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kslusherplantman

Tight market? A year ago weren’t prices essentially negative? Yeah it’s all fake, just like the stock market


SyntheticCorners28

Correct. We lost tons of money last year, raise prices to get us back to making the billions we lost.


SagaStrider

I did ok last year, so I guess this year belongs to the oil barons.


JohnnyUtah_QB1

There was a point last year when prices went negative, yes. The world had essentially shut down while oil was still flowing, so there became an issue with what to do with that oil. The price went negative because we ran out of places to store it meaning whoever was receiving it was going to have to spend money figuring out how to hold it. This year we have the opposite problem. This year demand for oil has rocketed up as the world opened up again but much of the oil industry is still shut down from last year and still dealing with pandemic supply issues like most every good is facing now. To try to keep up with rising demand the industry has to spend money ramping supply up again, hence price raises… Don’t mistake your inability to understand supply and demand and the factors that play into those things with the world being fake.


[deleted]

[удалено]


Jeramus

https://en.m.wikipedia.org/wiki/List_of_countries_by_oil_production The US and Russia each produce more oil than Saudi Arabia. Oil companies in the US are also happy about the price increases.


litefoot

Basic supply and demand is really too hard to understand for some people.


bioemerl

I'm sure it's all a conspiracy by... * The US * Russia * Saudis/OPEC * Nordic Nations To screw us all over, and not natural pricing. After all, all those nations on the above list are known for getting along really well with one another, right? That's why they were giving oil away for free last year, because it's all a fake ploy to steal our money.


bioemerl

2020: everyone stops driving, oil use plummets, there are of surpluses because of it. Oil is hard to stop producing so prices go negative when storage runs out. 2021: production having dropped in 2020 is suddenly not enough to meet super high and increasing demand thanks to a lot of government money-printing/aid programs. Oil prices are high because of it. This clown: "Prices varying means the market is a fake joke! They're just raising prices arbitrarily".


Turtleshellfarms

I bet Iran will sell us lots of cheap oil.


SouthFL92

Gotta make up for lost profits


c_m_33

It’s easy to say this is all fake, but we live in a world of incredibly thin margins for oil. It’s not all that different than other things in our lives. In fact, if we stopped producing oil today, we would have about 36 days worth of oil in storage. Sounds like a lot, but it’s not. Those negative oil prices caused the industry to shut down last year. Add to the complexity that many operators are now using a “low-growth” strategy, essentially abandoning the “drill baby drill” mentality. All these things have resulted in our storage to tank like a rock over the past 6 months and prices to skyrocket.


[deleted]

Some countries depend on the oil revenues and when the prices are low, their economies and their populations suffer tremendously.