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> You might not have noticed, but OPEC is dead. Are you sure? OPEC's November 30th deal moved world oil prices drastically in every direction. For a dead entit
by module0000 10y ago
> You might not have noticed, but OPEC is dead.
Are you sure? OPEC's November 30th deal moved world oil prices drastically in every direction. For a dead entity, they sure seem to exert change upon the living.
PS: I'd love for OPEC to die also, but I think they are very much alive, albeit less relevant than 20 years ago.
- module0000 10y agoTo add...look at yesterdays oil price movement within 10m of this article's release: http://www.valuewalk.com/2016/12/opec-oil-cuts-not-structural-shift-gs/ http://www.valuewalk.com/2016/12/opec-oil-cuts-not-structura... OPEC is still alive and well, and even speculating about their deal's success is pushing prices wildly.
- nl 10y agoThat's exactly the same Goldman analysis I linked to. They revised prices by $2. This is not the OPEC who could move prices by 50% or credibly threaten to cut off supply.
- yessql 10y agoThey moved oil prices a few percent. If they managed to move it much more, the US and other non OPEC countries are going to increase production, because more resources become economical. On top of that, we now have a wide range of viable plug-in cars. If oil were to get up to $100/barrel again, lots of people would switch to a car that can cover 90%+ of their driving on electricity. $4/gallon gas really hurt our SUV market, but now we can make it a 20 kWh hybrid and avoid the pain at the pump.