Oil will be high for a while

[Serge3]

No one knows for how long this war can go on. It can be weeks or months. But a lot of people seem to think that once the war ends, everything will go back to normal. That is not the case. Oil prices are going up now and for every day that companies struggle to operate, the closer they are to bankruptcy. Maybe the big companies would be fine but even them are struggling. To expect that once the war ends, everything will go back to how it was before would be foolish. It will take a while for everything to go down low, if things were to bounce back to what we used to consider normal.

We are not quite sure about this. Investors and Economists will try to lower the prices for higher purchasing power, to try and increase the prices again. All we can do is to speculate it, but its better to try being optimistic about things. Same thing happened during the pandemic where gas prices rose but tben significantly dropped after a few months during 2023.

[rbynxx]

No one knows for how long this war can go on. It can be weeks or months. But a lot of people seem to think that once the war ends, everything will go back to normal. That is not the case. Oil prices are going up now and for every day that companies struggle to operate, the closer they are to bankruptcy. Maybe the big companies would be fine but even them are struggling. To expect that once the war ends, everything will go back to how it was before would be foolish. It will take a while for everything to go down low, if things were to bounce back to what we used to consider normal.

As long as Trump and Netanyahu is in the office and they stick on their ideologies it will go on and as long as Iran continue their retaliation without a possible resolution. Nah, I doubt that this was more like a war that would to inflate economies globally. I hope it will be all bullshit to all and not just one sided because the only winners here are those who stands atop and the losers are the taxpayers that pays the government. It will probably decrease but not that the same speed as this price increase.

[dansus021]

Oh my god its already 2 weeks been past and gonna hit 3 weeks now right?

The oil price reach 120$ per barrel. Just my opinion that US and Israel is hurting their people too when the war explode I mean OIL is really important for the economy itself atleast for now when the price is spike it could lead into long long domino effect.

and I do aggree with most people here this could be the new normal In trading persepctive this could be the new support zone that as a major support. even the war stopped tomorrow I believe the effect would need time to heal

[Die_empty]

For now, instead of complaining about the war and its negative effects, let's just focus on increasing our income as there's no other way to survive with all these high priced life's commodities.

No I disagree with you, when the price of oil goes high, it has a ripple effect on the economy, this ripple effect affects productivity, it affects transportation, gives a shockwave to the economy because most times government were not prepared for it as fiscal policies might not be on ground to curtail it. So if tell people to increase their income, you are literally telling the government not to tackle the issue head on.

Everyone would have to devise different means to overcome the challenges brought by this war. Some governments are responsible that they have began to roll out policies which would help citizens suffer less from the situation at hand. Welfare packages like subsidies, increased pay, and others are already in place.

But when you live in a country with an irresponsible government which careless about the sufferings of the masses, you would have to come up with strategies to overcome this problem. In such countries, people would have to seek alternative sources of income because the government doesn't care.

[rezakurnia66]

Oh my god its already 2 weeks been past and gonna hit 3 weeks now right?

The oil price reach 120$ per barrel. Just my opinion that US and Israel is hurting their people too when the war explode I mean OIL is really important for the economy itself atleast for now when the price is spike it could lead into long long domino effect.

and I do aggree with most people here this could be the new normal In trading persepctive this could be the new support zone that as a major support. even the war stopped tomorrow I believe the effect would need time to heal

Almost three week since the high tension between Iran, Israel and United State make the oil price reach and stable around 120$ per barrel, Iran won't give up after get attacking from Israel and United State then stop permanently Strait of Hormuz, which is the only route for oil shipments from the Middle East.
I think has one solution how to make oil price back to normal if Iran giving allow operation at Strait of Hormuz opening for all countries exactly the country still depend on oil from the middle eastern. Wish the tension between Iran, Israel and United State have solution in short term to make oil price back to normal and stable.

[Akaenyi]

No one knows for how long this war can go on. It can be weeks or months. But a lot of people seem to think that once the war ends, everything will go back to normal. That is not the case. Oil prices are going up now and for every day that companies struggle to operate, the closer they are to bankruptcy. Maybe the big companies would be fine but even them are struggling. To expect that once the war ends, everything will go back to how it was before would be foolish. It will take a while for everything to go down low, if things were to bounce back to what we used to consider normal.

It is normal that after a war things will not be in a hurry to come back to normal, it will take sometime for life to be going on as usual. Oil price is already high and we expect it to be so for a while but after the war settles down it won't be too long before oil price will return to normal.

