Largest oil drop in history underway, analysts say
- Thread starter B00Mer
- Start date
Yes sir, as is Rotterdam, South Africa, NE USA, Europe, China, etc... For that matter, I was just reading that Aramco speculates that 1 in 10 oil tankers are being used as floating storage as we speak.
It's going to take a while to blaze through all this inventory
It's going to take a while to blaze through all this inventory
Under normal conditions, I would agree completely, but in the case of Canada, we have tater tot running the show, so I expect that he'll find a way to kill production and thereby raise the cost of fuel.
he's pretty good at this kind of thing
he's pretty good at this kind of thing
The price of disallowed is also down and semis are still transporting freight . I see eight parking spots that were occupied last night and this morning are now empty ( looks like they went to work ) and I hear more starting up now . Not everyone and everything is closed "
Then WHY NOT LET the village idiot answer me?
What are you afraid of?
And what are you clearly HIDING?
Oh dear me! More questions to frighten the easily bewildered LIE-berals!
Poor pitiful Gerryh! He swallowed the LIE-beral propaganda and but he is now FLUMMOXED
BY THE LOGICAL QUESTION!
Now he sits in the dark wondering if his beloved LIE-berals MIGHT BE WRONG on other things as well!
IN RELATED NEWS! Civil service union HOGS are looking at THE BIGGEST EVER FREEZE ON THEIR ENTITLEMENTS!
Bankrupt Canada CANNOT Produce more HOG GRAVY for greedy HOGS
Consider this tax madness::::::
Here is an article illustrating the tax madness of Cdn LIE-berals! With some comments of my own in brackets):
Expert weighs in on Kenney’s economic plan for Alberta, suggests PST could be an answer
By Allison Bench, Global News. Published April 8, 2020
While Jason Kenney's televised address to the province on Tuesday night gave details on how the COVID-19 pandemic in the province could play out in terms of cases and deaths, some political scientists say the comments the premier made in regards to the economic future of Alberta didn't provide a lot of specifics.
(Well gosh! The NEED for Social Distancing means Kenny CANNOT visit the local Fortune Teller to get economic updates! A big part of the problem is the issue pf social distancing and whether Cdns will OBEY that order! Clearly social distancing IS A PROTECTIVE MOVE! Too bad some Covidiots think it interferes with their civil rights!
One political scientist in the province said there is one option for the government to increase revenue: implementing a provincial sales tax (PST).
"[We're] in a situation where the oil and gas sector has completely collapsed in terms of prices, and the revenue picture is going to be looking very unstable going forward," said Chaldeans Mensah, an associate professor of political science at MacEwan University.
(The teacher HOG is telling us Alberta is STONY BROKE and will be that way for a LONG TIME! And NOT just because of Wuhan Virus - since Alberta is fighting a LIE-beral federal govt COMMITTED to destroying the ENTIRE Cdn oil patch and ensuring the Alberta CANNOT sell its most valuable product!)
Mensah said the pandemic has completely changed the circumstances of the province, and that while the UCP had campaigned on a platform of fiscal conservatism, there needs to be a way of balancing the books going forward.
"The only way available is to look at a modest PST, to provide options for the government to be able to fund programs."
(So the HOG tesll us that the ENTIRE PROVINCE is BROKE and the best way to get more gravy is to RAISE TAXES on people he already said were BROKE! What magic will this HOG use to make it easier to pay those higher taxes? Cities across the country are ALREADY IN A PANIC over the number of people who cannot pay their full property taxes so HOW will HIGHER taxes help? )
Kenney said in his Tuesday night address that the social distancing and closure orders in the province would be in place at least until the end of May. He also said that the province would eventually roll out a "relaunch strategy" to get the economy moving again, involving mass testing to get those with immunity back to work, and increasing border screening.
However, once the premier addressed the situation with the global oil markets, experts said there was a lack of clarity on how the province could move past this.
(One CANNOT rebuild an entire economy from scratch in a matter of weeks! What work is available in Alberta for LAID OFF oil workers? And HOW will higher taxes produce jobs for them?)
"There didn't seem to be a whole lot of answers, and just some real dangerous situations," Mount Royal University political science professor Duane Bratt said.
(YES! Any threat to the steady flow of GRAVY TO HOGS will be considered as a GRAVE THREAT - calling for MORE TAXES! HOG greed is a shameless thing!)
"[Kenney] talked about a budget deficit that will triple to about $20 billion dollars, [he] talked about negative prices for energy — where we may have to pay people to take it — and there was no sense of how we're going to get out of that," said Bratt.
