Crude Oil hits $81 a barrel.

[Palerider957]

First time in history.

 

[siucavflight]

Good.

 

[~~~^~~~]

What?

 

[vectorvictor]

Actually, corrected for inflation, oil was higher priced (value) during the embargo in the early 80's. That being said were still looking at oil prices about 160% of what they were just three years ago. I would be surprised by oil topping $100 a barrell in the next three years. Wait till a hurricane rips a few dozen rigs out of the ground again......

 

[~~~^~~~]

Actually, corrected for inflation, oil was higher priced (value) during the embargo in the early 80's. ...

That is comforting - that is when the airlines my Dad flew for went out of business.

 

[vectorvictor]

That is comforting - that is when the airlines my Dad flew for went out of business.

Nah don't worry the government will just step in a regulate fuel prices just like they lowered the Fed today a half point so all the idiots who bought houses on 5 year interest only ARMS don't get foreclosed on. Next stop communism.

 

[Palerider957]

Actually, corrected for inflation, oil was higher priced (value) during the embargo in the early 80's. That being said were still looking at oil prices about 160% of what they were just three years ago. I would be surprised by oil topping $100 a barrell in the next three years. Wait till a hurricane rips a few dozen rigs out of the ground again......

Absolutely true, but the $81 mark is noteworthy. A lot of traders are positioning for $85+, with talk of $100......I'm trying to figure out when to go short.

 

[BoilerUP]

......I'm trying to figure out when to go short.

Many, many talking-head energy traders are saying the fundamentals are not there to support $80/bbl anything beyond short-term speculation, especially in another few weeks when the threat of Gulf weather subsides.

They also said oil would likely rise of the fed cut the prime rate more than a quarter, saying a half percent would mean the market could remain bullish (and fools would have plenty of credit available to keep buying, buying, BUYING).

 

[AC560]

Nah don't worry the government will just step in a regulate fuel prices

I assure you that will never happen again as anyone who lived through the madness of Jimmy Carter can attest. What happens when the government fixes a price below the cost of the product? People quit selling the product and you end up with signs at all your local gas stations, saying "No Gas".

 

[Crash Pad]

It's at $81 because the dollar is losing value and oil is traded in dollars. I like Gold as the dollar collapses.