Oil bust inevitable

Hi my name is Abhishek and I'm here to help. 
My name is Kerpal and you kicked my dog.

 
Hi, I was just calling because I live down the street from you, and your daughter come to my house today and she kick my dog.
 
Was just about to post, oil prices sure has been tanking this week.  Of course, every expert and their mother says it will rebound, just like before.  We are in a different oil market and world now, nothing can be predicted.
 
The Oil collapse is about to trigger a crisis in junk bonds.Oil has been going straight down for weeks now. As we write this, black gold is below $43 a barrel, down 16% from its levels a month ago.
“So what?” you might ask, “Oil experiences similar drops all the time. Why is this important?”This is important, because the high yield, or junk bond market is closely associated with Oil prices. And if Oil continues to collapse we’re going to start seeing some serious contagion risks in high yield credit.
Debt Crisis?

 
There is one thing about it that I don't understand. Isn't there a futures market? Why can't they just have some sovereign come in and go long with billions to prop it up? They use futures and derivatives to set other commodities to the exact levels they want, why can't they do that with oil anymore? 
 
There is one thing about it that I don't understand. Isn't there a futures market? Why can't they just have some sovereign come in and go long with billions to prop it up? They use futures and derivatives to set other commodities to the exact levels they want, why can't they do that with oil anymore? 
I think there is a futures market, but because of the advancements of soil and wind etc. The future is not that bright for oil. It will always be there just not at our old way of thinking.

 
There is one thing about it that I don't understand. Isn't there a futures market? Why can't they just have some sovereign come in and go long with billions to prop it up? They use futures and derivatives to set other commodities to the exact levels they want, why can't they do that with oil anymore? 
I think you will see some funny business happen eventually with the Saudi's. They have their big Aramco IPO coming up and they want that price up.

 
I think there is a futures market, but because of the advancements of soil and wind etc. The future is not that bright for oil. It will always be there just not at our old way of thinking.
The main problem is the market is being flooded, basically by the US. I've heard some argument back and forth if the demand is quite as high but that really isn't the problem. It's the supply and output.

 
I was just talking to a guy across the street from me. He sells some safety automation products to the oil fields. He said one company in particular down in Texas will soon have technology to make oil profitable to them at $20/barrel. He's soon retiring and doesn't have much skin in the game anymore but I found it interesting.
 
He said one company in particular down in Texas will soon have technology to make oil profitable to them at $20/barrel.
Have to adjust to changing times. Oil will never go away in our lifetimes. Just the oil boom days are long gone.

 
Yeah I think tech will play a big part. Gotta get the oil out as cheap as possible these days. It will be interesting to see if there is much of a push for solar and wind with these low oil prices. People aren't really too excited for it when they are paying lower prices at the pump.
 
I sent Mr. Kirby (I posted one of his youtubes on here) my question on oil. Here is what he had to say:

Dave;

Reason:  if you get long oil and there is a physical glut – someone will order you to take delivery and then you are “stuffed” looking for a place to store it.  this does happen on occasion and that’s when the charter rates for crude oil tankers [VLCC’s] called Very Large Crude Carriers goes through the roof.

 

Dangerous game to play.

 

R

 
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