Oil price crashes

[Flyinspanner]

So watching the news tonight, and oil price has crashed to MINUS $40 per barrel.

So how much will Shell pay me to fill up the CL500?

 

[markjay]

I need to check with Westminister council how many barrels of crude I can legally store in a residential flat. Anyone knows a good Courier that can pick up a delivery in Texas for me?

 

[Teego]

WTI has gone negative at -$34.88 the last time I looked. That's -291% on the day.
It's true. They will pay you $34.88 a barrel to take it off their hands.
So Putin and the Saudis are in deep shit now. What the management consultants used to call a new paradigm environment. They wanted to take out US shale and buy market share but forgot to leave themselves an escape route.
Hmmmm, battles are usually won by the side that ****s up least.
Agincourt and Waterloo come to mind

 

[Screwdriver]

Does this mean that the Arabs and Russians will GTFOutta London now?

 

[Teego]

Does this mean that the Arabs and Russians will GTFOutta London now?

Maybe some cheap Lambos and Paganis coming to market.

 

[unimog]

If the Arabs and Russians get out of London all I can say is I hope you like where you live, because you won't be moving or selling up unless you are giving it away. I think everyone is about to get a taste of 80's style negative equity again.....

 

[Fununcle]

If the Arabs and Russians get out of London all I can say is I hope you like where you live, because you won't be moving or selling up unless you are giving it away. I think everyone is about to get a taste of 80's style negative equity again.....

It's only us crude that has gone negative yesterday and as June trading starts today will not stay there. Saudi and Russian oil still a positive, if low price, so wouldn't worry too much about knightsbridge house prices just yet.

 

[grober]

Depends on which benchmark you quote your oil price in? At present Brent crude [ European markets ]seems to be holding up slightly better than West Texas Intermediate [US markets] said to be a reflection of distribution/storage/ geography costs and demands of the various world markets

Brent vs. WTI Crude Oil - What is the Difference?

Not all oil was created equal. There are actually a variety of factors that we use to differentiate between them, such as the API gravity (the measurement of an oil’s density relative to water). Inside we explain the differences between WTI crude vs. Brent crude...

www.energyandcapital.com

That's before you factor in that oil is still traded in American dollars and whether the price of oil may ultimately be reflected in the strength of said currency in the world's financial markets???

 

[GeeJayW]

That's what happens when there is no demand for a product for which there is huge over supply. Market opportunities like this don't come along very often and some people (i.e. those with the nerve to invest in the right stocks) will be making huge money out of all of this when the lid comes back off.

Think Trading Places.

 

[MikeInWimbledon]

This is a lot of fuss about nothing. Nothing being a technicality about the way that oil prices are a "future" - a commitment to delivery on a specific contract date. Yesterday's unique blip was about overtrading on last month's contract which was for delivery today.

The underlying price hasn't changed much, being just gloriously low. At least until Russia and Opec restrict production from 1st May onwards.

Good luck, EV salespeeps. As we always said, if demand for a fuel drops, so will its price. Which is fine if you're justifying EV's on the back of city pollution and environmental factors, rather than cost.

Now, back to move important matters: anyone got any ideas on how to redevelop the 50,000 pubs in the UK which probably won't be allowed to reopen in 2020 ? Maybe convert them into.... banks ? Or Jobcentres ?

.

 

[Deleted member 6183]

This is a lot of fuss about nothing. Nothing being a technicality about the way that oil prices are a "future" - a commitment to delivery on a specific contract date. Yesterday's unique blip was about overtrading on last month's contract which was for delivery today.

The underlying price hasn't changed much, being just gloriously low. At least until Russia and Opec restrict production from 1st May onwards.

Good luck, EV salespeeps. As we always said, if demand for a fuel drops, so will its price. Which is fine if you're justifying EV's on the back of city pollution and environmental factors, rather than cost.

