[Tanada]

The destruction of the refi ATM is a much much bigger threat to the growth economy than $80.00 oil.

[Zardoz]

Energy Secretary Sam Bodman: Peak Oil doomer.

Welcome aboard, Sam.

[Kingcoal]

For the past 30 or so years, the US has dealt with rising oil prices by printing more money. China has been the savior, allowing the US to export a lot of this inflation. However, the Chinese are affected by rising oil prices also. It's only a mater of time before they start passing the price increases along. The synergy will start to unravel then.

[newman1979]

China's cpi inflation was reported at 5% . Money supply is plugging along at 13% growth in M3 and likewise in 18 of the 20 largest economies. Until these stupid central banks stop printing fiat money and stop inflation, commodities like oil and food will will climb higher, slowdown or not.

[TreebeardsUncle]

Gasoline has been coming down in price for the most part since the end of May. BHI's stock peaked back around July 13th, and a lot of offshore oil rig driller's stock peaked about the time Transocean's merger with GSF was announced. Besides Rig and GSF, Diamond Offshore, Noble, and Ensco all peaked about then. Although oil future prices will remain elevated into September, the oil investment season for 2007 is basically over. It looks like the traders anticipated the end of the summer driving season by about 6 weeks.
G

[Chuckmak]

$this->bbcode_second_pass_quote('Zardoz', 'E')nergy Secretary Sam Bodman: Peak Oil doomer.

Welcome aboard, Sam.

[TreebeardsUncle]

Sold BHI, Ensco, Global Santa Fe, Transocean, Noble, Diamond Offshore, Helmerich and Payne, Rowan, Cameron, Core Labs, and Smith International today. Figure the oil sector will be in decline through October. The market as a whole should recover to some degree until third quarter losses are taken for tax purposes.
There should be big gains to be found in the oil services subsector in the summer of 2009 due to Cantarel's increasing depletion.
Still, increased costs in drilling and recovery in general will limit returns.

g

[DantesPeak]

We're addicted to oil and now oil exporters have lost control of prices, says Energy Secretary Bodman. Now "its in the hands of traders".

But, he says, higher prices will bring on new supplies. Haven't we heard that before?


$this->bbcode_second_pass_quote('', 'B')odman Sees Traders, Not Suppliers, Driving Prices (Update1)

By Daniel Whitten

Oct. 12 (Bloomberg) -- Saudi Arabia and the world's other oil suppliers are no longer able to dictate prices as commodities traders wield greater influence, U.S. Energy Secretary Samuel Bodman said.

``The suppliers, to some degree, have lost control of the pricing,'' Bodman told reporters in Washington. As traders take greater control of prices, markets can move more on emotions than the fundamentals of supply and demand, he said.

The U.S. economy's recent strength has eased the impact of record oil prices, Bodman said. The future impact is difficult to predict, he said, because $80-a-barrel oil is a new phenomenon.

Suppliers will respond to rising demand by producing more oil, Bodman said in an interview.

``What the market is telling suppliers is that we need more supply, we've got higher prices,'' Bodman said. ``I am hopeful suppliers will respond. I think they are able to respond.''

Last Updated: October 12, 2007 12:54 EDT

[Nano]

This kind of press releases are going to trigger TSHTF sooner or later.

[FireJack]

It can't be long now when continuous supply shortages start to appear in the richer countries. It really will be all downhill from there. I sometimes wonder what it will be like when the gas stations in my town are closed for 4-5 days because they can't buy any gas. Not being able to get gas when you want will change everyones lives rather fast.

[americandream]

Isn't the guy contradicting himself.

Prices are either artificial in which case supply shortfall is not an issue and inflated prices are being driven by bidding calls alone or else they are fundamental in as much as there is a supply shortfalll and the prices being bid simply reflect this....duh!

[basil_hayden]

This guy is the definition of "tool".

[Starvid]

He said the same thing a year ago:

$this->bbcode_second_pass_quote('', '"')This is the first time in my professional lifetime that the suppliers of oil in the world have really lost control of the markets," Bodman said during a two-day trip to Western Canada where he toured the rapidly developing oilsands region in northern Alberta.

[TreebeardsUncle]

Suppliers will respond to rising demand by producing more oil, Bodman said in an interview. ``What the market is telling suppliers is that we need more supply, we've got higher prices,'' Bodman said. ``I am hopeful suppliers will respond. I think they are able to respond.''


"It's clear we've got suppliers unable to keep up with demand," Bodman said, in an interview on CNBC. "That's what's driving prices."

Bodman added that tight oil output capacity means producers don't have the flexibility to easily increase supplies as they had in the past.

Well, which is it Blodman? Can the producers increase the supply or not? You can't have it both ways, you inconsistent lying jerk. Of course, the media and a lot of American have no capacity for critical thinking or even the ability to recognize contradictory statements.
Oh look the authority on tv says its fine. Nothing to worry about.
Keep it moving. Move along. Move along.

g

[americandream]

These mofos get paid frickin mega bucks to do what, talk out ther rear ends! Wat a fcukkin mess.

[DantesPeak]

$this->bbcode_second_pass_quote('TreebeardsUncle', ' ')

Well, which is it Blodman? Can the producers increase the supply or not? You can't have it both ways, you inconsistent lying jerk. Of course, the media and a lot of American have no capacity for critical thinking or even the ability to recognize contradictory statements.
Oh look the authority on tv says its fine. Nothing to worry about.
Keep it moving. Move along. Move along.

g

[aahala]

Forget Bodman. The man is well qualified and has a very
impressive resume. But his history and training have almost
nothing to do with energy or energy policy.

If you want someone for a job, it's better to pick someone who
knows something about the subject matter, rather than the
smarter or better educated in some other field. If you want
your oil changed, you can expect better results if Gomer of
Mayberry rather Albert Einstein is selected.

[roccman]

Hey Lynch, Yergin, USGS, and all you other tools that thought and PREACHED we have plenty of oil...

EAT UP BOYZ!!!

[TreebeardsUncle]

And right now the Saturday's Sacramento Bee Business section lists the closing price of oil to be $83.69, up .61 cents. Isn't that a little high for this time of year? (rhetorical)

The first page of this section includes the following collumn:

Oil hits record on supply fears

Oil futures rose to a new trading high above $84 a barrel Friday. [And these are November futures!] -- and settled at a new record -- on concerns that supplies are not adequate to meet fourth-quarter demand.
Recent reports have indicated that crude inventories are falling. Thursday's Energy Department reports showed that domestic oil supplies decline last week, and an International Energy Agency report Thursday concluded that oil inventories held by the world's largest industrialized countires have fallen below a five-year average.
Light sweet crude for November delivery rose 61 cents to settle at a record $83.69 a barrel on the New York Mercantile Exchange after rising as high as $84.05, also a record.

[So, why aren't bountiful supplies of magic elixer for the drive-in utopia being magically conjured up in accordance with economists bull sh*t mantra. Maybe if folks wished hard enough upon a star they could get something for nothing. (Am attempting to channel Kunstler here a bit.)]

[oilluber]

$this->bbcode_second_pass_quote('DantesPeak', '.')..... he says, higher prices will bring on new supplies. Haven't we heard that before?

.....

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