Reply #2: Question. [View All]

[Captain Angry]

Was supply grossly overestimated 8 years ago to be worthy of the price it saw then?

Is price currently correlated to supply, or futures markets speculation that is being used to hide money from the falling dollar?

In my opinion, supply exists, a lot of it is in places that will be very expensive to extract it. We need to get off of oil for many reasons. Rather than send huge platforms to the seabed or drill in the arctic, we should just get off the stuff.

But I don't think that current pricing has any connection whatsoever to peak oil. Oil pricing fluctuates now on potential Chinese demand, Nigerian pipeline issues, hurricane season, summer driving season, the dollar's strength, etc.

If something happened that would make the normal stock markets a more desirable place to be again, I'd bet serious money that the price of oil would fall $40.00 a barrel since so much of the inflated price is just the investors that are hiding there. Much like gold.