(In 2018 -Ontari-owe Wynne-bag LIE-berals were WARNED that their $16 billion dollar deficit was out of control and that it MUST be reduced or bond rating companies would hammer Ontari-owe with new fees and penalties - and Ontari-owe has more than DOUBLE the number of Alberta tax payers! Thus this new Alberta $20 billion dollar deficit must be seen as a CATASTROPHE! The immediate future for Alberta WILL NOT Feature a swift return to biz as usual!)
In his address Tuesday, Kenney said he could not "overstate how grave the implications of this will be for jobs, the economy and the financial security of Albertans.
(This is Conservative Speak meaning that civil service union HOGS who have come to expect regular PAY INCREASES ARE GOING TO BE BADLY DISAPPOINTED! Which is why HOGS want a new PST implemented JUST TO GRAB MORE HOG GRAVY!)
"Much of this is due to the COVID-19 recession, but it has been made worse by a predatory price war led by Saudi Arabia and Russia, who are trying permanently to damage North America’s energy industry."
(Too bad Alberta was DEEP in TROUBLE before the Russian / Saudi squabble!)
Bratt said that while Kenney did reference the Keystone XL pipeline project as an important energy investment made by the government, as well as the work being put into collaborating with its federal counterpart and the U.S in regards to the energy sector, when it came to the province's economic future, "he didn't go into the same degree of details, the same strength of numbers as was on the health side."
(The future of Alberta gas and oil will depend on federal LIE-beral duplicity! Our idiot Boy Justin has recently bee forced to support pipelines and to oppose the radical minority blocking roads and trying to shut down the Cdn fossil fuel biz! But will Our idiot Boy actually stand back AND ALLOW the pipeline builders to complete their work?)
(There is reason to believe that the LIE-beral minority may fail to get their spring 2021 budget passed and thus we will have an election in which the future of fossil fuel pipelines and the frantic need for oil revenue will compete with LIE-beral NEED to promote their GRAVY GRABBING carbon tax SCAM so they will have the ability to BUY HOG votes!)
(The fate of Alberta and the fiscal future Canada will be up for grabs! Another LIE-beral win or even another minority govt supported by the idiot cousins - the GREENIES and NDPees will ensure that Canada slips into Venezuelan style Soviet Socialist ECONOMIC CHAOS!)
While the PST has been a difficult policy option for governments in the past, the COVID-19 situation has put the government into a spot that would be tricky to get out of without it, Mensah said.
"It's the time to really put aside the ideology of fiscal conservatism," Mensah said. "I think there's room for a modest PST, to generate revenue in these uncertain times. You could even put a sunset on the PST— you could have it for five years or so, for the revenue to start to improve.
(OH YES - HOGS SCORN “FISCAL CONSERVATISM” because LIE-beral style tax and spend madness make it EASIER TO CONCEAL those nasty HOG GRAVY GRABS behind a LIE-beral smoke screen of so called tax fairness and offers of social justice for the disadvantaged- which means an EVER EXPANDING POOL of dead broke Cdns whose lives have been crippled by that nasty HOG gravy grabbing!)
"I think Albertans, given the [pandemic] situation, would welcome the [PST] situation politically. The times we are in call for drastic measures.
(The fac that Our idiot Boy got a minority govt in 2019 and that NDPee premier Notley was thrown out of office in the same year suggests FEW ORDINARY CDNS really support the HOG position! Sadly - few ordinary Cdns will speak publicly about HOG GREED for fear of retaliation - such as their kids at school being marked down and harshly treated by angry HOGS and etc!)
"The government really has to re-calibrate here and come up with an alternate approach to the province's finances," he said.
(Re-calibrating to policy that involves seeking illusionary pots of gold at the end of rainbows is NOT valid govt policy in spite of HOG DREAMS! Broke means NO MORE MONEY!)
However, on March 9, just over a week before Alberta declared a health emergency due to COVID-19, Kenney shut down the idea.
"I cannot imagine a dumber thing to do in the midst of a time of economic fragility, an oil price collapse and a global recession, than to add a multi-billion-dollar tax on the Alberta economy and on Alberta families," he said.
"You're talking about a PST that would generate several billion dollars of revenue. That would take several thousand dollars out of the pockets of Alberta families at the worst possible time.
(And there is the evidence to PROVE that Kenny has fr superior economic under-standing than ANY HOG!)
"This government is not going to take thousands of dollars out of people's household budgets at a time of real economic challenge," Kenney said.
(People clearly need food and rent money MORE than an already over privileged HOG needs another pay raise!)
On Wednesday, a spokesperson for the premier said in a statement that Kenney's previous comments on the idea of a provincial sales tax still stand.
