Oil Rises Above $130/Barrel as Banks Increase Price Forecast

Not logged in [Log In] [Sign Up] [Points Leaders] [My Profile]

Wednesday, August 20, 2008 5:36:42 AM

Featured Sponsor

Save 5% on gas All gas purchases get a 5% rebate with the Discover Card* Click here for more info


Add gas prices to your web site. Click here to find out how!

GasBuddy News Article

Oil Rises Above $130/Barrel as Banks Increase Price Forecast Wednesday, May 21, 2008
Bloomberg -- May 21 (Bloomberg) -- Oil rose above $130 a barrel for the first time after at least five banks raised price forecasts in the past week on expectations supply constraints will persist. Crude oil for July delivery gained as much as $1.40, or 1.1 percent, to $130.47 a barrel, the highest since trading began in 1983 on the New York Mercantile Exchange. It traded for $130.22 at 11:56 a.m. London time. Oil prices are likely to carry on rising, futures prices show. Crude for delivery in December 2016 surged $17.08, or 14 percent, in the three trading days after Goldman Sachs Group Inc. raised its forecast to $141 a barrel for the second half of the year. Yesterday, Societe Generale SA and Credit Suisse raised their forecasts for prices.
Visit Bloomberg for full article

Message Forum - Read Message

Category: Daily News Article Discussions > Topics		Add to favorite topics Post New Topic
Rate this topic: Low 1 - 2 - 3 - 4 - 5 High Avg rating: 4.0 (3 votes)

Author	Topic: Oil Rises Above $130/Barrel as Banks Increase Price Forecast	Post a Reply Back to Topics

JT Moderator	Message Posted: 5/21/2008 9:12:17 AM	Ignore JT Report Abuse
	Wednesday, May 21, 2008 Bloomberg -- May 21 (Bloomberg) -- Oil rose above $130 a barrel for the first time after at least five banks raised price forecasts in the past week on expectations supply constraints will persist. Crude oil for July delivery gained as much as $1.40, or 1.1 percent, to $130.47 a barrel, the highest since trading began in 1983 on the New York Mercantile Exchange. It traded for $130.22 at 11:56 a.m. London time. Oil prices are likely to carry on rising, futures prices show. Crude for delivery in December 2016 surged $17.08, or 14 percent, in the three trading days after Goldman Sachs Group Inc. raised its forecast to $141 a barrel for the second half of the year. Yesterday, Societe Generale SA and Credit Suisse raised their forecasts for prices. Visit Bloomberg for full article

REPLIES (newest first)

