"If they don't have the barrels, they don't have the barrels': Oil could soar to $100

[Bfd]

https://markets.businessinsider.com/commodities/news/oil-trump-iran-sanctions-could-cause-prices-to-soar-to-100-a-barrel-2018-10-1027602054

'If they don't have the barrels, they don't have the barrels': Oil could soar to $100 as Trump shuts Iran out of the market

Oct. 9, 2018, 01:12 PM

*The State Department has ordered buyers to cut oil imports from Iran by November 4.

*Against a backdrop of falling output from other key OPEC countries, analysts say barrels could hit $100.

'If they don't have the barrels, they don't have the barrels': Oil could soar to $100 as Trump shuts Iran out of the market
Gina Heeb
Oct. 9, 2018, 01:12 PM

SNIP
Trump has repeatedly taken aim at OPEC for rising energy prices, even after it came to a rare agreement to ease production restrictions in June. The 15-member group has been coordinating output levels since 2016 in efforts to tackle a global oil glut.

"We protect the countries of the Middle East, they would not be safe for very long without us, and yet they continue to push for higher and higher oil prices!" the president said in a recent tweet. "We will remember. The OPEC monopoly must get prices down now!"

That strategy may have encouraged member countries to increase production in the past, Croft said, but will likely become less effective as the global oil cushion shrinks. Output from the 12 countries bound by the supply-cutting agreement actually fell by 70,000 barrels per day in September, a Reuters survey found.

"With Trump and these tweets, I think there are diminishing returns," she said. "In terms of going forward, we're looking at an ever-shrinking pool of OPEC barrels. You can yell at them. But if they don't have the barrels, they don't have the barrels."


While the administration has said it may grant sanction waivers to avoid supply shocks, a tactic used in the Obama era, it has still maintained an objective of sending Iranian oil exports to zero. The White House did not respond to an email requesting comment.

At $100 a barrel, the Bank of America economists said oil costs would dampen consumer demand not only for gasoline but also for other goods and services. That level of energy prices is expected to shave two basis points from global growth in 2019.

"This is not a major impact, but it isn’t trivial either," they said. "Moreover, with oil supplies so tight any further disruption could mean a major spike in oil prices, creating more nonlinear impacts on confidence and growth."
On Monday, the International Monetary Fund lowered its global economic growth forecast for this year and next.

The international lender cited in its report "rising trade barriers and a reversal of capital flows to emerging market economies with weaker fundamentals, and higher political risk."
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Trump demanding oil prices be kept low is bullshit.

He only wants them kept low until Nov 4th, so as not to affect the midterm election.
That is when his latest blow to reasonable oil prices will take effect.
He doesn't give a shit if the price of oil & gasoline bring the US or Global economy to a halt.

Those who were promised Oil Stock (Russia's Roseneft) for political loyalty will be rewarded.
Watch for RU Sanctions to be lifted ~so sorry Mr Magnitsky, your work will always be heroic
"They don't give a shit about people" ~ Tom Perez

[DBoon]

1. inflation begins

Trump has brought back the economic demon that we thought was slain 39 years ago

[Bfd]

2. This is horrible. The more power he can strip from as many others on the planet & shove it in his

own pocket, the better he feels.
He's like a heroine addict. It's never enough, the more he gets the more he wants & he will steal from anyone to have that bigger, better high.
No person, plant or animal on this earth is spared.

Everything Trump touches, dies ~ The Rick Wilson

[Soxfan58]

3. The big question

How is this Obamas fault

[Bfd]

4. Yup. Sick mofos