General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsEDIT: Holy Fuck! Look at RBOB!! WOW! Crude Oil WTI at lowest level since Feb/Mar of ... 1999!!
Crude Oil WTI (NYM $/bbl) Front Month
Last Updated: Mar 20, 2020 at 12:13 p.m. EDT
Delayed quote
$23.02
Compare last 30 years here:
https://www.macrotrends.net/1369/crude-oil-price-history-chart
OMG! RBOB prices!
https://quotes.ino.com/exchanges/contracts.html?r=NYMEX_RB
jimfields33
(15,801 posts)Double edge sword I know. Would be bad for environment but nobody is driving so cant take advantage of this anyway. Second, there would be buyers going to buy up SUVs but theres no money for that. So by the time were back, it will be the same price for gas it was before this started most likely.
Roland99
(53,342 posts)Typically, retail gas ends up being about $0.50-0.70/gal higher than RBOB (due to markup thru the chain and various state taxes)
That means we should be at about $1.20 - $1.40/gal in a week or two.
It JUST hit $1.99 at the nearest station to me but I'm in a pocket of central FL that is typically higher than surrounding areas.
Amishman
(5,557 posts)I still don't get what the Saudis think they are going to accomplish
They tried to squeeze US shale out of the market six years ago. It failed miserably and cost them $250 billion, 1/3rd of their reserve fund
Roland99
(53,342 posts)Amishman
(5,557 posts)Putin is the ultimate troll of world politics.
He's as intelligent as he is evil, and a terrifyingly good puppeteer.
Russia needs $40/barrel for stability, Saudis need upwards of $70. If that is the reason, MBS has been goaded burning down his own house to annoy his neighbor with the smoke.
Roland99
(53,342 posts)uponit7771
(90,339 posts)... sure to give it to them.
This time I think they're going after banking by trying to tap the money supply out, they're most likely shorting the banks or the traded companies.
They're desperate
Amishman
(5,557 posts)Much of the permian basin is now profitable in the mid $30s. Russia needs 40+ and the Saudis 70+
Plus shale producers are better hedged now than they were in 2014.
The numbers and fundamentals say that strategy has no chance of working
uponit7771
(90,339 posts)... panicking and I would too.
Is 30 a barrel the median or just the low end of the scale?
If its the median then i wouldn't be surprised if they spent trillion trying to knock it off the market.
SA Loses control at that price ... Obama truly screwed Putin and SA no wonder they're so mad.
Amishman
(5,557 posts)Average for shale overall is in the mid 40s
Keep this in mind though, prior to this glut, everyone was anticipating a cut. Refiners and other consumers hedged against a price spike, so a lot of oil producers have a decent amount of capacity with contracts locked in on the high end. This is what I meant by they were well hedged.
Oil basin profitability (all, not just permian). This is 2018 / 2019 data, so it should be lower now, especially since new pipelines are dropping transport costs.
uponit7771
(90,339 posts)... fracking in the US but I can see why SA and Putin are scared seeing it looks like 60 a barrel is at the top of the scale for oil production.
They most likely think they have to work together on this one then, short stocks and bottom out the oil prices.
You know ... we'll see what Trumps reaction is in the next month.
If its to move to protect fracking then MBS is a nut case
If its to do nothing then he's doing his pimps needs to knock out oil production in the US
Baitball Blogger
(46,709 posts)Roland99
(53,342 posts)irisblue
(32,974 posts)RBOB is an acronym for 'Reformulated Gasoline Blendstock for Oxygen Blending' and is a term used for unleaded gas futures. RBOB is heavily dependent on crude oil, as it is a refined product of the commodity.May 19, 2017
Roland99
(53,342 posts)Tommy_Carcetti
(43,182 posts)....not too many people are going to enjoy this or care about this.
Even for people like me who haven't totally shut in....I drive to my office and back, and that's been it.
Spider Jerusalem
(21,786 posts)Demand is near zero, not coming up soon, price of oil only matters insofar as US tight oil producers will collapse
eleny
(46,166 posts)Celerity
(43,370 posts)ucrdem
(15,512 posts)Good times!