OPEC plus 1= a whole lotta pain

[eyecu2]

Originally Posted by Jacuzzme

Except that’s bullshit because it’s a futures market. Opening up, or even planning to open up, production effects pricing today regardless of if it’s actually in a pipeline.

Of course some speculation is on futures, but most oil transactions is a spot market not futures. The fact that OPEC is trying to manipulate the market by a ruse of reduction of barrels is inherently a manipulation to ensure higher $$$.

Spot pricing is what we currently pay for oil vs future contracts. Sadly oil is THE single most volatile commodity and while you are correct in that it's speculation for futures traders and often companies will buy /sell those to lock in pricing, you can be on the opposite side of the market and it can bankrupt a company if they have low cash in reserves. But the assertion that it's just futures market is just wrong.

And if it doesn't matter if it's in a pipeline or not, why are we building them?

[berryberry]

Wall Street Journal - Saudi Arabia defied U.S. requests to delay the OPEC+ production cut for a month until after the midterms, deepening the rift between the two countries, according to people familiar with the talks

So the Saudi's won't help Dementia Addled Biden try to buy votes in the midterms. LOL

It's hilarious the Senile Biden people thought they could thread the needle of destroying America’s oil industry all while banking on the Saudis to lesson the pain at the pump to help them in the midterm elections.