Oil Futures

[Jolly]

@Doctor-Phibes said in Oil Futures:

Oh, that's really not good for anybody working in the petrochem industry.

Hurts us, fer shur.

[George K]

Can't find the link right now, but earlier I read that gasoline sales are down 30% across the country.

[jon-nyc]

May futures expire tomorrow. If you're long you gotta accept delivery. There's no where to store it. In theory it could go negative.

[Mik]

Good time to replenish the strategic reserve.

[jon-nyc]

If you only have storage capacity for n barrels, barrel n+1 is industrial waste.

[jon-nyc]

Yes it is, Mik.

[Loki]

How much can we charge to store it?

If you look way out I think it’s still 45 a barrel.

[Jolly]

@Mik said in Oil Futures:

Good time to replenish the strategic reserve.

The feds have been doing that, haven't they?

[jon-nyc]

@Loki said in Oil Futures:

How much can we charge to store it?

If you look way out I think it’s still 45 a barrel.

Not that high, but yeah, this is all about storing oil at 3pm on Wednesday in Cushing, Oklahoma.

[jon-nyc]

[Mik]

Man, if you had a place to store it.....

[jon-nyc]

I'd love to know what's happening behind the scenes right now on the physical side.

It's gotta be crazy.

[Mik]

We have room for another 90 million barrels right now. We should get it.

[89th]

I don't really understand oil futures. Maybe I'm the only one.

[89th]

I mean, I've google'd but still... what a different world to do business in.

[George K]

One dollar.

One.

[Improviso]

It just hit 10 cents a barrel.

[Improviso]

Negative : -1.43 a barrel. Unbelievable.

[Improviso]

At this rate, they are going to pay us to fill up our cars.

[89th]

Sooooo........should I buy Halliburton?

Is this just reflecting the surplus in supply, minimal demand, and no place to store the actual dinosaur juice?