I'm saying this because Iran is not the only oil producing country, if they don't supply other countries have enough to go around. As for the strait of Hormuz I believe that if an agreement is not reached about vessels passing through, that will only be where delay to normalcy will be experienced. Technological advancement will necessitate oil companies to find alternative means so that their businesses will be running smoothly.

[DanWalker]

No I disagree with you, when the price of oil goes high, it has a ripple effect on the economy, this ripple effect affects productivity, it affects transportation, gives a shockwave to the economy because most times government were not prepared for it as fiscal policies might not be on ground to curtail it. So if tell people to increase their income, you are literally telling the government not to tackle the issue head on.

Everyone would have to devise different means to overcome the challenges brought by this war. Some governments are responsible that they have began to roll out policies which would help citizens suffer less from the situation at hand. Welfare packages like subsidies, increased pay, and others are already in place.

But when you live in a country with an irresponsible government which careless about the sufferings of the masses, you would have to come up with strategies to overcome this problem. In such countries, people would have to seek alternative sources of income because the government doesn't care.

Even if you are fortunate enough to live in a country with a responsible government that has implemented policies to support its citizen during this difficult time. You also shouldnt be complacent because nobody know when this war will end and how long your government can continue to provide support.

Conflict in the Middle East and soaring energy prices are beyond the control of most governments. We should find solution ourselves instead of relying entirely on the government, because if the situation worsens and becomes beyond their capabilities. They will abandon us too.

[fruktik]

If oil price could fall to $50-60, that would be even lower than before the war broke out. That is a rather bold prediction.

I do not know what basis you have for making that prediction. But in my opinion, with the war still escalating, oil prices have not yet peaked, let alone fallen in the next few week.

Furthermore, if you believe that war do not happen naturally and that there are vested interests behind them. Oil prices are unlikely to fall anytime soon.

What's the basis for my vision? It's simple. There are interested speculators with inside information. Who are they? For example, Trump's son. Before his father got involved in Iran, this guy bought tens of millions of dollars' worth of oil. He knew it. That's sarcasm. So I'd venture to guess that this trend won't last long. After all, you have to sell the slop to make money. And what does that require? That's right, end the war. It's incredibly simple. So the red-haired clown is already trying to end the military conflict, but he doesn't understand that he's fallen into a trap from which it will be difficult to escape with the snap of a finger. He'll have to be stupid to do it.

[crwth]

There would definitely be a change in the geopolitical landscape regarding the shipping statistics from the Strait of Hormuz. The current oil report would probably be a drastic conclusion on what has happened.

Imagine if the country had no strategic petroleum reserves; it would face a crisis. There's no stabilization in the oil prices. This affects my country now, and it's currently hard to move around because of this. You are lucky if your country has a strategic reserve.

[mindrust]

My oil stawks are printing at the moment. That’s they say there is always an opportunity in the markets. I bought those oil stawks when nobody wanted them. When oil was evil. When they said oil has 10 years leftt, electric vehicles will take over and kill oil. That’s exactly when I bought because I knew these fools were on euphoria. Oil is here to stay. Oil is the backbone of the civilization. Let’s see how those windmills and solarpanels function when there is no oil. Instead of focusing on oil alone, search for the other opportunities in the markets. There are always some.

[bhadz]

While our country has a buffer stock that's being used and sold by the gas companies now, they're giving us an update that we won't have that much stock anymore of oil because of what's happening in the Strait of Hormuz. Now, what the gas companies did was they have raised already the price of oil while selling those stock that they have bought cheaply. Today and next week, they're going to increase again and that's significantly going to increase around $2.5 per liter of crude oil or diesel. That seriously is overpricing while being sold with the cheap oil. That's business yes but that's not considerate. 

[barbara44]

Even if you are fortunate enough to live in a country with a responsible government that has implemented policies to support its citizen during this difficult time. You also shouldnt be complacent because nobody know when this war will end and how long your government can continue to provide support.

Conflict in the Middle East and soaring energy prices are beyond the control of most governments. We should find solution ourselves instead of relying entirely on the government, because if the situation worsens and becomes beyond their capabilities. They will abandon us too.

Everyone should be careful for sure, but nations like Norway for example will not care that much because they have both oil, and also a huge treasury worth trillions that can sustain during this time without hurting the pockets of its citizens. They already have a high tax rate, but they also pay it back by providing everything for the people as well.

Liberalism fooled people that you need to pay for everything yourself individual, and made you forget the power of collectivism and how a group is stronger than an individual. You do not want to fight 1 vs 100, but you are willing to do that when it comes to your health and pick your own insurance company for some reason. USA will be hurt because of this, but smart nations won't be.

