tag:blogger.com,1999:blog-28837843.post1824737733892102439..comments2024-03-19T07:10:27.303-07:00Comments on Quark Soup by David Appell: Peak Oil and all the CrapDavid Appellhttp://www.blogger.com/profile/03318269033139447591noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-28837843.post-57486314131774077672008-10-14T00:24:00.000-07:002008-10-14T00:24:00.000-07:00The decline in oil prices from $145 to the current...The decline in oil prices from $145 to the current $80 and the financial market turmoil is consistent with Peak Oil. Sub-prime mortgage holders, filling their cars/SUVs with $4 gasoline and buying increasingly expensive food, had little income left for housing payments. Combine this with dubious lending practices and the realization by banks that their business as usual model for leveraging loans was not valid in the face of higher energy prices has resulted in the current liquidity chaos around the world. Economic slowdown/recession/depression will require less oil causing the price of oil to drop. This is not a sign that Peak Oil is crap but is indicative that Peak Oil is valid and the current lower price of oil reflects market fundamentals. Higher energy prices induced by Peak Oil together with an ever increasing & developing world population will continue to find the "weakest link" in the free market system and wreck havoc until ample supplies of alternative energy can meet demand or per capita energy consumption declines. When the market recovers in the next 24 months as suggested, the price of oil will resume its climb... Just watch...Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-28837843.post-68626161179349177672008-10-13T21:47:00.000-07:002008-10-13T21:47:00.000-07:00Um, I think looking at short term fluctuations and...Um, I think looking at short term fluctuations and expecting them to tell you a long term story isn't going to work. The short term story might be due to market manipulations such as the blatant manipulations of the faux oil crises of the 1970's. But in the long term it appears peak oil is irrefutable, that there will come a day when oil supply inevitably declines. There may be many short term fluctuations along the way but the long term price for oil is somewhere around the moon.Anonymousnoreply@blogger.com