No topic about the opening of the US oil reserves?

[PaceAdvantage]

I don't get this at all. The price of oil has been doing nothing but DROPPING the last couple of weeks....WHY in the world would the Obama administration think this is a good idea at THIS TIME? Don't they have anyone monitoring the price of oil on a daily basis? It had dropped almost $20 a barrel over the past month or so - BEFORE this decision was made....

"The Strategic Petroleum Reserve is an emergency lifeline to protect our nation against critical shortages in our oil supply and shouldn't be used as a Strategic Political Reserve to boost the popularity of elected officials," said Charles Drevna, president of the National Petrochemical & Refiners Association.

"The administration's action will do little to benefit consumers while leaving the nation vulnerable to hurricanes or other natural disasters, or a foreign crisis that causes a real supply shortage," said House Speaker John Boehner, R-Ohio.

"By tapping the Strategic Petroleum Reserve, the president is using a national security instrument to address his domestic political problems," Boehner said. "This action threatens our ability to respond to a genuine national security crisis."

Even some Democrats were puzzled by the move.

"This decision would have been more timely if made when the disruption in Libyan oil supplies first occurred" in February, said Sen. Jeff Bingaman, D-N.M., chairman of the Senate Energy and Natural Resources Committee. Still, Bingaman said he hopes the move helps deflate "speculative froth in the markets" and drives prices down.

http://news.yahoo.com/s/ap/20110623/ap_on_bi_ge/us_obama_oil

[Track Collector]

Obama is looking for anything positive that he can take credit for to save his re-election campaign.

Remember, a percentage of those who voted for him before are easily fooled, and actions like this will help fool them again.

[HUSKER55]

How long do you think it will be before someone points out the replacement cost? Throw in bad timing and I don't see how this will come out any other way than more BO stupidy.

[ArlJim78]

the price is going down so why not jump on the bandwagon. never let a crisis go to waste, never fail to take credit for anything good and always blame others for things that go wrong.

This will become part of a campaign speech down the road. "I directed this release, blah, blah blah, stabilize supply, blah blah blah, removed speculative froth in the market, blah blah blah, saving average working Americans money. blah blah blah"

the media will report on it as a "gutsy call" or "bold decisive action"

[lamboguy]

its never good to manipulate any market for any reason. i would say that if someone knew ahead of time that obama was goiing to release the oil, that person might have put himself in with airline stocks to make a quick score. i happened to notice some unusual high volume call buying in united airlines about 2 weeks ago and wondered why. this might have been the reason. not only that, since there was no company specific news on united airlines those people that were lucky enough to place their bets on united airlines stock will keep all the profits that they made.

[HUSKER55]

notice how the gas prices have been an issue for the last presidents? do you think they could manipulate the markets? I was told that Bush owns a large chunk of CITGO which means they all do. this has been going on since Carter.


Is any of this real? except that the PFC gets screwed.

[delayjf]

Bush owns a large chunk of CITGO which means they all do

Any proof of the above?

[TJDave]

I was told that Bush owns a large chunk of CITGO

CITGO is owned by the government of Venezuela and controlled by Hugo Chavez.

[Marshall Bennett]

When in doubt, blame Bush. :D

[ElKabong]

It's GETMO. Not CITGO.....Everyone knows Bush owns GETMO, otherwise Obama wouldn't have ever promised to close it. :)

[PaceAdvantage]

Any proof of the above?Hey man...he was TOLD...OK? :lol:

[ElKabong]

From the link......

White House officials would not predict how the release will affect prices at the pump, although the move is intended to increase U.S. supplies during the peak summer driving season.

"Increase supplies"? Hell if that's the problem in Obama's opinion, then Drill Baby Drill is his answer

[Spiderman]

The message for the release of oil is: F U OPEC

[bigmack]

The message for the release of oil is: F U OPEC
Yeah boy, he sure showed them.

[PaceAdvantage]

The message for the release of oil is: F U OPECI think the point being made here is that it's called the Strategic Reserve for a reason.

It's not to be used flippantly.

With oil prices PLUNGING by at least 18% in the weeks before this release, can you tell me what dire situation the US was in that they needed to contribute to this world-wide release?

Why didn't this happen when oil was at $114 a barrel? He releases it when oil is heading DOWN around $90 a barrel?

