I heard a rumor that OPEC will go 300 USD / barrel this year

[TravelMug]

Rumors that the price of oil must rise is an old thing that I often hear, of course OPEC hopes to regulate prices with supply and now many OPEC countries are leaving because they can't produce anymore, and this is a sign that a lot of oil is getting more difficult, I'm sure oil prices will continue The increase is not because of OPEC's appeal but the world's demand for oil continues to increase, the USA has announced that oil demand reaches more than 15% of world production so that oil prices will continue to rise.

Irrespective of whatever statements they make, the OPEC bloc has no real reason to accept lower prices for oil. Right now countries such as Saudi Arabia are benefitting from this situation in two ways - first of all they can sell increasing amounts of oil, due to the embargo on exports from Russia. And then, they are getting more $$$ for each barrel of oil that they export. Because of stupid policies from the Biden administration, it is the ordinary people from countries like India and Russia who are suffering.

Not just India and Russia, but the whole world are now affected by the embargo on oil against the Russian. And as you have said, someone will have to benefit and it will be Saudi or at least some US ally in the Middle East. So it's going to be a battle of attrition, it looks like Putin is holding up and now putting pressure on US and it's allies regarding the war after a month.

[Sithara007]

Not just India and Russia, but the whole world are now affected by the embargo on oil against the Russian. And as you have said, someone will have to benefit and it will be Saudi or at least some US ally in the Middle East. So it's going to be a battle of attrition, it looks like Putin is holding up and now putting pressure on US and it's allies regarding the war after a month.

The war will end in a month or so, and if the oil prices continue to remain at $110-120 levels, then many of the oil consuming nations will be forced to get their crude at discounted rates from Russia. Already China and India have indicated that they are willing to purchase Russian crude. These countries face a difficult choice - either purchase Russian crude at a discount, or witness an economic recession in their own territory. BTW, the Indian government should blame themselves. When crude was trading at $40 per barrel, these guys refused to accumulate oil reserves.

[LUCKMCFLY]

I did a few searches regarding what you said and the price is rising as you already said this can be even higher and the reason is clear since Russia is supplying a big share of oil in Europe and these countries need Russia for their gas and oils the price started increasing in another hand these countries are trying to find another resource for supplying oil but this will take time and during this time of oil price if increasing sharply, can't be completely sure about it but 300 is not far at all.

If, in addition, this results in the fact that the supply of oil and gas in the USA and Europe has not been seen much in the news, it is a very big problem, the reason is simple, they have understood that they depend highly on oil and the gas, this shows that as long as there is no alternative energy that can replace them, they have to depend on these countries, and since everything is of a merely political nature, it should not be surprising that both Europe and the USA are somehow receiving oil and gas Russian without being disclosed, sometimes politics can be that dirty.

[Ultegra134]

Not just India and Russia, but the whole world are now affected by the embargo on oil against the Russian. And as you have said, someone will have to benefit and it will be Saudi or at least some US ally in the Middle East. So it's going to be a battle of attrition, it looks like Putin is holding up and now putting pressure on US and it's allies regarding the war after a month.

The war will end in a month or so, and if the oil prices continue to remain at $110-120 levels, then many of the oil consuming nations will be forced to get their crude at discounted rates from Russia. Already China and India have indicated that they are willing to purchase Russian crude. These countries face a difficult choice - either purchase Russian crude at a discount, or witness an economic recession in their own territory. BTW, the Indian government should blame themselves. When crude was trading at $40 per barrel, these guys refused to accumulate oil reserves.

Rumors have it that the war will end by May, a month or so from now, however, all these sanctions that have been put against Russia won't be lifted, thus, it's still possible that barrel could still surpass $150, despite the ceasefire. Since other Asian countries are purchasing oil at discounted prices, Russia's economy isn't hurting too much, it's ours that it's being pwned.

Anyway, could someone also explain why oil prices have frozen the past few days? They don't seem to be updating.

[spy100]

Anyway, could someone also explain why oil prices have frozen the past few days? They don't seem to be updating.

Do remember that goverments can print as much money as they want and buy all the futures contracts ,stocks,bonds they want , and nobody can verify what they are doing and when...govs can manipulate prices easy

[Sithara007]

Anyway, could someone also explain why oil prices have frozen the past few days? They don't seem to be updating.

