In 1973, oil prices quadrupled overnight when tensions in the Middle East escalated.

Discussion in 'Economics' started by AndrewLokenauth, Jun 18, 2025.

  1. ktm

    ktm

    Ahh the good ole days. How much fun was it back then to have a shiny new Ford Pinto and know that if you got rear ended at a red light that you had 4 tenths of a second to get out before it exploded?

    Good times.
     
    #11     Jun 20, 2025
  2. SunTrader

    SunTrader

    Jimmy Rogers also said this century would be China's turn to lead.

    1/4 of the way thru not so far, though Dotard II lately is helping somewhat make this closer to reality.
     
    #12     Jun 20, 2025
  3. maxinger

    maxinger


    When China has > 15 aircraft carriers (and thousands of J10 or better) and can sail off the coast of Maine to Florida to Texas, then it is China's turn to lead.
    But new superpower will bring new problems.
     
    #13     Jun 20, 2025
  4. SunTrader

    SunTrader

    No - Jimmy Rogers regularly wore and might still wear bowties.

    And note, crude in the $70's currently is not what I would consider ... spiking.
     
    #14     Jun 20, 2025
  5. lx008

    lx008

    when Europe tried hard to keep oil price low to hurt Russia,
    Israel can always stand out to boost price of oil
     
    #15     Jun 21, 2025
  6. newwurldmn

    newwurldmn

    it was the beginning of the downfall of Detroit who couldn’t adapt.
     
    #16     Jun 21, 2025
  7. Picaso

    Picaso

    Exactly

    147 USD oil in 2008 would be 221 in 2025, so, it would have to double from last week's prices to make ATH - and triple if adjusted for inflation
     
    #17     Jun 22, 2025
  8. As the marginal supplier (cost of extraction) we can ramp up supply but only if the rally is persistent.
     
    #18     Jun 22, 2025
    nbbo likes this.
  9. SunTrader

    SunTrader

    Meanwhile thanks to bombs away and earlier greenlight given to the Jews (as if TACO would really had a say in the matter) guess refilling the SPR ain't as important as he made it out to be when Biden's was still in WH.
     
    #19     Jun 22, 2025
    demoncore likes this.
  10. Nine_Ender

    Nine_Ender

    There are counter forces on Oil medium term ( eg the tariffs may lead to a US economic slowdown ) so realistically the war moves WTI to $70-80 range instead of $60-70 imo. All the calls for $50 Oil were nonsense most US producers and Saudi Arabia can't operate profitably under $60 and will cut production. Of course short term a spike higher is possible but $90 or $100 is more realistic unless that artery of 20% of the world's Oil shuts down. Trump of course may follow Biden's SPR selling but his "drill baby drill" idea was never going to happen most US producers are signifying flat to lower production next year. You can't just find new production if you can't feel good about price, govt policy, or the economy a year out.

    Of course things can be unpredictable in this area.
     
    #20     Jun 22, 2025
    Picaso likes this.