Now, back to move important matters: anyone got any ideas on how to redevelop the 50,000 pubs in the UK which probably won't be allowed to reopen in 2020 ? Maybe convert them into.... banks ? Or Jobcentres ?

.

Is the massive photo there just in case we don't know what pubs look like?

 

[ChipChop]

This is a lot of fuss about nothing. Nothing being a technicality about the way that oil prices are a "future" - a commitment to delivery on a specific contract date. Yesterday's unique blip was about overtrading on last month's contract which was for delivery today.

The underlying price hasn't changed much, being just gloriously low. At least until Russia and Opec restrict production from 1st May onwards.

Good luck, EV salespeeps. As we always said, if demand for a fuel drops, so will its price. Which is fine if you're justifying EV's on the back of city pollution and environmental factors, rather than cost.

Now, back to move important matters: anyone got any ideas on how to redevelop the 50,000 pubs in the UK which probably won't be allowed to reopen in 2020 ? Maybe convert them into.... banks ? Or Jobcentres ?

.

Alongside the empty pubs you also have the rest of the non corporate high street shops put out of business. Most will never reopen.

All that will be left is the Amazon parcel lockers where you can collect your made in China crap and the supermarkets.

 

[zipdip]

Storage and demand has driven the price of a barrel,whats annoying is I still have half a tank of £1.21 a litre,it's £1.08 now think all the money I would have saved if I could still drive around.

 

[artyman]

I don't foresee such gloom and doom, when we all get released I suspect a trip to the pub will be pretty high on everyone's list, people will be huingy so restaurants will fill again, and those who have a penchant for shopping will visit clothes and shoe shops once more. Charity shops will be inundated with jigsaw puzzles that we've all been doing during the lockdown........ life will restart.

 

[Dazsw]

Storage and demand has driven the price of a barrel,whats annoying is I still have half a tank of £1.21 a litre,it's £1.08 now think all the money I would have saved if I could still drive around.

Yep but if you could still drive around, the oil price wouldn't have crashed

 

[MikeInWimbledon]

Is the massive photo there just in case we don't know what pubs look like?

Yes, to re-emphasise that it's the building where we don't have a cat's chance in hell of social distancing, so it's likely to be the last venue on the high street re-open.

Given that pubs have only ever been teetering on the edge of profitability, shored up Asset plays built on the (now collapsed) high street property values, its very hard to see how pubs can survive, even if , even if, the Government caves in and lets them open again in time for.... Christmas?

OK, we won't carry on with the two metre rule. That'll get junked. But the pub is THE place where people are sharing tight spaces, reusing tables and glasses constantly, and are crammed in tight with one another at the peak times. And they were only just still in business in 2019 - then only as property plays.

 

[Deleted member 6183]

Alongside the empty pubs you also have the rest of the non corporate high street shops put out of business. Most will never reopen.

All that will be left is the Amazon parcel lockers where you can collect your made in China crap and the supermarkets.

Sigh

 

[Jukie]

According to a BBC analyst this morning when asked if fuel prices would drop, I said "No" before he did! He then trotted out the usual stuff about all the duty on the cost of a litre and taking that into consideration along with the refining process, he reckoned the actual cost of crude oil in a litre of fuel was 12.5p!

 

[GeeJayW]

According to a BBC analyst this morning when asked if fuel prices would drop, I said "No" before he did! He then trotted out the usual stuff about all the duty on the cost of a litre and taking that into consideration along with the refining process, he reckoned the actual cost of crude oil in a litre of fuel was 12.5p!

Believe it or not, the oil companies don't really make a lot of money on fuel sales. It's basically somewhere to move on the stuff they can't utilise more profitably. In essence, the retail fuel sector just about wipes its own nose.

 

[Deleted member 6183]

Believe it or not, the oil companies don't really make a lot of money on fuel sales. It's basically somewhere to move on the stuff they can't utilise more profitably. In essence, the retail fuel sector just about wipes its own nose.

Someone on this forum was trying to make out that filling station site managers set their own fuel prices last year, bonkers.