What sense does this make? Honestly.

I thought this president was supposed to be smarter than the last one.

[Robert Goren]

Sounds like somebody was long in oil.

[bigmack]

What sense does this make? Honestly.
The same reason the attorneys for that child killer down in FL tried to have her found incompetent. Utter desperation.

Team BO can see poll numbers. They told him to do something.

Poll numbers continue downward. Political action found ineffective.

[PaceAdvantage]

Sounds like somebody was long in oil.I believe I stated publicly months ago that I no longer trade oil and am concentrating solely on the S&P.

I generally don't hold overnight anyway, but thanks for not paying attention to what I write...unfortunately, I can't say the same...I'm required, by law, to pay attention to what you write...

[Spiderman]

It was not a unilateral decision.

[Greyfox]

I heard an analyst on the radio say that the release of this oil is a huge mistake.
He said that it sends a signal to investors that the supply of oil is short.
Hence, they will invest more in futures and force the price of oil up.

[dartman51]

notice how the gas prices have been an issue for the last presidents? do you think they could manipulate the markets? I was told that Bush owns a large chunk of CITGO which means they all do. this has been going on since Carter.


Is any of this real? except that the PFC gets screwed.

Someone misinformed you. Bush may own a piece of some oil company, but certainly NOT CITGO. Citgo is owned by Petróleos de Venezuela, 50% was sold to the the national oil company of venezuela (Petróleos de Venezuela) in 1986 and the rest was sold to them in 1990. :ThmbUp:

[Tom]

Quote:
Originally Posted by DJofSD
Talk by some of those which report on the economy and investing is that the coordinated release of the oil from the reserves is an ploy by BO to boost a sagging economy and to set the stage for an better shot at re-election. It all sounds political. I guess it must be an emergency to release those 2 million barrels of oil each day.



Especially when the price has been dropping.
But, seeing how this is our STRATEGIC supply, it can be rationed that he did it to help support the new campaign in the Middle East, Operation Re-election.
__________________

We started talking about the other day....just to put us in the right thread.

[dartman51]

The release of 30 million barrels was nothing more than a political move. When the U.S. oil consumption is approximately 21 million barrels per day, what does this really do in the grand scheme of things? :ThmbUp:

[Tom]

Give Obama the basis for yet another lie.

That air head who was after his stash probably bought it.

[bigmack]

The release of 30 million barrels was nothing more than a political move. When the U.S. oil consumption is approximately 21 million barrels per day, what does this really do in the grand scheme of things? :ThmbUp:
1.4285714285 days. :eek:

Heavens to Betsy - Spiderman was right. What a F-U to OPEC. :lol:

[benzer]

Certainly a political move and right in line with this administrations norm.

A combination of other nations are putting in a combined total of 30 million barrels.

The reason for our 30 million barrels is that we use more oil, so we are matching that amount.

Still makes no sense when oil prices are dropping. Also domestic oil production is down due to this administrations policies.

This decision is political not only here but also abroad. When the U.S. should be leading we now follow and fall in line.

[mostpost]

I think the point being made here is that it's called the Strategic Reserve for a reason.

It's not to be used flippantly.

With oil prices PLUNGING by at least 18% in the weeks before this release, can you tell me what dire situation the US was in that they needed to contribute to this world-wide release?

Why didn't this happen when oil was at $114 a barrel? He releases it when oil is heading DOWN around $90 a barrel?

What sense does this make? Honestly.

I thought this president was supposed to be smarter than the last one.
The strategic Reserve is at its highest level in history. Even after taking out the 30 Million barrels we still have enough to supply the military all its need for 5.3 years. That's assuming we have to use it at all. It is called a Reserve for a reason.

On January 16, 1991 oil was $32 a barrel. George H. W. Bush released 34B barrels of oil from the strategic oil reserve. The next day oil was $21 a barrel, where it stayed for the rest of the year.
http://www.grist.org/oil/2011-06-23-why-selling-off-strategic-petroleum-reserve-good-idea

Following this release gasoline went from $1.35 to $1.05

[mostpost]

I heard an analyst on the radio say that the release of this oil is a huge mistake.
He said that it sends a signal to investors that the supply of oil is short.
Hence, they will invest more in futures and force the price of oil up.

