Saudi Arabia Tells Trump No More Oil

[FormerOstrich]

Source: Forbes

Saudi Arabian Crown Prince Mohammad bin Salman responded publicly to President Donald Trump's recent spate of Tweets and statements concerning oil. While the President has been asking for Saudi Arabia to increase oil production to flood the market and keep prices down, the prince said no. This is a risk for Saudi Arabia, because Saudi Arabia has always depended a great deal on the United States --even its currency is pegged directly to the U.S. dollar--and the Trump administration has shown that it will take a hard stance on economic issues even with its closest allies.

This week, oil prices reached highs not seen in four years. The international benchmark, Brent, hit $86 per barrel and the U.S. benchmark, WTI jumped to over $76 per barrel. U.S. President Donald Trump has been unrelenting in his public and private pressure on OPEC and Saudi Arabia to produce more oil and lower prices. After all, from his perspective, the increase in prices is a result of his new sanctions against Iran - which Saudi Arabia fully supports - and therefore, Saudi Arabia should deploy its spare capacity to ensure that American consumers don't face undo pain at the pump.

Read more: https://www.forbes.com/sites/ellenrwald/2018/10/05/saudi-arabia-tells-trump-no-more-oil/#3a6ca56e6dfc

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and in other news.....Prince Mohammad bin Salman is going to fall out of good graces if he keeps this up.

Plus...I think I heard something about a (Saudi) journalist critical of the crown prince that went missing when he entered an embassy for paper work to wed and he never came back out...I'll have to look that up...for another thread.

[Anon-C]

1. Trump does nothing of consequence to lower oil prices and in reality wants them high.

They made a grand bargain and support for oil at this price per barrel or higher is a given.

[Wellstone ruled]

2. Pocket book issue that will

sway those so called Trump supporters. Can't buy the gas to get to work.

[Racerdog1]

22. Most trumpanzees don't work

They are the tough live off the land dumbshits that can't rub two nickels together.

[Wellstone ruled]

25. Some are so broke they can't rub two nickels together,

but the largest majority are just folks who have deep seated belief system,because of educational deficiencies,or social issues that tend to blame others for their plight in life.

Happen to know several people who more than enough nickels to rub together,in their case it is Racial Bigotry that rules their believe system. All are retirees,and they get most of their Info form Fake noise.

Again it has to do with social environmental and belief systems. And with each passing year,that group becomes less meaning full.

[TexasBushwhacker]

5. Frankly, I'd rather oil prices stay high

The longer they stay high, and keep gasoline prices high, the more people will buy vehicles that aren't gas guzzlers. Whenever the price of gas stays low for too long the sale of big ass trucks and SUVs goes up. That may be good for the US auto makers, but it's hell for the environment. Thete's really no good reason for the price of oil and gasoline to be artificially low. I'd rather it be higher and stable.

[Anon-C]

7. In principle I agree. In reality it hurts.

[TexasBushwhacker]

9. Of course it hurts

But, as someone living in Texas, the oil price rollercoaster causes pain too. Just ask the thousands of people who get laid off when the price of oil plummets. Homes go into foreclosure, causing the price of existing homes to plummet. Great if you're a homebuyer, but if you need to sell you'd better hope you aren't underwater on your mortgage. Low prices on existing homes means fewer new homes being built, which means fewer jobs in the construction industry and around and around. Lower prices for homes means lower property tax revenue for local governments.

I don't want oil to go up over $100 a barrel, but I think most folks value energy independence for the US too. If the price per barrel drops to $60 or lower, it just means we'll be more dependent on imports and that's not great either.

[Mosby]

18. It's a double edged sword

High oil prices make fracking profitable, and sustained high prices will encourage frackers to explore and drill more.

[saidsimplesimon]

26. Mosby, I agree.

It seems The Sword of Damocles awaits regardless of the direction we move without Democratic control of Congress.

[shanny]

21. I agree.

The higher the price of oil, the faster renewables will undercut that market (and, as a sideline, the more blame gets heaped on Rump).

Win for the planet, win for green industry, win for resistors.

