Oil rises again to $ 51.07 a barrel

Oil rises again to $ 51.07 a barrel

Thursday, 03 September, 2015


Oil prices rose on Thursday, after it was dragged down by a sudden increase in US stock levels.

It rose blend “Brent” in the price of futures contracts for delivery in October / October by 59 cents a rate of 1.14% to $ 51.07 a barrel, after he had dropped earlier in the day by about 20 cents to $ 50.30 a barrel.

And stepped up US crude futures for delivery in October / October by 82 cents a rate of 1.77% to $ 47.08 a barrel, after falling in earlier trading to $ 45.65.

Data from the US Energy Information Administration on Wednesday showed crude oil stocks in the United States increased by 4.7 million barrels last week, the largest weekly increase since April / April last.

http://alrayy.com/151800.htm

Good news for Iraq, but still about 30% below what is needed for them to meet budget.

When one looks at the oil market one finds that the prices are dependent on the amount of product sent to market or withheld from same.  It it well known that there is always a multitude level of oil available - regardless what they tell you, look at what the reserves are - to be marketed.  The deciding factor(s) are many and varied.  Mostly it is how the oil producers release the oil for sale.  They CLAIM it is a demand business, however WE all know that the demand is always there. 

Think home heating fuel, jet fuel (military and domestic), industrial fuels and lubricants, domestic fuels and lubricants, industrial products using oil or oil based materials for products, manufacturing demands and many others that you all can come up with as easily as I.  All of this had a constant baring upon the price of oil.  Then we consider the futures markets.  Where does it end? 

In a few words:  the price of oil as a volatile as the product(s) it(them) selve(s). 

There will always be this up and down fluctuation that will have a positive or negative affect.  That is the nature of the beast.  BASICALLY, it is what it is and it becomes what it becomes.  We mortals really have nothing to do except accept the inevitable and move on with our lives.  There is no election when commodity pricing is on the table.   A high price benefits some while a low price benefits others, there appears to be no middle ground.

As to how it affects Iraq?  How it also affects all the rest of the world?  I'd say about the same.