[Cookdata]

No one knows for how long this war can go on. It can be weeks or months. But a lot of people seem to think that once the war ends, everything will go back to normal. That is not the case. Oil prices are going up now and for every day that companies struggle to operate, the closer they are to bankruptcy. Maybe the big companies would be fine but even them are struggling. To expect that once the war ends, everything will go back to how it was before would be foolish. It will take a while for everything to go down low, if things were to bounce back to what we used to consider normal.

Why do you say maybe big companies will be fine. The oil price is global, both small and big are getting hit with the change in price. If there is anyone that will suffer the consequences, they are the consumers. Expect increased in the price of their products, the more cost of energy the more people are going to pay for these products, small companies are big companies will surely survive and I'm not sure there is anything close to bankruptcy, they are far from it except if the company is already in financial struggle.

I was watching Donald Trump and for the first time since this war started, I was happy he folded. He said he didn't expect Iran to attack the neighboring countries where there is their interest and I wonder if he think he is silly or daft to think he is going to bully a country and then get away from it. If you are going to start a war, you should be prepared for the consequences. I guess man wasn't prepared at all, he wanted to show power and he got it global crisis instead.

[ndutndut]

No one knows for how long this war can go on. It can be weeks or months. But a lot of people seem to think that once the war ends, everything will go back to normal. That is not the case. Oil prices are going up now and for every day that companies struggle to operate, the closer they are to bankruptcy. Maybe the big companies would be fine but even them are struggling. To expect that once the war ends, everything will go back to how it was before would be foolish. It will take a while for everything to go down low, if things were to bounce back to what we used to consider normal.

It seems this war is unstoppable. Iran may have no chance of winning, but it must hold out as long as possible until all its opponents suffer significant losses. A prolonged war will undoubtedly worsen oil prices impacting all sectors. Furthermore, Iran has cut off the second oil route used to bypass the Strait of Hormuz and attacked a crucial facility for oil supplies from the Persian Gulf. They have targeted oil refinery in the port of Yanbu Saudi Arabia. Amid the blockade of the Strait of Hormuz this is the only major export hub for crude oil from the Gulf states.

Furthermore, Iran's latest attack this week on Qatar severely damaged the world's largest liquefied natural gas (LNG) export facility. So, while this war is no longer limited to attacks on military bases, it has also spread to oil refineries. This will undoubtedly drive oil prices even higher, and even if the war ends recovery will take a long time to return to normal.

[bakasabo]

War was never limited with attacks on military. More effective is to attack resources than to attack something like base that has defense system. Iran, by attacking everyone around are going to drag this war for a long period. Now, when prices already went up noticeably on recourses people are already in slight panic, but imagine what will start when prices on food or other products starts to climb due to increased delivery and manufacture cost.

[DrBeer]

No one knows for how long this war can go on. It can be weeks or months. But a lot of people seem to think that once the war ends, everything will go back to normal. That is not the case. Oil prices are going up now and for every day that companies struggle to operate, the closer they are to bankruptcy. Maybe the big companies would be fine but even them are struggling. To expect that once the war ends, everything will go back to how it was before would be foolish. It will take a while for everything to go down low, if things were to bounce back to what we used to consider normal.

From the perspective of the oil market, what is currently happening to the global economy can be compared to a complex surgical procedure in which a patient undergoes major surgery to remove, say, a tumor, and their blood pressure fluctuates during the operation. At that moment and for some time after the surgery, the body will predictably exhibit certain deviations from normal readings. But after rehabilitation, the global economy will return to a stable state.

[Fortify]

No one knows for how long this war can go on. It can be weeks or months. But a lot of people seem to think that once the war ends, everything will go back to normal. That is not the case. Oil prices are going up now and for every day that companies struggle to operate, the closer they are to bankruptcy. Maybe the big companies would be fine but even them are struggling. To expect that once the war ends, everything will go back to how it was before would be foolish. It will take a while for everything to go down low, if things were to bounce back to what we used to consider normal.

At the moment it looks like neither side has any particular control of the situation, even if Trump declared "victory" he has admitted just today that they've killed so many people in the Iranian leadership he doesn't know who he would be negotiating with to end it. On top of that Israel is trying to stoke the flames all the time and will happily keep America pinned into the Middle East now they've concentrated so many troops there. You can see that by the attack on the Iranian gas fields which America did not touch previously, Israel hit them and caused massive economic damage to the whole world. This is going to keep on escalating because it is Trumps style and he doesn't know how to back down, nor will the Iranians back off. It's a complete mess.