In Energy on 06/01/2015 at 1:59 pm
The US oil price fell below the symbolic threshold of US$50 a barrel for the first time since April 2009, before finishing the day at US$50.05: NY last night.
This report appeared on I Jan
Hedge funds finally pulled back from bets on higher oil prices as the market faced its worst year since 2008.
Speculators reduced their net-long position in West Texas Intermediate crude for the first time in four weeks, cutting their holdings by 5 percent in the week ended Dec. 23, Commodity Futures Trading Commission data showed yesterday. Long wagers dropped the most since August.
Meanwhile junk energy bonds keep on tanking. The vultures are circling.
In Commodities, Malaysia on 21/10/2014 at 1:16 pm
Lower oil prices … Are they also a potent US weapon against Russia and Iran?
That’s the conclusion drawn by New York Times columnist Thomas L Friedman, who says the US and Saudi Arabia, whether by accident or design, could be pumping Russia and Iran to brink of economic collapse.
Despite turmoil in many of the world’s oil-producing countries – Libya, Iraq, Nigeria and Syria – prices are hitting lows not seen in years, Friedman writes.
Rather than look at the causes, however, Friedman says to look at the result – budget shortfalls in Russia and Iran – and what it means.
Who benefits? He asks. The US wants its Ukraine-related sanctions against Russia to have more bite. Both the Saudis and the US are fighting a proxy war against Iran in Syria.
“This is business, but it also has the feel of war by other means: oil,” he writes.
Btw, weak oil prices makes it more difficult for M’sia to fund its budget.
In Energy on 20/04/2010 at 5:29 am
The US Army is working on assumption that in 2016, the price of oil will be US$100.
The US military has warned that surplus oil production capacity could disappear within two years and there could be serious shortages by 2015 with a significant economic and political impact.
The energy crisis outlined in a Joint Operating Environment report from the US Joint Forces Command …