Tag Archives: oil prices

The Saudis and Russia need to pay…

Well…damn, I am so tired of the Saudis and the Russians meddling in our elections…and they are at it again for the mid-terms when yesterday they announced that they are going to cut oil production by 2 million barrels a day which will send oil prices soaring and give the repubs a huge talking point for the next month…now, I wonder, did the repubs even talk to the Saudis and ask them to do it? They’ve done everything else treasonable so that is not much of a stretch, is it? Let’s remember that trump and his cronies actually did work with the Russians to steal the 2016 election and I’m sure they still have the “backchannels” the the idiot kushner established with both the Russians and the Saudis…and they are still joined at the hip as evidenced by jared getting 2 billion dollars from the Saudis after the 2020 election that has still never been explained. Let’s remember that there needs to be conspirators here in the US or none of this would work…and you can guess who that would be…no, you don’t have to guess…it’s the damn repubs..cheating, cheating, and cheating…it’s the only way they can win….geez…

It’s going to get ugly today…

Well…as the moron in the WH fiddles, there is a convergence of problems that are going to slap idiot boy upside the head this morning…if the coronavirus response bungling wasn’t enough, we now have oil prices that are in free fall along with a major meltdown in the stock market that is going to hit when the markets open this morning. After the rout in oil prices started Friday with a 10% drop across the board, Saudi Arabia has decided to destroy Russia since they wouldn’t go along with supply cuts necessary to support the price with demand crashing…so with the Saudis opening the taps in the face of falling demand, oil is set to drop by 20-25% today which will surely destroy many shale producers here in the US since they were barely staying afloat with their huge debt loads…can anyone say recession? In the stock futures markets, the fall was so severe that the automatic “circuit breakers” cut in when the losses got to 5% and that much of a drop in the Dow will translate to a 1500 point loss that will probably happen in the first few minutes of trading….I wonder what moron donnie is going to say now? The only thing he could point to was the stock market doing well and the myth that he had anything to do with it is going to be exploded this morning…I wonder who he is going to blame for this one? It is going to be an ugly day economically for anyone who has a 401K…and you can blame it on the incompetents in the WH who have systematically destroyed the US influence in the world and have left chaos in their wake….cripes…

I was right about oil and gas prices…

Well…it’s red letter day here at “Overqualified & Unemployed” when I have been proven right by no less than the crooks at Goldman Sachs…should I feel good or bad about this? In today’s Free Press, there was a long article where it reported that the commodities people at this large trading house did a study of oil and gas prices and found that 27 dollars of the 110 dollar price of oil is directly attributable to speculators that are trading in the oil futures market…that is over 25% of the cost of a barrel of oil…and the traders have a neat little scam running on all of us….that when the traders bet that the price will go up in the future…it always goes up….you heard me right, these guys have so distorted the normal rules of supply and demand that they no longer have any bearing on the price of oil. I’m sure that with just a few phone calls amongst the big traders, they alternate daily who is going to be the one to bid the price up and who is going to just sit and rake in the profits. Now, who among you out there are for more deregulation of the economy? This crap started when the Bush administration pushed for rules that allowed traders to never take possession of the commodity they are trading…allowing oil and gas to be commoditized and made just another financial instrument like sub-prime mortgages and credit default swaps….where there is no risk for the traders and guaranteeing that all of the benefits fall to the traders while the rest of our country pays for it….geez….but what to do about it? Normally, I just bitch about this stuff but this time I’m going to offer suggestions….let’s make these guys that are paper trading actually take possession of the commodity they are trading and put up, in real dollars, the total amount of the transactions. This will push the risk back on the traders that are distorting the market and make them less likely to continue to rake in billions in profits off you and me….