First

Next Last

POLELANE Champion Author Ohio Posts:1,450 Points:146,225 Joined:Mar 2008	Message Posted: 5/22/2008 1:49:28 PM	Ignore POLELANE Report Abuse
	something is on the up and up
Gas_Buzzer Champion Author South Carolina Posts:5,963 Points:1,015,440 Joined:Sep 2005	Message Posted: 5/22/2008 12:48:56 PM	Ignore Gas_Buzzer Report Abuse
	It was $135 yesterday.
PenDoctrJD Champion Author Orange County Posts:2,953 Points:1,287,765 Joined:Aug 2001	Message Posted: 5/22/2008 9:53:53 AM	Ignore PenDoctrJD Report Abuse
	Of course
duriarte Veteran Author Utah Posts:413 Points:72,860 Joined:May 2008	Message Posted: 5/22/2008 9:48:33 AM	Ignore duriarte Report Abuse
	At the rate the US is consuming oil and gas the demand, in my opinion will not go down.
mmene Sophomore Author Houston Posts:125 Points:45,700 Joined:May 2008	Message Posted: 5/22/2008 9:34:27 AM	Ignore mmene Report Abuse
	Actually, OPEC will never find a price that is too high. Crude will level off when demand drops to the point where buyers have power again. Or when non OPEC supplies increase.
kanmandoo All-Star Author Detroit Posts:851 Points:821,250 Joined:Jun 2005	Message Posted: 5/22/2008 9:26:32 AM	Ignore kanmandoo Report Abuse
	Crude will level off only when OPEC gets to the price they want and starts opening the flow again.
ramshot412 Champion Author Riverside Posts:11,185 Points:1,121,825 Joined:Apr 2004	Message Posted: 5/22/2008 8:56:04 AM	Ignore ramshot412 Report Abuse
	They're going to have to adjust their forecast upwards.....
tomok Champion Author Portland Posts:7,775 Points:627,135 Joined:Aug 2006	Message Posted: 5/22/2008 8:52:24 AM	Ignore tomok Report Abuse
	OMG! Now it said on the news it went over $135 a barrel this morning. Its not a forecast anymore.
RML1 All-Star Author Chicago Posts:825 Points:120,975 Joined:May 2007	Message Posted: 5/22/2008 8:49:41 AM	Ignore RML1 Report Abuse
	futures futures futures futures futures What our?????????????????
t4204life Champion Author Ohio Posts:3,872 Points:772,035 Joined:Jun 2006	Message Posted: 5/22/2008 8:48:15 AM	Ignore t4204life Report Abuse
	up,up,up,
CTDPower Veteran Author Virginia Beach Posts:488 Points:177,575 Joined:May 2007	Message Posted: 5/22/2008 8:48:05 AM	Ignore CTDPower Report Abuse
	Someone jimmied the locking gas cap on my Pacifica and siphoned about 3 gallons out. just a matter of time before we see the fuel stealing we had in the 70's where people just punch a hole in the tank and drain it.
maggiemaen Sophomore Author Wisconsin Posts:211 Points:63,735 Joined:Apr 2008	Message Posted: 5/22/2008 8:46:03 AM	Ignore maggiemaen Report Abuse
	Just keep saying prices are going up and they will!
NissanGirl Sophomore Author Oregon Posts:193 Points:111,210 Joined:Jan 2008	Message Posted: 5/22/2008 8:46:02 AM	Ignore NissanGirl Report Abuse
	This is depressing...
_angel35_ Sophomore Author Michigan Posts:194 Points:67,405 Joined:Aug 2005	Message Posted: 5/22/2008 8:45:58 AM	Ignore _angel35_ Report Abuse
	the prices at the pump always go up before a holiday...for as long as I can remember anyway...but this time I am afraid they won't come back down because soon as crude goes up, so do pump prices...altho it makes no 'rational' sense...but then again what about this whole mess IS 'rational'?
wark6 Sophomore Author Minnesota Posts:122 Points:532,540 Joined:Aug 2006	Message Posted: 5/22/2008 8:45:32 AM	Ignore wark6 Report Abuse
	AARGH!
minnow_me Rookie Author Michigan Posts:57 Points:75,540 Joined:Jul 2007	Message Posted: 5/22/2008 8:44:23 AM	Ignore minnow_me Report Abuse
	Can you say controll by energy .
CyanSquirrel All-Star Author Virginia Posts:533 Points:116,105 Joined:Jun 2004	Message Posted: 5/22/2008 8:44:16 AM	Ignore CyanSquirrel Report Abuse
	Old news...
tbybee Rookie Author Omaha Posts:65 Points:46,705 Joined:Apr 2008	Message Posted: 5/22/2008 8:41:37 AM	Ignore tbybee Report Abuse
	At what level of oil price does it become cost-effective to extract it from oil-shale?
dyeh Veteran Author Illinois Posts:345 Points:102,925 Joined:Apr 2008	Message Posted: 5/22/2008 8:40:23 AM	Ignore dyeh Report Abuse
	fairchildd: welcome to the world of fiat currency. It is indeed true that the dollar is being massively devalued by a runaway printing press; if you 'de-massage' the numbers for inflation, you get an inflation value closer to 10-14%, kind of like in the late 1970's. The dollar is getting more and more worthless faster and faster. They can do that, because the dollar is no longer backed by anything real, such as gold or silver. Look no further than the fact that a single dollar bill used to buy a silver dollar coin; now it takes $20-30. The collapse of the dollar (like the pre-WWII german currency) will collapse the economy, and the empire that relies on the currency. It is a matter of 'when,' not 'if.'
Gerund1 All-Star Author Toronto Posts:792 Points:784,120 Joined:Apr 2003	Message Posted: 5/22/2008 8:40:23 AM	Ignore Gerund1 Report Abuse