(With such an attitude - Kenny is far more LIKELY to be RE-ELECTED than his NDPee opponents with their fondness for kissing HOG backsides!)
Crude oil futures defined
Crude oil futures are futures contracts in which buyers and sellers of oil coordinate and agree to deliver specific amounts of physical crude oil on a given date in the future. The benchmark futures contract for crude oil in the U.S. involves West Texas Intermediate, a particular grade of oil that has fairly low density and sulfur content that makes it relatively easy to refine. It has historically traded on the New York Mercantile Exchange, and therefore many traders refer to the contracts as NYMEX WTI crude oil futures. Trading is also common globally for what are called Brent crude oil futures, which involve a different grade of oil found in the North Sea off the European continent.
The specifications for crude oil futures contracts are set in a way that allow market participants to trade them uniformly. Each contract covers 1,000 barrels, and dates for delivery are available up to nine years into the future. At some point during the delivery month, the seller must deliver the oil to the buyer at a pipeline or storage facility in the energy hub of Cushing, Oklahoma, with official transfer of title accompanying the actual physical movement of oil.
How to invest using crude oil futures
As you can see, the primary purpose of crude oil futures is to connect producers of oil with consumers of oil. Oil producers can sell futures contracts that match up to their expected future production, and by doing so, they can effectively lock in current prices. Although futures contract prices change every day, a seller receives financial credit when futures prices go down, offsetting the drop in oil's market price. For instance, if a contract falls from $50 per barrel to $49, then the seller will get a $1,000 credit, corresponding to the $1 decline multiplied by the 1,000 barrels covered by the contract. Conversely, if the contract rises from $50 to $51, the seller takes a $1,000 loss, offsetting the eventual gain the seller will get in future by having a higher price.
Buyers who need crude oil as a raw material, on the other hand, such as refinery companies, can ensure they have adequate future supplies and lock in favorable pricing. For buyers, the finances of futures work in the opposite direction. Rising prices give them a financial credit, while falling prices cost them. The net effect, though, is to set the price actually paid for the oil at the level at which the buyer entered into the futures contract in the first place.
Crude oil futures are futures contracts in which buyers and sellers of oil coordinate and agree to deliver specific amounts of physical crude oil on a given date in the future. The benchmark futures contract for crude oil in the U.S. involves West Texas Intermediate, a particular grade of oil that has fairly low density and sulfur content that makes it relatively easy to refine. It has historically traded on the New York Mercantile Exchange, and therefore many traders refer to the contracts as NYMEX WTI crude oil futures. Trading is also common globally for what are called Brent crude oil futures, which involve a different grade of oil found in the North Sea off the European continent.
The specifications for crude oil futures contracts are set in a way that allow market participants to trade them uniformly. Each contract covers 1,000 barrels, and dates for delivery are available up to nine years into the future. At some point during the delivery month, the seller must deliver the oil to the buyer at a pipeline or storage facility in the energy hub of Cushing, Oklahoma, with official transfer of title accompanying the actual physical movement of oil.
How to invest using crude oil futures
As you can see, the primary purpose of crude oil futures is to connect producers of oil with consumers of oil. Oil producers can sell futures contracts that match up to their expected future production, and by doing so, they can effectively lock in current prices. Although futures contract prices change every day, a seller receives financial credit when futures prices go down, offsetting the drop in oil's market price. For instance, if a contract falls from $50 per barrel to $49, then the seller will get a $1,000 credit, corresponding to the $1 decline multiplied by the 1,000 barrels covered by the contract. Conversely, if the contract rises from $50 to $51, the seller takes a $1,000 loss, offsetting the eventual gain the seller will get in future by having a higher price.
Buyers who need crude oil as a raw material, on the other hand, such as refinery companies, can ensure they have adequate future supplies and lock in favorable pricing. For buyers, the finances of futures work in the opposite direction. Rising prices give them a financial credit, while falling prices cost them. The net effect, though, is to set the price actually paid for the oil at the level at which the buyer entered into the futures contract in the first place.
Well GOSH petros.................that`s nice that you can explain oil contracts!
Now TELL US SOMETHING REALLY CLEVER! Such as WHAT will be the price of oil next September?
Or- HOW MANY BARRELS PER DAY will Canada be consuming in March 2021 when Our idiot Boy Justin
has to submit his budget for opposition party approval?
And how much revenue will Alberta oil be generating by Christmas 2020?
With the LIE-beral minority govt hanging in the balance?
Oh.........TRY TOTAL SALES TAX REVENUE for oil in Alberta!
We shall see if you are as wise as you PRETEND!