Long term OIL

[jaysabi]

Oil will never reach the $50 per barrel mark again, period. Earlier it was difficult to extract crude oil from complex geological formations such as tar sands and shale. But with the advancement of technology, the extraction of crude from these formations can be done at a very reasonable cost (say $30 per barrel). And there are trillions of barrels of tight oil waiting to be extracted.

I disagree. I think oil will have another bull market during the next emerging countries boom but it's still a few years away.

Oil is cyclical. Three years ago, there were people just as confident that oil never would fall below $50 again. Speaking in absolutes isn't wise. I share your opinion that oil breaks $50 (and likely goes much higher) when the global cycle turns yet again.

[HarryKPeters]

The current low price makes oil a excellent investment.

While the big oil countries keep producing more and more, the price is going down and down. At 1 moment we will see such a low price that it water will cost more then oil

[jaysabi]

The current low price makes oil a excellent investment.

While the big oil countries keep producing more and more, the price is going down and down. At 1 moment we will see such a low price that it water will cost more then oil

We'll never reach that point because there is a minimum price it costs to produce oil and the price cannot remain below that point for an extended period of time, and that point is much higher than the cost of water.

[~Bitcoin~]

Assets are not always likely to rise after getting to the least mark. I have never invested on oil before and also dont like to invest in it as it is quite difficult to predict where it goes.

[deisik]

The current low price makes oil a excellent investment.

While the big oil countries keep producing more and more, the price is going down and down. At 1 moment we will see such a low price that it water will cost more then oil

We'll never reach that point because there is a minimum price it costs to produce oil and the price cannot remain below that point for an extended period of time, and that point is much higher than the cost of water.

The laws of economics simply don't work here. The price of oil could actually fall very low (down to single digits). Why? Because Saudis will pump oil at any price, never ever looking back at the cost of production (or anything that economics would dictate). Otherwise, the ruling family of the KSA will be totally and ruthlessly exterminated, and no one would give a fuck about them...



Just like they exterminate all opposition, nip brewing dissent in the bud and drown any disobedience in blood

[Bitcoinbro]

Will investing oil is just to complicated for me I just prefer doing bitcoin.
By the way yeah oil I think in long term is very valuable later there is not that much oil and the price will rise.

[Denker]

Will investing oil is just to complicated for me I just prefer doing bitcoin.
By the way yeah oil I think in long term is very valuable later there is not that much oil and the price will rise.

Yes I have also absolutely not much knowledge about the oil market.It might be very low in price at the moment and also maybe for many more years, who knows. But just because something is cheap doesn't mean it will be a good investment. Maybe we are in a war of oil production right now, and no one can foresee how long this will go.
I'll with stick with the things I have some knowledge about and focus on that.

[Altynbekova]

Will investing oil is just to complicated for me I just prefer doing bitcoin.
By the way yeah oil I think in long term is very valuable later there is not that much oil and the price will rise.

Yes I have also absolutely not much knowledge about the oil market.It might be very low in price at the moment and also maybe for many more years, who knows. But just because something is cheap doesn't mean it will be a good investment. Maybe we are in a war of oil production right now, and no one can foresee how long this will go.
I'll with stick with the things I have some knowledge about and focus on that.

Yeah with out knowledge is just not good to invest with and oil is just something that I can't deal with.
Someday oil will just disappear we will just use a friendly gas for the nature so yeah. Bitcoin will always a good investment for this time of things.
I would prefer to choose gold than oil as investment.

[LuckyYOU]

Prices of oil has been doing down lately, I'm pretty happy with this though. Gas has been so expensive.
I wouldn't invest into oil though, first because I don't know much about it, second at some point the world will run out of oil.
With bitcoin the value can only increase.

[Razick]

I'm buying USO (an oil based ETF) because it seems to me that oil is very likely undervalued over the long term.

[tyz]

Oil price will rise again. More and more drill towers are getting closed in countries like USA, Canada and even Russia because they stopped investments to find new resources and the found ones are getting exploited until end. Then we will have a shock because the demand constantly rises and offer will collapse. Just imagine the enormous potential for oil demand alone in india or Africa.

Btw. why are you posting the eagle emblem of the German government?

[Yakamoto]

I'm buying USO (an oil based ETF) because it seems to me that oil is very likely undervalued over the long term.

What do you mean by it being undervalued?

I can understand what you mean if you expect Oil to increase later to approximately where it used to be, or even increase at all, but if you think it'll go much higher than $110/barrel I'd be skeptical.

[wlefever]

Harry Dent (who BTW has been spot on for calling oil target at $32 a few months back) forecasts a price of $10-20 for the next several years. Of course it's if no major inflationnary "accident" occurs in the meantime.

Low $30s likely for some time, but $10-20 I really highly doubt it.  Was that link you posted his remarks talking about oil hitting those lows or where does he say that?

[AndySt]

Oil price will rise again. More and more drill towers are getting closed in countries like USA, Canada and even Russia because they stopped investments to find new resources and the found ones are getting exploited until end. Then we will have a shock because the demand constantly rises and offer will collapse. Just imagine the enormous potential for oil demand alone in india or Africa.

Btw. why are you posting the eagle emblem of the German government?

I agree that the oil price will start growing again after a certain time. But I disagree that Russia will greatly reduce its oil production because it's foreign exchange earnings to the economy and production costs are offset slightly by the introduction of a floating ruble exchange rate.

[Razick]

I'm buying USO (an oil based ETF) because it seems to me that oil is very likely undervalued over the long term.

What do you mean by it being undervalued?

I can understand what you mean if you expect Oil to increase later to approximately where it used to be, or even increase at all, but if you think it'll go much higher than $110/barrel I'd be skeptical.

Undervalued is the wrong word. I just mean that I'd be very surprised if oil remains this cheap very long. It might just be that it's been high for so long, but this bear market looks temporary to me. Either way, I see buying oil as hedging against high energy prices. If prices stay low, I'll benefit from low gas prices, if they rise, I'll make money on oil to help cover the cost of more expensive gas.

[justspare]

Oil? Srsly? LoL

We prolly gonna see sub 40 for the next 5 years.

Yeah. I wouldn't really invest in oil if I were you. Bitcoin is definitely a better option if you want to invest in something. Even investing in gold is better than investing in oil. Like what the hell, who invests in oil.

[DrLove2048]

I think the main difference between this oil drop and oil drops of the past is that we actually are at a point where there are feasible alternatives to oil. Technology will only push us further.

[MyBTT]

Oil has gone down quite a bit recently... With no signs of going up atm.

[ThatCryptoMan]

I think oil will rise on the long term, 35$ oil per barrel is not sustainable.

[deisik]

I think the main difference between this oil drop and oil drops of the past is that we actually are at a point where there are feasible alternatives to oil. Technology will only push us further.

People talking about alternatives to oil arising due to oil falling in price don't have a clue that low oil prices beat the shit out of these alternatives