	Yep, just keep forcasting higher prices. If they forcast, it will come to pass.
tbybee Rookie Author Omaha Posts:65 Points:46,705 Joined:Apr 2008	Message Posted: 5/22/2008 8:37:55 AM	Ignore tbybee Report Abuse
	The US needs to sink some money into alternative fuel research. Just the hint that we're serious about replacing oil would bring the price down.
Chazzer Champion Author Nevada Posts:7,619 Points:1,639,135 Joined:May 2002	Message Posted: 5/22/2008 8:34:49 AM	Ignore Chazzer Report Abuse
	Of course they do!
Somis1 Champion Author Ventura Posts:4,417 Points:983,800 Joined:Jul 2005	Message Posted: 5/22/2008 8:33:28 AM	Ignore Somis1 Report Abuse
	"As more say it isn't going to get any better, the speculators know its okay to make it worse" Amen.
doulosx All-Star Author Columbus Posts:735 Points:397,555 Joined:Sep 2005	Message Posted: 5/22/2008 8:32:54 AM	Ignore doulosx Report Abuse
	What better reason do we have to drill in ANWAR?
fairchildd All-Star Author Kansas City Posts:668 Points:279,660 Joined:Aug 2007	Message Posted: 5/22/2008 8:32:33 AM	Ignore fairchildd Report Abuse
	This is starting to sound like what happened to Germany durin the second world war. People were spending their paychecks as soon as they got them because by that afternoon, prices would have gone up again. Gas is going up in price every couple of days it seems.
Dale Jr. Champion Author Iowa Posts:7,550 Points:1,519,975 Joined:May 2004	Message Posted: 5/22/2008 8:32:25 AM	Ignore Dale Jr. Report Abuse
	Bloomberg must be slow, oil closed yesterday above $133.
notsurprised Sophomore Author Portland Posts:106 Points:7,150 Joined:Mar 2008	Message Posted: 5/22/2008 8:29:54 AM	Ignore notsurprised Report Abuse
	The market is still the best way to handle the lack of oil relative to demand. Any other system would be much worse.
w4kh Champion Author Riverside Posts:3,280 Points:563,990 Joined:May 2004	Message Posted: 5/22/2008 8:28:13 AM	Ignore w4kh Report Abuse
	It isn't just the US controlling the market for oil... not even OPEC manages the demand... emerging economies like China and India are buying up every drop we don't use, and pumping more into the supply by drilling in ANWR and off-shore won't help the US price one bit! The GLOABL DEMAND will buy it up and only Big Oil gets rich! Go alternative fuel - electric car and solar panels, compressed air, other viable technologies, some of which harvest energy with less energy input than they produce - we should have these technologies!
Dennis783 Champion Author Wisconsin Posts:5,138 Points:1,030,970 Joined:Sep 2005	Message Posted: 5/22/2008 8:27:30 AM	Ignore Dennis783 Report Abuse
	As more say it isn't going to get any better, the speculators know its okay to make it worse
mvosevich All-Star Author St. Louis Posts:857 Points:179,950 Joined:Aug 2004	Message Posted: 5/22/2008 8:22:52 AM	Ignore mvosevich Report Abuse
	Ya think Hillary can end this madness?
woos777 Champion Author Washington Posts:1,153 Points:579,155 Joined:Sep 2006	Message Posted: 5/22/2008 8:21:38 AM	Ignore woos777 Report Abuse
	Just a slowdown. That's what George said.
EXTREMESNOW All-Star Author Oregon Posts:711 Points:218,610 Joined:Jul 2006	Message Posted: 5/22/2008 8:17:23 AM	Ignore EXTREMESNOW Report Abuse
	SUPPLY CONSTAINTS! KEY WORD EXPECTATIONS! WHAT A CROCK!
spc All-Star Author North Carolina Posts:620 Points:123,190 Joined:Aug 2005	Message Posted: 5/22/2008 8:16:46 AM	Ignore spc Report Abuse
	what recession?
DooDaa Champion Author Massachusetts Posts:3,273 Points:732,730 Joined:Dec 2004	Message Posted: 5/22/2008 8:15:14 AM	Ignore DooDaa Report Abuse
	Save your pennies..
ladyjj All-Star Author Tennessee Posts:693 Points:68,935 Joined:Apr 2008	Message Posted: 5/22/2008 8:12:41 AM	Ignore ladyjj Report Abuse
	Yeah what Vacation! I am going to be lucky if I can mow the yard! I guess my vac. will be spent watching the grass grow. Open it up already! Please!
eaglev All-Star Author Oklahoma City Posts:582 Points:253,920 Joined:Jul 2005	Message Posted: 5/22/2008 8:10:11 AM	Ignore eaglev Report Abuse
	Please Read John Hofmeister, who is the CEO of Shell Oil Company in front of Congress. He spells out the true reason for our oil problems. HOFMEISTER: In the United States, access to our own oil and gas resources has been limited for the last 30 years, prohibiting companies such as Shell from exploring and developing resources for the benefit of the American people. It is not a free market. According to the Department of the Interior, 62% of all on-shore federal lands are off limits to oil and gas developments, with restrictions applying to 92% of all federal lands. The Argonne National Laboratory did a report in 2004 that identified 40 specific federal policy areas that halt, limit, delay, or restrict natural gas projects. The problem of access can be