Who is this analyst? Who does he work for? It seems to me that the signal is that we will keep the supply high enough to offset the demand. More supply-less demand equals lower prices. Isn't that how it goes?

[mostpost]

The Republicans hate this. The oil companies hate this. Do we need any more proof that it is a good idea?

[newtothegame]

The strategic Reserve is at its highest level in history. Even after taking out the 30 Million barrels we still have enough to supply the military all its need for 5.3 years. That's assuming we have to use it at all. It is called a Reserve for a reason.

On January 16, 1991 oil was $32 a barrel. George H. W. Bush released 34B barrels of oil from the strategic oil reserve. The next day oil was $21 a barrel, where it stayed for the rest of the year.
http://www.grist.org/oil/2011-06-23-why-selling-off-strategic-petroleum-reserve-good-idea

Following this release gasoline went from $1.35 to $1.05

Not sure about where exactly you're getting your military numbers but, I find it ironic you would use those instead of public consumption.
Either way, 30 million is about 1/25 of our total reserves.
The TOTAL reserves will last the US about a month give or take a few days.
I was always under the belief that in worst case scenarios, it would be used.
Nice that you failed to address the questions Mike posed.....So, if you missed them, here they are again.....WHY? Why release it NOW, when oil was down about 18% in the last few weeks? Why not when it was up around 114 a barrel?
There are reports out that BO went to the Saudis to inform them of his intentions and to get their input.....WHY?
I know...as in your post...lets revert back to what BUSH did! :lol:
Just hope the BUSH thing works for you libs come election time cause that's ALL YOU ALL HAVE!

[mostpost]

Not sure about where exactly you're getting your military numbers but, I find it ironic you would use those instead of public consumption.
My thought was since it is a strategic reserve, its primary purpose was military.
Either way, 30 million is about 1/25 of our total reserves.
The TOTAL reserves will last the US about a month give or take a few days.
Not correct. Physically we can only draw 4.4 million barrels a day from the storage facilities. Even if it was out only source of oil, it would last 165 days because we could not access it any faster.
I was always under the belief that in worst case scenarios, it would be used.
Nice that you failed to address the questions Mike posed.....So, if you missed them, here they are again.....WHY? Why release it NOW, when oil was down about 18% in the last few weeks? Why not when it was up around 114 a barrel?
I thought I did. I'll try again. Oil is down now. Who's to say it won't be up in a few weeks? This move was meant to discourage speculators. If oil is 90 now maybe it will be a lot lower in a few weeks. Get the speculators out of the market and leave it to people who actually take delivery of the oil they buy.
There are reports out that BO went to the Saudis to inform them of his intentions and to get their input.....WHY?
Why not? I know how you think. "Why should we ask the Saudis for permission? Obama's bowing to the Arabs again." Because if the Saudis aren't on board all they have to do is curtail production or not sell us as much oil and the whole plan is useless.
I know...as in your post...lets revert back to what BUSH did! :lol:
Just hope the BUSH thing works for you libs come election time cause that's ALL YOU ALL HAVE!
OK let's not use Bush. Clinton released some of the reserves in 2000. Gas prices fell from $2.00 TO $1.70.
Back to Bush: The second one. During his term prices rose due to the wars.
There was also the matter of him doubling the Strategic Reserve. Of course that was to protect national security. The oil man president was certainly not trying to increase oil company profits. :rolleyes: :rolleyes: :rolleyes: :rolleyes:


Damn!!! You've done it again. I was going to bed an hour ago and you posted something I had to answer. I'm going to find out where you live, hire a sound truck and play "Happy Days Are Here Again" while you try to sleep.
:mad:

[PaceAdvantage]

On January 16, 1991 oil was $32 a barrel. George H. W. Bush released 34B barrels of oil from the strategic oil reserve. The next day oil was $21 a barrel, where it stayed for the rest of the year.And why did he do this?

After you answer that question, answer why Obama just did it.

Then compare and contrast the two.

