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Hoarding is exactly what the government is doing right now by filling the SPR, and frankly it's the best thing that could happen. It drives prices up. High prices encourage demand destruction. They also finance new well development. The hoarded oil gives us a buffer to fall back on once shortages become more prevalent. High prices are what we need in order to adapt to what's coming, and the sooner they happen, the better.

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Oil may fall to $US45-$US55: OPEC
Consumption; Demand; Prices

OPEC expected world oil prices to stabilise in a range of $US45-$US55 a barrel next year and had ample spare capacity to meet demand, acting Secretary-General Adnan Shihab-Eldin said overnight.

"Based on fundamentals, prices should not increase. They should moderate below the levels of recent months," Mr Shihab-Eldin said.



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Posted on Monday, October 31 @ 22:55:40 PST by Waegari
 
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Re: Oil may fall to $US45-$US55: OPEC (Score: 1)
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