Re: Price of Bitumen?
in response to
by
posted on
Jan 11, 2009 11:26PM
Connacher is a growing exploration, development and production company with a focus on producing bitumen and expanding its in-situ oil sands projects located near Fort McMurray, Alberta
"Did Speculation Fuel Oil Price Swings?
Watch that vid. too.The analist which I was referring also pointed to that fact.If you should ban all the side markets like 'futures,options,Warrants and other lots of products which is mainly used by hedge funds then the markets would behave more rational.These guys are not buying anything but just speculate to win in the up or downside.They never buy are sell oil or future related products etc...
So that's why I always said it's better to watch the trend of the stocks then let you drive by media and press artickles.If a price takes of to rapidly from the average lines then something is wrong.
But what we have now is that oil price has moved to another situation.Instead of overbought i'ts now oversold.Today Saoudis announced another cut .
But the danger now is that due to the collapse of the price many investments are put on hold or cancelled.So like Brian has once said this will make an inflationary situation again once demand will come in line with supply or get over it.THen they will not be ready to cope again with that situation.