[TexasBushwhacker]

32. Not to mention, sustainable jobs

If the price of oil continues to be volatile, there will be jobs during the boom times and massive lay offs during the bust times. Having stable jobs in the green economy makes so much more sense for our future. I hope we can get solar to a sustainable price that can provide manufacturing jobs here in the US. As it stands now, far too many solar panels and other components are manufactured overseas.

[shanny]

33. plus a zillion

[Bfd]

28. He does indeed want oil prices high. Just not before the midterm election

After he's protected by the SC & Kavanaugh from prosecution of his criminal deeds, and voter suppression is well in place with no SC to ever rule against it, Oil Prices can soar & the Roseneft Stocks handed out for Party favors in return for loyalty will payback big dividends.

He states he doesn't want prices at the pump to go up, like he gives a shit about the Americans who fill their gas tanks, but what he's actually saying is, "Just not yet. Not till after the election".

It's all a shell game.

[progree]

3. Fears mount over Saudi journalist (Jamal Khashoggi) missing since entering consulate

Fears mount over Saudi journalist missing since entering consulate, Guardian 10/5/18
Riyadh urged to cooperate after no news on whereabouts of critic Jamal Khashoggi

The Washington Post has published a blank column in its Friday’s print edition and a blank page on its website to highlight the disappearance of one of its regular writers, Jamal Khashoggi, as the mystery deepens over the Saudi journalist’s whereabouts.

Khashoggi has been missing since he entered the Saudi Arabian consulate in Istanbul after midday on Tuesday. His fiancee, Hatice Cengiz, waited outside until midnight.

His visit was related to filing for a divorce, but he had reportedly expressed concerns about his safety beforehand. Turkish authorities believe he remains inside the consulate, while Saudi officials say he left the compound.

Khashoggi is one of the Arab world’s most prominent journalists and commentators. He is an outspoken critic of Saudi Arabia who has dared to defy Crown Prince Mohammed bin Salman, widely believed to the kingdom’s de facto ruler.

More: https://www.theguardian.com/media/2018/oct/05/fears-mount-saudi-journalist-jamal-khashogg-missing-since-entering-consulate-instanbul

[FormerOstrich]

16. Thank you, progree!

[Bernardo de La Paz]

4. Higher oil prices make Putin happy but Trumpanzees sad. . . . nt

[Starfury]

15. Exactly. Russia's #1 Source of Income...Oil & Natural Gas

From Wikipedia

Russia relies on energy revenues to drive most of its growth. Russia has an abundance of oil, natural gas and precious metals, which make up a major share of Russia's exports. As of 2012 the oil-and-gas sector accounted for 16% of GDP, 52% of federal budget revenues and over 70% of total exports.[33][34] Russia is considered an "energy superpower".[35][36] It has the world's largest proven natural gas reserves and is the largest exporter of natural gas. It is also the second-largest exporter of petroleum.

Not a coincidence, I suspect... Too bad Trumpanzees never get clued in that they're only helping Putin.

[Anon-C]

27. This is why oil prices are high.

[Pope George Ringo II]

6. Ted Cruz owes the Saudis for this. Other TX GOP candidates would if their elections were close

Texas has really diversified since the 70s, but higher oil prices do still help the state. Cruz voters know he's slime, but this is the sort of thing they use to convince themselves that Republicans are doing good work.

[KCDebbie]

8. Can you guess who we will be buying oil from instead?

[moonseller66]

11. Maybe...

Or will this be leverage to open more public lands to oil exploration so his current American Buddies can rape more of our wilderness?

He'll tell the public the only way to keep its cars running "cheaply" would be to get more good ol' U.S of A. oil.

Arctic Reserve? Ba-Bye!
National Parks? So long!
Grand Canyon? Mine it for America!
Make American Gas Again!

And the rednecks will be "Hell yeah. We need more Nascar and gas guzzling pickem ups!"

It's obvious trump isn't smart enough to come up with this on his own. So who really is running the country?

[BumRushDaShow]

13. Yeah but that won't help the short-term supply problem....right before an election!

[Fred Sanders]

24. Since none of that is ever going to happen except in corporate dreams why sow division?

Reading the issue in the article is then unnecessary.

