Goldman Sachs calls for $140 oil in 2012

[Whyhello]

You all realize that the less oil we buy from OPEC, the more they charge for it, right?

Until we can find a way to curb our addiction (because we cannot produce enough on our own to satisfy our needs), the price is never going down.

OPEC controls the market. If we produce 20% more oil in the US, they will just up their price to make up for the loss.

I want to call shenanigans on this...supply and demand?

[Catta]

http://finance.yahoo.com/news/Oil-ri...&asset=&ccode=

I'm not sure who will be the republican nominee in 2012, but they are going to have a field day with this, asking why are we bombing Libya when not only is it NOT in our interest, but it is disrupting the oil supply chain. Obama is driving oil prices higher for no good reason at all, and I think he will be a one-term president for it. The only way to protect ourselves from Obama's policies is to invest in oil ourselves, as Goldman Sachs suggests.

Republican: Srsly man, why are we even in Libya, we need the oil maaaaan
Democrat: Eahm... Cuz their government was gunning down the populace and leaving nuclear material readily available for anyone wanting to steal it...

[Azidonis]

Obama is going to win 54-46 (which is a landslide in presidential elections). The fundraising power of a sitting President is too much to overcome. Everybody knows it which is why all the known Republican names are dropping out. The Rep candidate will be someone unknown, who will then become well-known and use that popularity to make millions in the years to come doing speeches for the 46% who voted for him.

Then you have people like me... I really don't care who runs against him. I am voting for that person, just to see Obama out of office.

[Kaaoss]

http://www.indexmundi.com/g/r.aspx?t=0&v=97&l=en <----Oil reserves

http://www.indexmundi.com/g/r.aspx?t=0&v=91&l=en <----Usage

http://www.indexmundi.com/g/r.aspx?t=0&v=88&l=en <----Production

http://www.indexmundi.com/g/r.aspx?t=0&v=95&l=en <----Exports

http://www.indexmundi.com/g/r.aspx?t=0&v=93&l=en <----Imports

Very interesting.

[Sunseeker]

Speculation should be illegal. Problem solved. All it is is a bunch of big corporations betting with each other and the dealer getting starry eyed at the numbers and raising his price.

[Inertiatic]

Its pretty simple big corporations run this country this is really no surprise at all the fact that people still cant see the connection between our government and corporate interests is beyond me Republican or Democrat idc who it is corporations have influence over both of them =\

[downnola]

Speculation should be illegal. Problem solved. All it is is a bunch of big corporations betting with each other and the dealer getting starry eyed at the numbers and raising his price.

Exactly, it's part of the reason for the housing bubble in the 2000's. Good luck getting derivatives regulated tho.

[tenzing21]

Western countries need to take an example of China. They also drill in African countries but you hardly hear about it. Reason is because China doesn't get involved in political affairs. The main reason is that China invests in the infrastructure, so those countries benefit of their presence.
As far as I'm concerned, the western countries don't do shit.

Yeah, china, that paradigm of respectability and upright behavior. They have hundreds and hundreds of oil rigs doing sideways drilling just off our shores. The platform is in "international" waters, but they aim the pipes towards our continental shale oil deposits and siphon them off.

As for OPEC, and price gouging- there is enough aforementioned shale coal and oil, and natural gas deposits to use as low grade fuel til we can get our own intrinsic supply up and flowing. Obama just authorized our international banking interest, called the export-import bank to lend Brazil billions, so they would sell us the oil they find. Brazil's oils company is the 5th or 6th largest company in the world.

If drilling for oil in Brazil w American taxpayer dollars (the amount "guaranteed" is actually a credit on our account, meaning it's a tax-payer funded loan), then ffs, drilling in America w American dollars would make infinite sense.

Unless you are a left-wing Obama lover.

[Deleted]

No one should take predictions of Goldman Sachs seriously. Why would they give free advice unless they had other intentions?

Now, that doesn't mean oil won't go to $140.

---------- Post added 2011-05-25 at 12:15 AM ----------

Speculation should be illegal. Problem solved. All it is is a bunch of big corporations betting with each other and the dealer getting starry eyed at the numbers and raising his price.

Speculators are not responsible for long-term trends, it's not because speculators that the price of oil is this high. It's fundamentals like supply, demand, regulation that dictate the long-term price of Oil.

Speculators have an important role in the economy, in average they balance out spikes in prices.

[Grimbold21]

Out of curiosity, wasnt Goldman Sachs one of those companies involved on those major financial scandles you americans had?

[Rawt]

There hasn't been a president who has only served one term since pre-carter era.

An aging actor, a cheating husband, and a half brained moron have all been kept for two presidencies. You really think that the first black president isnt going to get 2 terms?

[Drakain]

There hasn't been a president who has only served one term since pre-carter era.

An aging actor, a cheating husband, and a half brained moron have all been kept for two presidencies. You really think that the first black president isnt going to get 2 terms?

Bush sr. You know, the guy between Reagan and Clinton.