[newtothegame]

Originally Posted by newtothegame
Not sure about where exactly you're getting your military numbers but, I find it ironic you would use those instead of public consumption.
My thought was since it is a strategic reserve, its primary purpose was military.
Either way, 30 million is about 1/25 of our total reserves.
The TOTAL reserves will last the US about a month give or take a few days.
Not correct. Physically we can only draw 4.4 million barrels a day from the storage facilities. Even if it was out only source of oil, it would last 165 days because we could not access it any faster.
I was always under the belief that in worst case scenarios, it would be used.
Nice that you failed to address the questions Mike posed.....So, if you missed them, here they are again.....WHY? Why release it NOW, when oil was down about 18% in the last few weeks? Why not when it was up around 114 a barrel?
I thought I did. I'll try again. Oil is down now. Who's to say it won't be up in a few weeks? This move was meant to discourage speculators. If oil is 90 now maybe it will be a lot lower in a few weeks. Get the speculators out of the market and leave it to people who actually take delivery of the oil they buy.
There are reports out that BO went to the Saudis to inform them of his intentions and to get their input.....WHY?
Why not? I know how you think. "Why should we ask the Saudis for permission? Obama's bowing to the Arabs again." Because if the Saudis aren't on board all they have to do is curtail production or not sell us as much oil and the whole plan is useless.
I know...as in your post...lets revert back to what BUSH did! :lol:
Just hope the BUSH thing works for you libs come election time cause that's ALL YOU ALL HAVE!

OK let's not use Bush. Clinton released some of the reserves in 2000. Gas prices fell from $2.00 TO $1.70.
Back to Bush: The second one. During his term prices rose due to the wars.
There was also the matter of him doubling the Strategic Reserve. Of course that was to protect national security. The oil man president was certainly not trying to increase oil company profits. :rolleyes: :rolleyes: :rolleyes: :rolleyes:



OK let's not use Bush. Clinton released some of the reserves in 2000. Gas prices fell from $2.00 TO $1.70.
Back to Bush: The second one. During his term prices rose due to the wars.
There was also the matter of him doubling the Strategic Reserve. Of course that was to protect national security. The oil man president was certainly not trying to increase oil company profits. :rolleyes: :rolleyes: :rolleyes: :rolleyes:


Damn!!! You've done it again. I was going to bed an hour ago and you posted something I had to answer. I'm going to find out where you live, hire a sound truck and play "Happy Days Are Here Again" while you try to sleep.
:mad:

You are too funny mosty......You can try to distort the numbers usiong what ifs all you want but these are facts!
1. As a country, we use between 18 and 19 million barrels per DAY. There are currently (minus the just released) 727 million barrels in the SPR. That equates to about 39 THIRTY NINE days worth.
Your number opf 165 days is correct, given if we can only access 4.4 million per day. Problem is, you would have total anarchy if that were to ever happen. So, we do not really know what could be released in times like those would pose.

Too funny....you explain the release as a way to try to discourage speculators, then you follow it up with "Who's to say it won't be up in a few weeks? This move was meant to discourage speculators. If oil is 90 now maybe it will be a lot lower in a few weeks."
Hillarious that your explanation is to discourage speculation and YOU ARE SPECULATING YOURSELF!!! :bang:

What do the Saudi's think our SPR is for if it's never to be used? We do NOT owe them any type of explanation at all. We have to live with the copnsequences of using it or not. Trust me,I doubt thirty days of oil will hurt them one little bit! As a matter of fact, seems they would hold more leverage if we were to use it...

Lastly, you mention coming to my house and playing music at night......lol
Might not be a good idea...we are gun toting cons down here.....:lol:

[newtothegame]

Expert: Obama's Tapping of Oil Reserves Helped China More



Tuesday, 05 Jul 2011 04:06 PM







China and other foreign markets likely benefited more than American drivers after President Obama tapped the U.S. Strategic Petroleum Reserve to relieve price pressure, according to US News and World Report. (http://www.usnews.com/news/blogs/washington-whispers/2011/07/05/analyst-tapping-oil-reserves-helped-china-more)

"Yes, the government can reduce the price of oil by suddenly releasing 30 million barrels from our reserves," says But it does not help the United States in any way. Even if it reduces the price of gasoline by 10 cents a gallon and saves the average consumer $6 a month, it does so over the entire world, not just in our country," says financial analyst David Marotta, president of Marotta Wealth Management in Charlottesville, Va.


http://www.newsmax.com/Newsfront/oil-strategic-reserve-china/2011/07/05/id/402574

[Robert Goren]

Oil prices are beginning to creep back up. Although it did provide some relief at the pump, the main thing it did was to give the short sellers a chance to cover and get long.