[BumRushDaShow]

12. Yeah but their problem is getting it out of the ground first

That's where Rex Tillerson was supposed to come into play. But... oops.

[Jose Garcia]

19. Please read the article

The issue is that the Saudis won't sell more oil to the US, the issue is that they wont sell more oil. Less oil in the market means higher prices.

[INdemo]

10. So did Trump do this so his buddies could buy oil futures knowing

crude was going to increase...Trump could also telegraph them after a meeting and convince the Saudi's to increase production so they could buy short...
I don't think Trumps motives has anything to do with the price of gas..he just wants to keeps his friends happy... his friends could earn millions in on day

[Firestorm49]

14. Well isn't he "special"

This bullshit is coming from the one who chastised Obama for not getting oil prices down while Obama was President. The Great Orange Head stupidly bragged that he could do it in a week before being UNPOPULARLY ELECTED. Well, Mr. Big Shot, WTF!!

Sorry, but I’m a bit upset today that we couldn’t get even two Republicans to show reason over the Kavanaugh appointment hearings. And as for Manchin, he once again chose re-election security over country. As far as I am concerned, Manchin should just as well change parties.

[marble falls]

17. Looks like cheetolini's pals are giving him the air.

[Maxheader]

20. Way beyond my comprehension...

Maybe dementia boy understands this?

The 9% increase in oil prices over the past 3 months, he said, is the fault of financial speculators, not a lack of supply. He's right, but the market and the speculators didn't believe him.
------------snip-----------
We believe the higher price that we have in the last month, it’s not because of Iran. It’s mostly because of things happening in Canada, and Mexico, Libya, Venezuela and other countries that moved the price a little bit higher.

[Fred Sanders]

23. Saudi Arabia is an evil, repressive monarchy belonging in the Dark Ages.

But they Got Oil!

America bows to the Gods of Oil.

[DeminPennswoods]

29. Thought trade wars were easy to win

nt

[JCMach1]

30. If it stays under $100 a barrel KSA goes broke

[lindysalsagal]

35. KSA?

[JCMach1]

38. Kingdom of Saudi Arabia

[Flash953]

31. If the price stays high there will be more work at home and people will burn less oil

I remember the last Oil problem we had in the early eighties. The only thing that keeps most americans from burning more oil is the cost. If the cost is hi people will conserve. when the cost is low those same people will buy the gas guzzling Cadilac suburbans. Higher price for oil more workers working in the US less of a carbon footprint. Most people unfortunately care more about creature comforts in the here and now than what will happen to the planet.

[FormerOstrich]

36. Work from home...

I wish that the nation's workforce was restructured so there were more options with the aim of reducing commute time. However, it doesn't seem to me there is an increase attributed to oil prices. I have always thought the lack of flexibility will contribute greatly to our demise.

Twice a day, every workday, millions of people crawl to the office on public roads, spewing pollution along the way. The corporate overlords do very little to alter these habits. Too many middle management are on power trips and feel threatened if they can't visibly see their minions doing the busy work.

You are correct in that higher prices impact sales of the gas guzzling vehicles. But, sadly, I don't believe the higher prices help bring positive change to how we view or workplaces and workspaces. Less vacations, less larger vehicles, but meaningful overhaul....nope.

[lindysalsagal]

34. Methinks the Saudis aren't owned by Putin, so, 45 is sol. No leverage.

And they're not even on twitter, so, he can't bully them. Spiking prices will be a drag on his wonderful economy.

Only question unanswered is how the unwashed deplorables will blame this on Obama.

[Socal31]

37. This feels a little contrived to me.

USA and KSA are tied at the hip, even more so now that there are multiple Sunni/Shia proxy wars that require our weapons, munitions, and Intelligence to sustain. Saudi pilots aren't running sorties on Yemeni funerals with indigenous hardware.

In the new world where we are again the top energy producer, OPEC is not nearly as in control of the price of a barrel of oil. If it sits over $100 for too long, the US wells that went silent will start right back up again, pushing the price back down.