AI
Sunday, July 16, 2006 3:04:02 PM
Oil - Why is it approaching $80 per barrel?
In a nutshell, the traders are worried that the supply chain through the Strait of Hormuz will be interrupted. Almost 100% of OPEC's oil is shipped through that perilous waterway. Additionally Iran has threatened to cut off its own exports of 2 billion barrels of oil it supplies to the world.
What will happen to oil if Israel doesn't stop its Mideast clean-up with Palestine and Lebanon? Is there an agenda to stop Iran's nuclear program? I have already seen ties with the current conflict to Iran in the news.
Bush appears to have signaled the green-light to Israel. Given his weakness in the West, Israel is left with no other choice but to stop Iran themselves. When the president of a rich country like Iran goes on television saying Israel needs to be wiped off the map, that's a declaration of war.
What will happen to oil when Iran is attacked by Israel?
15% of the Mideast export supply of oil comes from Iran. A lot, but not enough to create an oil shortage crisis. Around 40% of that is shipped to Europe. The U.S. buys none. An oil production shut-down in Iran is not the real problem for the world. The problem comes as Iran cuts the supply of oil that comes through the Strait of Hormuz from Saudi Arabia and other OPEC countries.
The most likely scenario is a quick end to Iran's ambitions, their military, their Government, and their clerics so as not to disrupt this supply line. The nuclear ambitions of Iran and its threats against Israel have triggered the beginning of a nuclear war. Israel is now swatting its noisy neighbors and paving a path to Iran.
Personally I would be surprised if Iran isn't a smoldering heap of ashes within the next few years. Hopefully before Manhattan and Washington DC are reduced to one.
In a nutshell, the traders are worried that the supply chain through the Strait of Hormuz will be interrupted. Almost 100% of OPEC's oil is shipped through that perilous waterway. Additionally Iran has threatened to cut off its own exports of 2 billion barrels of oil it supplies to the world.
What will happen to oil if Israel doesn't stop its Mideast clean-up with Palestine and Lebanon? Is there an agenda to stop Iran's nuclear program? I have already seen ties with the current conflict to Iran in the news.
Bush appears to have signaled the green-light to Israel. Given his weakness in the West, Israel is left with no other choice but to stop Iran themselves. When the president of a rich country like Iran goes on television saying Israel needs to be wiped off the map, that's a declaration of war.
What will happen to oil when Iran is attacked by Israel?
15% of the Mideast export supply of oil comes from Iran. A lot, but not enough to create an oil shortage crisis. Around 40% of that is shipped to Europe. The U.S. buys none. An oil production shut-down in Iran is not the real problem for the world. The problem comes as Iran cuts the supply of oil that comes through the Strait of Hormuz from Saudi Arabia and other OPEC countries.
The most likely scenario is a quick end to Iran's ambitions, their military, their Government, and their clerics so as not to disrupt this supply line. The nuclear ambitions of Iran and its threats against Israel have triggered the beginning of a nuclear war. Israel is now swatting its noisy neighbors and paving a path to Iran.
Personally I would be surprised if Iran isn't a smoldering heap of ashes within the next few years. Hopefully before Manhattan and Washington DC are reduced to one.
Quote 03-19-08
"Yes, we must, indeed, all hang together, or most assuredly we shall all hang separately." ~Benjamin Franklin to John Hancock
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