solved in this country by the same government that has prohibited it. Congress could have chose to lift some or all of the current restrictions on exploration and production of oil and gas. Congress could provide national policy to reverse the persistent decline of domestically secure natural resource development. There is simply no way to keep up -- let alone get ahead of demand -- except by producing more oil and building more refining capacity. That's because of the makeup of the barrel of crude. Only a third to a half of a barrel of crude oil can be used to make these products. We can't use more than half of a barrel of oil to make diesel and aviation fuel. To meet this demand we need more capacity. So we need policies that enable both more crude supply and more refining. Higher taxes would only serve to diminish the expansion capacity of this critical capital investment. I urge you on behalf of American consumers to resist such punitive policies.
laddyboy62 Champion Author Riverside Posts:1,115 Points:902,360 Joined:Mar 2005	Message Posted: 5/22/2008 8:10:05 AM	Ignore laddyboy62 Report Abuse
	133$ this a.m.
vj24 Champion Author Michigan Posts:7,431 Points:1,364,990 Joined:May 2004	Message Posted: 5/22/2008 8:09:12 AM	Ignore vj24 Report Abuse
	I think its time to open drilling in all of the US.
Rageagainsttm Champion Author Tampa Posts:1,453 Points:341,445 Joined:Jul 2007	Message Posted: 5/22/2008 8:08:41 AM	Ignore Rageagainsttm Report Abuse
	so rude of crude
Bity Veteran Author Wichita Posts:386 Points:45,355 Joined:Jan 2007	Message Posted: 5/22/2008 8:08:27 AM	Ignore Bity Report Abuse
	no one can afford to go anywhere now. vacation? what vacation?
KellysDad All-Star Author Jackson Posts:980 Points:322,170 Joined:May 2007	Message Posted: 5/22/2008 8:08:05 AM	Ignore KellysDad Report Abuse
	SueB1863, Excellent points. One way to burst the bubble is to announce the start of domestic oil and gas exploration in ALL of the U.S. THEN, we have to follow up and START DRILLING. The threat of increasing the domestic supply and decreasing dependence on foreign sources will cause speculation to dwindle. China is already drilling in the Gulf of Mexico, so why can't we? OR, a better question: Who do you want drilling in OUR oceans - China or the U.S.? Their environmental record isn't exactly pristine! Check their coal burning power plants.
AC-302 Champion Author Los Angeles Posts:7,298 Points:1,224,405 Joined:Aug 2004	Message Posted: 5/22/2008 8:07:44 AM	Ignore AC-302 Report Abuse
	At $130/bbl, that means that the price of crude oil is about $3.10/gal. Again, that's just the raw material to make the gasoline!! Yikes!!
trkmtarv4 Sophomore Author Arkansas Posts:197 Points:62,415 Joined:Apr 2008	Message Posted: 5/22/2008 8:06:42 AM	Ignore trkmtarv4 Report Abuse
	we might look back years from now and say, "remember when the price of oil was so cheap at $140 a barrel?"
spunky4443 All-Star Author Washington Posts:690 Points:364,900 Joined:May 2005	Message Posted: 5/22/2008 8:06:02 AM	Ignore spunky4443 Report Abuse
	Well it looks like a Gloomy Memorial Day, who can afford to go anywhere????
ursidae3 All-Star Author Orlando Posts:566 Points:307,300 Joined:Sep 2005	Message Posted: 5/22/2008 8:03:28 AM	Ignore ursidae3 Report Abuse
	dont see it stopping anytime soon.
papou Champion Author Tampa Posts:2,629 Points:401,270 Joined:Jul 2005	Message Posted: 5/22/2008 8:03:14 AM	Ignore papou Report Abuse
	Investors from around the world keep buying higher futuers, whos behind this Arabs Nations
SueB1863 Sophomore Author Toledo Posts:229 Points:15,750 Joined:Apr 2008	Message Posted: 5/22/2008 8:00:25 AM	Ignore SueB1863 Report Abuse
	But what can burst the bubble? Supply is contrained and can be restricted even more, all OPEC has to do is cut back production. Hurricane season's coming up. China and India demand is growing every day. It's not like .coms or housing, there's nothing to keep oil from simply climbing and climbing. Even at $300 a barrel they'll always have plenty of buyers. It might stop skyrocketing but it won't burst ever, I don't think. Too many very powerful people are profiting handsomely.
Brockvillian Veteran Author Ontario Posts:357 Points:261,345 Joined:May 2007	Message Posted: 5/22/2008 7:58:56 AM	Ignore Brockvillian Report Abuse
	It might be time for Americans to revolt against the politicians and the oil companies and put their foot down and say, "That's it, no MORE!" Change can only happen by the people for the people.
vascojoe All-Star Author Washington Posts:714 Points:842,200 Joined:Aug 2005	Message Posted: 5/22/2008 7:58:21 AM	Ignore vascojoe Report Abuse
	Are these the same banks that gave us the sub-prime loan mess?
lleddirj All-Star Author Michigan Posts:700 Points:538,250 Joined:May 2005	Message Posted: 5/22/2008 7:52:24 AM	Ignore lleddirj Report Abuse
	Can't wait for the big depression to hit.