April 20, 2020...the day the world changed.

Dave Taylor

Dave Taylor

Rex kwan Do
My truck is still full of equity shorts. I mark this day as a day the world has changed for any country that relies on oil. The world is going to get crazy. Saudi Arabia, Russia, Iran, Canada, Iraq, China, the USA. When oil producers have to pay to take oil away because you can’t just stop the production and transport then these countries will be forced to PRINT money. I have a horrible feeling about the future of the world.

I din’t want to be doom and gloom but more of a realist. In my mind the COVID-19 and the virus that caused it is merely the straw that broke the camel’s back. What’s next? Oil producer bailouts? Mega inflation? Weekly paychecks from the government?

I love you all like family and hope that I am 100% wrong but hold your friends close and your family closer. I feel like we are in for a hell of a ride...unchartered territory. What does negative oil prices even mean?

 
RobW

RobW

Well-Known Member
first


hope you’re wrong but as I see it... this will be happening as well. In the manufacturing world things are coming to a halt very quickly. We were once a company who at this time of the month would be at 1.9M in sales... we are barely at 1M. Months of closing in on 3M was an exciting time and I really hope to get back to that. My machines don’t like to sit idle.
 
Last edited:
w_b

w_b

Well-Known Member
Easy there DT, the commodity price didn’t go negative, just the May futures price, which closed yesterday (or today, I forget.) This is a limitation of the oil futures market, and futures trading in general. Basically you are betting what the price will be at a future point in time. If you are buying May futures right before May, it is logical you intend to physically take possession of said commodity almost immediately. Nobody needs to sit on anymore crude for awhile. Simple, too much supply and not enough demand. If you want to help, stop hugging and start driving. Go buy a car in Virginia or take a drive to Moab to pedal.
 
Dave Taylor

Dave Taylor

Rex kwan Do
pooriggy said:
Oh, now DT is the economic indicator.

Dave, if it is the end of the world, it's going to happen with or without you.

I think you are thinking too much.
Click to expand...
I didn’t say it was the end of the world. Only linked to a song that suggests the end of the world as we know it. I truthfully believe you are witnessing a huge change of wealth. A US dollar that will become worthless. You don’t have to agree @pooriggy and you can just make fun of me for my thoughts, fine. I hope I am wrong and I hope I can laugh at myself down the road. Unfortunately I think you will see these great oil producing countries return to 3rd world nations of great poverty. You can’t spend a country’s gdp to give away your gdp. You will go broke. $1/barrel of oil is no joke.
 
Dave Taylor

Dave Taylor

Rex kwan Do
The Kalmyk said:
I’ve been seeing a lot of information on stress/anxiety; whether how to manage it or how much people are having onsets. Tough time to try and fix either.
The Buddhist would bisect this for you @Dave Taylor...

As it is
AND...
Up to you.

Hope everything works out for you Dave.
Click to expand...
This stuff doesn’t make me nervous. I like to embrace change as well as challenges. These are just my thoughts. My mind thinks batshit crazy thoughts just like @pooriggy goes batshit crazy in a race.
 
Patrick

Patrick

Overthinking the draft from the basement already
Staff member
so russia is paying us to fill the strategic petroleum reserve! that is where the $$ for incentive checks will come from.
someone also paid for those futures - and the spot market was lower. oh well. this is the result of market forces.
perfectly normal.

with gas at $2/gal, i may need to go get another yukon xl....and this is how things balance out.
 
Santapez

Santapez

Well-Known Member
Team MTBNJ Halter's
Patrick said:
so russia is paying us to fill the strategic petroleum reserve! that is where the $$ for incentive checks will come from.
someone also paid for those futures - and the spot market was lower. oh well. this is the result of market forces.
perfectly normal.

with gas at $2/gal, i may need to go get another yukon xl....and this is how things balance out.
Click to expand...
In a month a brand new Yukon XL AND a Miata will be cheaper than a Yukon XL a month ago.

Just sayin...
 
w_b

w_b

Well-Known Member
JerseyPete said:
And you are not in jail.
"we have a full tank of gas, half a pack of cigarettes, it's dark and we're wearing sunglasses"
Click to expand...
fix the cigarette lighter.

jimvreeland said:
All I know is I bought a V8, gas is 2 bucks a gallon and the streets are empty, these are good times to be alive.
Click to expand...

indeed. I am eyeing the 100-gallon tank on Ya Sista'z A$$ as a great place to temporarily store some mid grade 89 octane. Extremely temporarily.
Annotation 2020-04-21 094214.png
Fish on.
 
You must log in or register to reply here.
Top Bottom