Oil prices have bounced more than 150 percent off their December 2008 lows, despite the fact that inventory levels remain at historically high levels.
November 5th, 2009 | Evan Smith | 1 comment | ContinuedAll Posts Tagged With: "opec"
Can Governments and Central Banks Prevent More Credit Writedowns?
Are we changing our tune, then, about what to expect from markets? Not one bit. But the question now is timing. The collapse of 2008 was so severe because of the sudden reduction in leverage in the financial sector. As assets fell in value, the most highly leveraged firms (or lenders who raised money by selling debt) went out of business.
October 12th, 2009 | Dan Denning | 34 comments | Continued
U.S. Bond Prices Rose and Yields Fell
Our guess is that it’s going to be 100% of GDP by the halfway point of Obama’s term as President. For this week, however, the new wave of Treasuries sent in to battle deflation, recession, and capitalism itself seem to have stemmed the advance of bond yields. Victory! Viva Obama! Viva Bernanke! Viva la deficit! Viva el dollar!
May 29th, 2009 | Dan Denning | 26 comments | Continued
OPEC Agrees Not to Cut Oil Production Until it Meets in May
OPEC agreed not to cut oil production again until it meets later in May. That’s a bit misleading, though. OPEC said it wouldn’t cut production even though global oil inventories are high. But the friendly cartel members admitted they still haven’t cut production down to the levels they agreed on with the previous cut. Thus the nature of the cartel. It’s in everyone’s interest to cheat just a little bit by over-producing to make more money…
March 16th, 2009 | Dan Denning | 0 comments | Continued
What is the Oil Price Telling Us?
Notable in yesterday’s move is the 11% rise in oil to US$47. Oil is certainly not up on the basis of a huge ecomic rebound in 2009. So what is it? China’s been stockpiling oil while prices are cheap. It’s straegic reserve is now all full. OPEC is meeting to discuss more production cuts.
March 13th, 2009 | Dan Denning | 0 comments | Continued
The Swift and Violent Rise of Oil
If you want to know why oil prices could double this year, or how $52 trillion in total global debt will utterly suffocate central bank attempts to resuscitate bank lending, or Ben Bernanke’s secret plan to turn trillions of dollars worth of toxic assets into shareholder equity, read on! Two topics in one day! Why are oil prices lying? How much air is left in the credit bubble?…
January 20th, 2009 | Dan Denning | 10 comments | Continued
OPEC May Cut Oil Production
While the financial empire burns, OPEC decides whether or not it’s going to cut production today. Lower energy prices are about the only good news to come out of falling commodity and stock prices. But OPEC producers like Venezuela and Iran want the world’s big oil cartel to cut production and put a floor under prices. You get the feeling that OPEC doesn’t want the oil price to go too low.
September 10th, 2008 | Dan Denning | 1 comment | Continued
Hillary ‘Big Govt.’ Clinton Wants America to Sue OPEC
Hillary Clinton is taking on OPEC in her campaign to get to the White House. She introduced a new plan yesterday to hold OPEC accountable to American consumers. Is there a more heavy-handed, ham-fisted, lame-brained, anti-Liberal example of big government at its worst? Changing the rules to favour one group over another is the standard tactic of anti-free market do-gooders. The rules usually get changed to favour one group over another, depending on the political flavour of the day.
May 6th, 2008 | Dan Denning | 3 comments | Continued