed we were out of oil in 1973, did we run out yet

 

You talking about the Hubbert Peak right?

 

Yes, thats the name of it. It makes logical sense. The level of oil consumption is shaped like a bell curve. At first, the amount of oil consumed is about equal to the amount in reserves, but as time passes, it will eventually reach a "peak", after which the amount of oil consumed begins to exceed the amount available, and the reserved begin to decline.

Oil is naturally produced in the planet by dead plants and animals, but it takes many years for that to happen. We are consuming oil at a faster rate, too fast to sustain this.

At the same time, I think the energy industry is corrupt. They may be creating artificial scarcity, by pretending like they have less oil than they really do in order to jack up the stock prices on oil.

The answer to our problems is alternative energy sources. There are so many available, and the fact that our government/corporations aren't utilizing them makes me suspicious.

 

Hmmm prices go up, company makes a profit. Nothing shady here. We like to call it capitalism. At least they are still producing a product.

Kinda ironic how all the nay sayers think Bush is out handing the oil companies every advantage known to man kind, mean while his budget cuts their federal funding for R&D. Explain that brain buster..

 

I totally disagree. If I were a evil mastermind who had control over OPEC and the oil companies, what would stop me from creating a "fake" oil crisis and making money off skyrocketing stock prices?

Any genius would do it. That is exactly what Enron did, remember? They were cutting off the power in California, and making millions off skyrocketing electricity stocks.

Can you also explain why every alternative energy scientist in history like Nikola Tesla, T Henry Moray, and Viktor Shauberger aren't mentioned in common history books and were harassed throughout their lives?

After Tesla died, the FBI stormed his apartment and confiscated his papers, and J Edgar Hoover called his documents "most secrets."

What do you think our government is hiding out there in Area 51? Don't think for a moment these people don't have advanced alternative energy technology that they're not telling us about.

Why would they tell us about it, if they can keep us paying ridiculous prices for primtive oil?

 

Anthony, is that you?

 

No that is Tesla, he is a smart guy, some think he is off in the outer fringe, but there are others here that respect his views and I am one of them!

 

Exxon Mobil doesnt set prices. They dont HAVE to drill for oil. That isnt price gouging.

I would slow my drilling down as well, I know oil is getting limited and $150/barrel should not be out of range within the next few years.

 

You have gone mad, the cost of oil coming out of the ground in Iraq is $1.00 a barrel

It is nothing but criminal manipulation of the oil markets by Houston Oil Men with the power to conduct a criminal oil war!

 

And this is based on what? The pull it out of my ass theory?

Are you sure Nixon is not somewhere to blame here?

 

That is the cost of goods of a barrel of oil out of the ground in Iraq Mia, in peacetime, the cost of security has the price where it is today (Bush economics and lunacy), all for the sake of Exxon

PS: Halliburton gets paid for housing and feeding the troops too!

PPS: We have spent 480 Billion on "the war on terror (oil)" so far!