View Full Version : From Reuters: Oil down $2; Energy analysts: win for Kerry could mean lower oil prices

1st November 04, 02:21 PM
So oil is finally down below $50 a barrel to $49.70 from $55.67.

A article from Reuters claims that if John Kerry wins crude prices could drop:

LONDON (Reuters) - Oil prices fell heavily on Monday, taking U.S. crude below $50 on speculation that a U.S. election win for Senator John Kerry could ease the geopolitical friction that helped fuel this year's record-breaking rally.

Does anyone else think the price of oil going down is a BAD thing in some respects? I mean, we all know by now that within our lifetimes petro will be scarce at some point. Shouldn't the price reflect this and thus prod people to come up effective alternatives fuel sources?

"Under a Kerry administration we'd likely have a much more interventionist SPR (Strategic Petroleum Reserve) policy," said Jamal Qureshi, market analyst at PFC Energy in Washington.

"And when you look out a bit further, Bush is more likely to be aggressive in the Middle East, particularly in Iran."

The Bush administration continues to add oil to the Strategic Petroleum Reserve despite high prices.

Kerry says he would stop filling at current prices to keep more crude on the market. That difference is important for the world oil market now suffering a shortage of light, sweet crude, which makes up about 40 percent of the SPR.

The same article said that PFC is calling U.S. crude at $43 a barrel in '05 should Kerry be elected and $48 if Bush wins.

It also predicted $52 a barrel average 1st quarter under Bush and $45 under Kerry.


The Wastrel
1st November 04, 02:29 PM
Low oil prices are especially called for given the sluggish economic recovery. The dilemma of alternative energy sources remains one way or the other.

1st November 04, 02:36 PM
Do you believe that oil prices really would be better if Kerry rather than Bush were elected?

After all the nonesense of this election year I just find this hard to swallow, although the reasoning behind it seems correct.

Yesterday CNN kept flahing the most IDIOTIC news across its page, like how John Kerry is leading Bush among people who drive imported vehicles.......

1st November 04, 04:07 PM
It could be worse; last night I watched a commentator on Fox News say "the rest of the world doesn't want to see George Bush elected, because they hate the idea of a strong America".

I really wanted to pimp slap that old man, then break his cane sell his medication to high schoolers.

Well, argue with him anyways....

Some people just don't seem to understand, but then they probably say the same thing about me; too bad for them, I'm right.

1st November 04, 04:09 PM
I dunno, the oil prices are a non-issue for me. It's everything else that Bush fucked up that really concerns me.

The Wastrel
1st November 04, 04:15 PM
Do you believe that oil prices really would be better if Kerry rather than Bush were elected?

No, not at all. But I do believe that Kerry will strap on a revolver and hunt down and kill the Cyclops.

2nd November 04, 01:27 AM
Nobody knows what oil prices are going to do. If you're an investor just buy a whole market index fund and stay out of commodities unless you want your rear end handed to you.

On the alternative energy front. This has been a pet project of mine for many years. It all comes down to economics really. It's simply a LOT cheaper to pull coal and oil out of the ground. Until the supplies get too low to really drive the price up you really won't see much effort being made.

However, the research has picked up again. In the 70's the government spend loads of money on alternative energy research. Companies were making really good strides but when the oil embargo ended so did the research. The market just didn't make it competitive. I'm really hoping that things turn around now. I have pretty good hopes for newer fuel cell technologies for cars and Stirling engine-powered solar arrays to augment peak power demands in the US among others. I think the newer hybrid cars are cheap hacks that won't last. We'd be better off promoting diesel cars in the US. They get much better gas mileage and it's cheaper to refine diesel. That is until fuel cells become standard...