Ah yes, 80 *was* a 23-year support level that was broken, that's what I meant.

The sound-bite doesn't sound so good if you were to put it as "the 2 mothers of all support levels and the single mother of all resistance levels", you know what I mean?

Well, if we really wish to split hairs here, the thread title is Another Record, not Another PRICE Record or Another OIL (Price) Record, so really, any Guinness addition fits...

steady at $120 I wonder whether we will see $100 again?

Looks like we're back down to 107.

http://finance.yahoo.com/futures?t=energy

New front month. Someone got caught really short on October futures.

Soooo, meet ya same time, same place, next month?

The mechanism here is noteworthy. The dollar was getting stronger since June against the Euro, helping oil come down. Now that we need the bail out all the money is going back into commodities again and oil is going up. I was watching Paulson fumble through the question about why exactly they needed 700 billion right now and then it hit me. They do not know what the problem really is in detail or how to fix it and they are megalomaniacs to boot. Give us unlimited power and we will fix your problems. Deregulation created Enron, it created this crisis, and now they want Congress to simply keep it's nose out of money all together.

So we have on the one side the huge house of cards called finance which is a bet on the future that cannot come to pass during a time when oil production growth in constrained, then on the other side we have that very truth, oil is more scarce today than it was ten years ago.

There is no way out of this since every rush away from stocks inflates oil and slows the economy increasing defaults on the credit bubble which cannot have any real value unless we find a few more Ghawars in the next year and get them online in the next two.

This is peak oil at work ladies and gentlemen and the worst is far worse than this and it is yet to come.

BTW, I am glad to see that most of you here now ignore people who think that returning to $107 is a sign that we are all hysterical doom mongerers.

It's over people. Best get to learning how to relocalize.

Kevin Phillips was on Bill Moyers the other night and he basically told it like it is, he even included the phrase 'peak oil' as number six on his list of seven reasons why we are entering the second great depression. He also noted that government has taken to lying about the numbers, cooking the books I guess you could say, to try to calm nerves and get some time to 'fix' things.

Understand that and you know why America has to go through this time. There is a truth to currency that most people do not understand. Adam Smith understood it. Currency is primary supposed to supply transactions in the economy, that is it's value. starve the economy of that 'oil' [to coin a phrase] and it languishes, give it too much gas and it eventually pops. The physical truths behind human economy cannot be ignored forever. The spiritual truths that connect physical truths to human ethics will exact a toll from those who disrespect them.

'The eyes of the Lord are in every place, keeping watch on the wicked and the just.' Proverbs

http://www.msnbc.msn.com/id/26850571/

Get this Helicopter Ben says we are at 'risk' of recession without bailout. By most honest accounts we are and have been in recession since at least 2005.

http://findarticles.com/p/articles/mi_k ... _n25458491

I sure hope that storm down by Puerto Rico does'nt find it's way into the Gulf. It would have nothing to do with global warming of course, which has nothing to do with fossil fuel consumption, of course, and has nothing to do with our non-negotiable, though apparently highly mortgageable, way of life.

Good night America!

While waiting for USDX to do its 76-80 consolidation thing and watching oil prices hold above $100-odd support, all we have to do now is to sit and wait for the newly-printed money to leak out into the real economy :

$700B rescue plan finalized; House to vote Monday

http://biz.yahoo.com/ap/080928/financial_meltdown.html

Congressional leaders and the White House agreed Sunday to a $700 billion rescue of the ailing financial industry after lawmakers insisted on sharing spending controls with the Bush administration. The biggest U.S. bailout in history won the tentative support of both presidential candidates and goes to the House for a vote Monday ...

Okay, so they decided to kill the economy first.

Oil prices back below $100 ...

T Boone Pickens said today in this CNBC interview that oil will be at $150.00 by this time next year because 85 mp/b is all we're ever gonna get.

Interesting interview and you all might find his comments about Paulson and the current crisis a fun listen.

Remember our ongoing game of "how low can it go"?

$89.53 !

It's dropped below $90 and USDX has decisively broken way above 80 and is at 81.2 and looks like it's headed for 82. Vertical moves like that make me really, really, really nervous.

It's not a good sign. Commodities across the board are selling off - it shows there is something seriously wrong with the money markets.

This market is also part of peak oil result...the wave of price fluctuation will come so unexpected just like the Tsunami wave withdrawal theory. The next is panic selling...next is panic buying...what's next? When non-conventional oil cost price is breached there will be oil shortages as oil sand, tar sand, coal to oil..heavy oil...expensive technology to extract oil...no longer available. Close down...gone.

Super deep sea oil rig stop their pump as it will be no longer profitable to drill any more, then the panic buying will come in waves. Hyper panic when shortages comes will be worst then the oil shock of the 1970s when all the money withdrawn by public...suddenly all pushed into energy (oil & gas & nuclear, now also renewable)
Hold our breath...now

$89.07. Now, how's that for the global economic collapse scenario?

Seeya on the other side, whatever that is

You stole my Tag Line! LOL. Anyhow, reports are that at the $80 level, OPEC will cut production to maintain the price stability.

However, if they cut production and also have such a low price for their product, their revenue sinks through the floor. Just how well prepped ARE the Saudis? How much food do they have in reserve to feed their Oil Workers? When does the House of Saud fall here?

Forget the nukes. War of Attrition. Depopulate the world through starvation. That is the Plan. Internal combustion locally most likely derails this plan. Also all those nukes in Russia and China are problematic.
Reverse Engineer