[Deleted]

#1. So let me get this straight, it's Obama's fault that the Libya disaster started? And it's Obama's fault that NATO responded? I was pretty sure that it started with revolts and protests, and then the French and Italians started the NATO push. So yeah, while we are part of the NATO mission, we're not responsible for all of this. We have a commitment to NATO, are you saying we just tell our allies to go to hell?

#2. Even if Obama did do this, supporting rebels against a dictator who has decided to fire and go to war against his own people, at the cost of higher oil prices is ok with me. I don't agree in starting wars (Iraq), but when rebels stand up for freedom, and ask for the west's help (and many rebels DID), I think we should stand with them in fighting against terror and repression. Try telling one of those rebels face to face that they can all die and be raped and murdered because you don't want to pay a higher price at the pump.

#3. For those saying drilling here is a viable option, and whoever said that canada does it, are completely ill informed. We don't have enough oil here to make a dent in oil prices. Most of the oil we haven't exploited is hard to get to anyways, and must be sold at a high price to justify the drilling in the first place. The idea that we should continue deep water drilling before we have a sound method to fix a leak is the dumbest idea ever. That's like saying that we should go to the moon, but when we get there, we have no way to get back, and we'll just figure it out on the way.

People seem to think that the US's natural resources belong to the US. Well they don't. We live in a capitalist country, so they belong to the oil company who drills the oil. It is sold at the market price, and since oil is a world commodity, it is sold at that price. Adding more oil to the market will increase supply initially, and then opec will cut production and oil will stay the same. The only thing that changes oil prices is demand relative to supply, not supply relative to demand, because supply can be manipulated by OPEC.

---------- Post added 2011-05-24 at 09:30 AM ----------



Those countries do not benefit from China's presence. They bring in chinese workers, reap all the natural resources, and pay a very small price to the government or land owner. They import goods from China, for the Chinese workers, and so there is roughly no benefit other than the cost to rent the land they are on. There are exceptions where China has had to have more investment in the country they are mining/drilling, but for the most part, they do not benefit the country they've gone too. This is a complete and utter myth.

Its not lawful for a country to mess around with another countries internal affairs - they wont thank you for it - when the rebels get gaddafi out they will turn there attention to getting nato out

[Fugus]

I want to call shenanigans on this...supply and demand?

I remember shortly after 9/11 when the price of gas dropped like a rock before they took off again seeing on CNN how they actually cut gas production so they could keep prices up, I honestly wouldn't be surprised to see them do it again.

[Rawt]

Bush sr. You know, the guy between Reagan and Clinton.

i always forget him for some reason. TBH, he was raegans lacky for so long, then when he ran for his 2nd term, he was basically railroaded by clinton and perot. also, the way desert storm was ending didnt help him out either, iirc.

but yeah, my point still stands (save the one exception).

[Drakain]

What law prohibits it?

[Brayton]

Out of curiosity, wasnt Goldman Sachs one of those companies involved on those major financial scandles you americans had?

Yes they were, and their CEO is also one of the architects of the stimulus package that got pushed through and gave billions to those 'companies'. They then proceeded to take that money and dish out giant bonuses and spend like madmen.

OF COURSE we should use their word on what oil prices will be.

It's simple. They put their investors money in oil then say 'HEY, oil prices are gonna skyrocket!'. Then, as the prices get to about their highest, they sell off all the stock, make a crap ton of money, then say 'HEY, oil prices are gonna plummet!'. They look like geniuses and make a bunch of money. Biggest racketeering operation in the world my friends... well, minus the one that devastated the world economy.

[zodly]

drilling at home solves everything, sir.

Totally agree!!

[Felya]

http://www.indexmundi.com/g/r.aspx?t=0&v=97&l=en <----Oil reserves

http://www.indexmundi.com/g/r.aspx?t=0&v=91&l=en <----Usage

http://www.indexmundi.com/g/r.aspx?t=0&v=88&l=en <----Production

http://www.indexmundi.com/g/r.aspx?t=0&v=95&l=en <----Exports

http://www.indexmundi.com/g/r.aspx?t=0&v=93&l=en <----Imports

Very interesting.

Everyone responding about Libya and it's oil, needs to click the above links. It's pretty easy to follow....

Unlike the war in Iraq and Afghanistan, this is not the US fighting Libya, but we are doing it on behalf of United Nations. We are not taking it over and establishing a government, all by our self's, like Iraq and Afghanistan. There is more attacks conducted in Saudi Arabia by our drones, during both Bush and Obama, than has in Libya.

---------- Post added 2011-05-25 at 05:26 AM ----------

drilling at home solves everything, sir.

Which part of the home do we start with?

[Foosha]

Lol I love these "STOP BUYING FOREIGN OIL!!!!" people...cause damn those shifty Canadians!!!!!

http://www.pbs.org/frontlineworld/st...images/map.swf

U.S and Canada make up for HALF of our consumption.

Lets focus on the real issue here, the greedy shits at OPEC.