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If now wasn't the time to use the strategic oil reserve when exactly was? Now that oil is much cheaper it can be re-filled for significantly less than the conte
by arcticbull 4y ago
If now wasn't the time to use the strategic oil reserve when exactly was? Now that oil is much cheaper it can be re-filled for significantly less than the contents were sold for, netting a large profit while also serving its purpose.
- bushbaba 4y agoThey could also buy oil futures now to refill over time without hugely impacting the current market price
- arcticbull 4y agoThe Odd Lots on this suggested the same thing, using their buying power to sell spot and buy long-dated to straighten out the price curve. [edit] Pretty sure it was this episode. [1] [1] https://podcasts.apple.com/us/podcast/odd-lots/id1056200096?i=1000567389279 https://podcasts.apple.com/us/podcast/odd-lots/id1056200096?...
- Narkov 4y agoI'm not sure the futures market makes sense when this reserve is used for emergency/war purposes.
- fsckboy 4y ago> If now wasn't the time to use the strategic oil reserve when exactly was? the strategic reserve is for times of national defense. As long as it's lowered, we are more vulnerable to expanding threats from Russia and China, with potential disruptions to supply lines. Otherwise, it's good for our oil prices to fluctuate with the market, things cost what they cost. The strategic reserve is so we have ready access to oil at any price; it's not big enough to buffer very much of world market consumption.
- deleted 4y ago[deleted]
- zzzeek 4y agoif Russia is forced to abandon their efforts in Ukraine, "threats from Russia" will not be "expanding" for a good long while after that.
- throwayyy479087 4y agoIt’s for fueling fighters tanks etc during a war, not scoring points pre-midterm. Pretty important considering Russia and China’s brinksmanship these days.