I have been shouting from the rooftops for months that gas prices were going to fall and that folks would CHEER but in reality this is a BAD sign and means our economy along with that of the world is failing — I only know this from authors like this who speak the truth instead of sugar coating like our POTUS prefers — hold onto your bootstraps folks the ride is just getting bumping the big hills have yet to come!
“A little over a year ago, I wrote an article that explained that anyone that believed that low oil prices were good for the economy was “crazy“. At the time, many people really didn’t understand what I was trying to communicate, but now it is becoming exceedingly clear. On Monday, one veteran oil and gas analyst told CNBC that “half of U.S. shale oil producers could go bankrupt” over the next couple of years…
Half of U.S. shale oil producers could go bankrupt before the crude market reaches equilibrium, Fadel Gheit, said Monday.
The senior oil and gas analyst at Oppenheimer & Co. said the “new normal oil price” could be 50 to 100 percent above current levels. He ultimately sees crude prices stabilizing near $60, but it could be more than two years before that happens.
By then it will be too late for many marginal U.S. drillers, who must drill into and break up shale rock to release oil and gas through a process called hydraulic fracturing. Fracking is significantly more expensive than extracting oil from conventional wells.
Since the last recession, the energy industry has been the number one producer of good paying jobs in this country.”
The Financial Crisis Of 2016 Rolls On - China, Oil, Copper And Junk Bonds All Continue To Crash
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