Crude Oil & wholesale Diesel futures

gone

Well-Known Member
Crude Oil and diesel are rising a nice bit on the markets today because of cuts to production and a hard winter in the US.
Might be a good time to price around if thinking of filling up in the next while.
 

diesel power

Well-Known Member
Crude oil has just gone back over $60/barrel for the first time in 12 months, diesel will follow upwards over the next few days.
Given the precarious global economy these days I'd say any price increases aren't going to be massive and probably won't last long. Hopefully...
 

gone

Well-Known Member
Given the precarious global economy these days I'd say any price increases aren't going to be massive and probably won't last long. Hopefully...
Could well be right, but the other side of it is all the money that is being pumped into the world economy has to go somewhere, inflation will probably go mad when all this is over.
 

diesel power

Well-Known Member
Could well be right, but the other side of it is all the money that is being pumped into the world economy has to go somewhere, inflation will probably go mad when all this is over.
Quiet true and I for one don't think covid is going anywhere for quiet some time. One positive is money has become very cheap to borrow. The downside is has to be paid back and I'm wondering if we're eventually going to see some form of international debt write off?. I'm certainly no economist though so I might well be talking from my behind on such matters.
 
C

Cork

Guest
Quiet true and I for one don't think covid is going anywhere for quiet some time. One positive is money has become very cheap to borrow. The downside is has to be paid back and I'm wondering if we're eventually going to see some form of international debt write off?. I'm certainly no economist though so I might well be talking from my behind on such matters.
I’ve been thinking about this and posted it in the Covid thread some time ago.

Im expecting an economic boom after Covid, pent up demand and surplus money saved in many savings accounts. Add that to businesses who will ramp up prices to make use of that demand and claw back lost income.
Prices go up and we get inflation.

How do governments usually control inflation....?
They raise interest rates.

But......personal borrowing has never been so high.

Also, governments have borrowed heavily to ride out Covid.
Could big tax rises be the solution....? Curb inflation and get money to repay government debt in one go....?

Just my own thoughts, I’m not an economist.
 

gone

Well-Known Member
Crude Oil prices still rising, went over $67 / barrel today, probably worth shopping around tomorrow if diesel is needed shortly.
 

Kieran97

Well-Known Member
I’ve been thinking about this and posted it in the Covid thread some time ago.

Im expecting an economic boom after Covid, pent up demand and surplus money saved in many savings accounts. Add that to businesses who will ramp up prices to make use of that demand and claw back lost income.
Prices go up and we get inflation.

How do governments usually control inflation....?
They raise interest rates.

But......personal borrowing has never been so high.

Also, governments have borrowed heavily to ride out Covid.
Could big tax rises be the solution....? Curb inflation and get money to repay government debt in one go....?

Just my own thoughts, I’m not an economist.

There will be inflation, but I don't think it will be that high. 5% maybe tops, even then that's pretty high.

There's is a lot of capital stukc in stocks atm. The stock market is due a big correction and where the money ends up after the bubble bursts will be interesting.

US-Market-Cap-to-GDP-Chart-Goyal.png

That graph is the ratio of stock market capitalisation to US GDP
 
C

Cork

Guest
There will be inflation, but I don't think it will be that high. 5% maybe tops, even then that's pretty high.

There's is a lot of capital stukc in stocks atm. The stock market is due a big correction and where the money ends up after the bubble bursts will be interesting.

View attachment 88207

That graph is the ratio of stock market capitalisation to US GDP


Isn’t it the case that in the event of a big correction that money effectively vaporises as values of stocks, property etc drop?
 

Kieran97

Well-Known Member
Isn’t it the case that in the event of a big correction that money effectively vaporises as values of stocks, property etc drop?
Pretty much, but the sharks will get rich, the ones with the lions share will dump before the average investor knows what's going on... Whenever they do decide to pull the plug

That's 80% of US gdp or maybe more that will essentially fall into the hands of a few or disappear entirely... 16 trillion dollars
 

horsebox44

Well-Known Member
Diesel man rang this evening to say green is going up 1c or possibly 1.5c tomorrow night. The trend is upwards too he was saying....
 

gone

Well-Known Member
Diesel man rang this evening to say green is going up 1c or possibly 1.5c tomorrow night. The trend is upwards too he was saying....
OPEC& kept a lid on production causing the markets to rise, could even be a bit closer to 2c over the next 2 days as the Dollar is also strengthening.
 

gone

Well-Known Member
Big drop in the part few days @gone i see it was 68 but now down to 63
3rd wave of Covid moving East through Europe, trade wars over vaccines, not looking good for economies in 2021, some inflation is already in the system so I suspect some of the rises are permanent, but oil being dearer now during lockdown than in 2019 was just a bit of lunacy caused by excess money looking for a home, madness.
 

johndeere6920s

Well-Known Member
3rd wave of Covid moving East through Europe, trade wars over vaccines, not looking good for economies in 2021, some inflation is already in the system so I suspect some of the rises are permanent, but oil being dearer now during lockdown than in 2019 was just a bit of lunacy caused by excess money looking for a home, madness.
You think it will drop back?
 
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