Paco Loco Posted April 20, 2020 Report Share Posted April 20, 2020 $10/barrel....Good for the US, bad for Mexico. Lowest prices since 1989! Quote Link to comment Share on other sites More sharing options...
Mainecoons Posted April 20, 2020 Report Share Posted April 20, 2020 Wow! Not really good for the U.S. though, a lot of production being shut down. When the pendulum swings the other way it could be shocking. Quote Link to comment Share on other sites More sharing options...
Paco Loco Posted April 20, 2020 Author Report Share Posted April 20, 2020 US gasoline prices under a dollar a gallon in some places already. Cheap energy in the US usually breeds a booming economy. Quote Link to comment Share on other sites More sharing options...
Mainecoons Posted April 20, 2020 Report Share Posted April 20, 2020 Well not if everyone's job is shut down and they are all staying home. Quote New York (CNN Business)The boom in US production has made America the largest oil producer in the world and radically changed the economics from when it was a net consumer. It also means this latest oil price plunge will be far more damaging to the US economy than the massive oil price drops in 2008 or 1991. Early Monday, Morgan Stanley put out an estimate saying if oil prices remain at low levels, it could shave 0.15 to 0.35 percentage points off of US gross domestic product in the first quarter. Morgan Stanley also said it is concerned that consumers won't spend any of the savings from lower gas prices. https://edition.cnn.com/2020/03/09/business/oil-prices-us-economic-impact/index.html My RVing friends are loving it but the same problem, so many destinations shut down they are mostly staying parked where they are or at home. Quote Link to comment Share on other sites More sharing options...
ComputerGuy Posted April 20, 2020 Report Share Posted April 20, 2020 You've all seen the price of gas at Pemex lately... down from 20.x to 15.x. Yet at the rate I'm using my vehicle, it will be weeks before I'm down even a quarter tank to take advantage of the price. Here in Riberas, only two pumps are being staffed. Quote Link to comment Share on other sites More sharing options...
utilitus Posted April 20, 2020 Report Share Posted April 20, 2020 ICE Brent crude is currently trading at $26. The NYMEX WTI figure around $10 is an artifact of the related futures contract which is about to settle when there is a requirement to take delivery and there is no storage capacity. Petrol prices at the pump should reduce, but not to such absurd levels. Commentators point out that low prices are the greatest motivation for american consumption, now obviously suppressed, and suggest that US refiners could be a good investment into the fall. 2 Quote Link to comment Share on other sites More sharing options...
rafterbr Posted April 20, 2020 Report Share Posted April 20, 2020 There is so much oil in the United States there is no storage for it. My son who works for the railroad reports they are storing oil in railroad tanker cars. Quote Link to comment Share on other sites More sharing options...
Go Solar Posted April 20, 2020 Report Share Posted April 20, 2020 This moment: cheap, but not $10 cheap.... Quote Link to comment Share on other sites More sharing options...
ea93105 Posted April 20, 2020 Report Share Posted April 20, 2020 Cheaper than milk in a lot of places Quote Link to comment Share on other sites More sharing options...
RickS Posted April 20, 2020 Report Share Posted April 20, 2020 Whether it is $10 or $26 or somewhere in between, it shows what one nation and/or one virus can quickly do to a previously 'sailing along' world. Quote Link to comment Share on other sites More sharing options...
happyjillin Posted April 20, 2020 Report Share Posted April 20, 2020 11 minutes ago, ea93105 said: Cheaper than milk in a lot of places Cheaper than a pack of cigarettes in Alberta. Are none of you aware of what Russia and Saudi Arabia started doing to have caused all this and ad the covid-19 on top of that buckaroos Quote Link to comment Share on other sites More sharing options...
ComputerGuy Posted April 20, 2020 Report Share Posted April 20, 2020 Uh, hardly Mexican chat here... Quote Link to comment Share on other sites More sharing options...
Ferret Posted April 20, 2020 Report Share Posted April 20, 2020 When what other countries do suppresses the oil market in Mexico, I do think it's Mexican chat. I don't care if it's foreign owned but Mexico MUST get its own refineries. At the very least, it would employ Mexicans and put money into MEXICO. 3 Quote Link to comment Share on other sites More sharing options...
ComputerGuy Posted April 20, 2020 Report Share Posted April 20, 2020 Perhaps, but that is not reflected in any of these posts. Quote Link to comment Share on other sites More sharing options...
ea93105 Posted April 20, 2020 Report Share Posted April 20, 2020 27 minutes ago, happyjillin said: Cheaper than a pack of cigarettes in Alberta. Are none of you aware of what Russia and Saudi Arabia started doing to have caused all this and ad the covid-19 on top of that buckaroos Its a well known fact that Russia and Saudi Arabia started an oil war but due to demand destruction and it was only a matter of time anyway . What's surprising is that the peso isn't devaluating today as a result of oil cratering but maybe the market saw it coming already. Quote Link to comment Share on other sites More sharing options...
Mainecoons Posted April 20, 2020 Report Share Posted April 20, 2020 Well it is back over 24 by a hair. That it isn't more surprises me as well since Moody's also cut Pemex to junk status. Quote Link to comment Share on other sites More sharing options...
AngusMactavish Posted April 20, 2020 Report Share Posted April 20, 2020 Yahoo Finance says: Quote Link to comment Share on other sites More sharing options...
Mainecoons Posted April 20, 2020 Report Share Posted April 20, 2020 Which grade? Makes a big difference. Quote Link to comment Share on other sites More sharing options...
AngusMactavish Posted April 20, 2020 Report Share Posted April 20, 2020 2 minutes ago, Mainecoons said: Which grade? Makes a big difference. Tell that to the people at Yahoo as it seems to be a secret. Quote Link to comment Share on other sites More sharing options...
Alli Posted April 20, 2020 Report Share Posted April 20, 2020 2 hours ago, Mainecoons said: Wow! Not really good for the U.S. though, a lot of production being shut down. When the pendulum swings the other way it could be shocking. There used to be a sign in one of the offices where I worked: "Please god, let there be one more oil boom -- I promise not to piss it away this time!" When times are good, oil companies overspend -- now they will suffer. Worked in that industry for many years . . . saw it over and over and over. Quote Link to comment Share on other sites More sharing options...
AngusMactavish Posted April 20, 2020 Report Share Posted April 20, 2020 Quote Link to comment Share on other sites More sharing options...
ea93105 Posted April 20, 2020 Report Share Posted April 20, 2020 Futures now at 2 bucks ! cheaper than water. I exchanged dollars last week at 24.2, this morning, I was expecting much higher. Meanwhile the stock market is close to recovering most of the losses this year, crazy Quote Link to comment Share on other sites More sharing options...
AngusMactavish Posted April 20, 2020 Report Share Posted April 20, 2020 Quote Link to comment Share on other sites More sharing options...
AngusMactavish Posted April 20, 2020 Report Share Posted April 20, 2020 Ouch! Quote Link to comment Share on other sites More sharing options...
Ferret Posted April 20, 2020 Report Share Posted April 20, 2020 Is that what you call hitting the bottom of the barrel? 1 Quote Link to comment Share on other sites More sharing options...
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