Initially the prices rose, because a lot of people thought that Russia won't be able to sell it's crude. But that is not the case, as countries such as China, India and Indonesia are mopping up the supplies from Russia at discounted rates. Even the United States has used this opportunity to increase the imports from Russia (and that is despite the "ban"). The supply crunch for crude oil has not worsened, despite the OPEC decision to not to increase the production. Unless the new set of sanctions explicitly target countries that purchase crude from Russia (that can't be ruled out, given the pro-OPEC leanings of Biden), I foresee the prices to remain in $100-120 per barrel range.

[wxa7115]

The European countries are openly threatening sanctions and making statements about destroying the Russian market for petroleum and natural gas. And then they expect Russia to sit back and watch. Didn't worked out that well. Russia has issued an ultimatum to Germany (which receives more than 50% of its gas from Russia) to make payments for natural gas in Rubles. If the payments are not made, then the shipment of natural gas will be suspended and most of the industries in Germany will be shut down. Replacing all that gas from other sources is not viable for two reasons - first they don't have enough LNG terminals, and secondly there is not enough spare capacity from the other countries.

And that is the problem with sanctions, as if the other side is powerful enough then they can enact their own sanctions as well, in this case it is not much of a sanction but instead a way to force other governments to begin to use the Ruble which will bring strength to it and debilitate the sanctions they were trying to impose to Russia.

Now some are talking about reducing the dependence on Russian oil, but there is no way they can do this fast enough with solar, wind and other renewable sources of energy, so Europe will need to adopt nuclear energy, which is something many people oppose due to the risks of a leakage and how difficult it could be to fix it, something we saw at Chernobyl and Fukushima.

[Ultegra134]

Anyway, could someone also explain why oil prices have frozen the past few days? They don't seem to be updating.

Initially the prices rose, because a lot of people thought that Russia won't be able to sell it's crude. But that is not the case, as countries such as China, India and Indonesia are mopping up the supplies from Russia at discounted rates. Even the United States has used this opportunity to increase the imports from Russia (and that is despite the "ban"). The supply crunch for crude oil has not worsened, despite the OPEC decision to not to increase the production. Unless the new set of sanctions explicitly target countries that purchase crude from Russia (that can't be ruled out, given the pro-OPEC leanings of Biden), I foresee the prices to remain in $100-120 per barrel range.

Yeah, there's still a market for Russian oil, despite the US ban, Asian countries are purchasing at discounted prices. Anyway, the future is still vague regarding oil prices, which are highly volatile, but I also project that the price will sustain at approximately $100/barrel.

Currently, after a small surge in prices, which climbed up to $107 for Brent (from $104), prices are plummeting, with WTI Crude trending at $96 and Brent at $101 as we speak. This huge volatility is causing major concerns about the future.

[LUCKMCFLY]

Rumors that the price of oil must rise is an old thing that I often hear, of course OPEC hopes to regulate prices with supply and now many OPEC countries are leaving because they can't produce anymore, and this is a sign that a lot of oil is getting more difficult, I'm sure oil prices will continue The increase is not because of OPEC's appeal but the world's demand for oil continues to increase, the USA has announced that oil demand reaches more than 15% of world production so that oil prices will continue to rise.

Irrespective of whatever statements they make, the OPEC bloc has no real reason to accept lower prices for oil. Right now countries such as Saudi Arabia are benefitting from this situation in two ways - first of all they can sell increasing amounts of oil, due to the embargo on exports from Russia. And then, they are getting more $$$ for each barrel of oil that they export. Because of stupid policies from the Biden administration, it is the ordinary people from countries like India and Russia who are suffering.

Not just India and Russia, but the whole world are now affected by the embargo on oil against the Russian. And as you have said, someone will have to benefit and it will be Saudi or at least some US ally in the Middle East. So it's going to be a battle of attrition, it looks like Putin is holding up and now putting pressure on US and it's allies regarding the war after a month.

I think that what can drive oil to reach 300USD per barrel is scarcity or what is usually called the Law of Supply and Demand, the more demand there is, the greater the supply and therefore prices rise, and if the war continues as it goes it is likely that the price will increase much more, OPEC can simply calculate a trend, but world events and fundamentals can result in the price continuing to increase, not only of oil, gasoline, oils and everything you have What to do with oil derivatives, in some cases gas is another of the problems that we have and especially in Europe, I think that the sanctions are going more towards Europe than for RUSSIA itself.