{"id":1087,"date":"2014-11-04T06:32:30","date_gmt":"2014-11-04T11:32:30","guid":{"rendered":"http:\/\/olduvai.ca\/?p=1087"},"modified":"2014-11-04T06:32:30","modified_gmt":"2014-11-04T11:32:30","slug":"why-the-current-oil-glut-could-lead-to-a-price-spike","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=1087","title":{"rendered":"Why The Current \u201cOil Glut\u201d Could Lead To A Price Spike"},"content":{"rendered":"<p><a href=\"http:\/\/oilprice.com\/Energy\/Oil-Prices\/Why-The-Current-Oil-Glut-Could-Lead-To-A-Price-Spike.html\">Why The Current \u201cOil Glut\u201d Could Lead To A Price Spike<\/a>.<\/p>\n<p style=\"font-weight: inherit; font-style: inherit; font-size: 1em; font-family: inherit; vertical-align: baseline; padding: 0px; margin: 0px 0px 1em 0px; border: 0px initial initial;\">Back in March 1999 &#8220;The Economist&#8221; magazine carried a\u00a0<a style=\"font-weight: inherit; font-style: inherit; font-size: 14px; font-family: inherit; vertical-align: baseline; color: #24606c; text-decoration: underline; outline-style: none; outline-width: initial; outline-color: initial; padding: 0px; margin: 0px; border: 0px initial initial;\" href=\"http:\/\/www.economist.com\/printedition\/1999-03-06\">cover photo<\/a>\u00a0of two men drenched in oil as they attempted to close a faulty valve that was spraying a huge stream of crude skyward. Over the photo was the headline: &#8220;Drowning in oil.&#8221; At the time it really did seem as if the world were drowning in oil.<\/p>\n<p style=\"font-weight: inherit; font-style: inherit; font-size: 1em; font-family: inherit; vertical-align: baseline; padding: 0px; margin: 0px 0px 1em 0px; border: 0px initial initial;\">The previous December\u00a0<a style=\"font-weight: inherit; font-style: inherit; font-size: 14px; font-family: inherit; vertical-align: baseline; color: #24606c; text-decoration: underline; outline-style: none; outline-width: initial; outline-color: initial; padding: 0px; margin: 0px; border: 0px initial initial;\" href=\"http:\/\/www.eia.gov\/dnav\/pet\/hist\/LeafHandler.ashx?n=PET&amp;s=RCLC1&amp;f=D\">crude oil on the New York Mercantile Exchange touched $10.72 per barrel<\/a>. That month\u00a0<a style=\"font-weight: inherit; font-style: inherit; font-size: 14px; font-family: inherit; vertical-align: baseline; color: #24606c; text-decoration: underline; outline-style: none; outline-width: initial; outline-color: initial; padding: 0px; margin: 0px; border: 0px initial initial;\" href=\"http:\/\/www.eia.gov\/forecasts\/steo\/realprices\/\">U.S. gasoline prices averaged 95 cents per gallon<\/a>. &#8220;The Economist&#8221; opined that\u00a0<a style=\"font-weight: inherit; font-style: inherit; font-size: 14px; font-family: inherit; vertical-align: baseline; color: #24606c; text-decoration: underline; outline-style: none; outline-width: initial; outline-color: initial; padding: 0px; margin: 0px; border: 0px initial initial;\" href=\"http:\/\/www.economist.com\/node\/188131\">oil might go down to $5 per barrel<\/a>.<\/p>\n<p><span class=\"Apple-style-span\" style=\"color: #393939; font-family: Arial, Tahoma, Verdana, Helvetica, sans-serif; font-size: 14px; line-height: 20px;\"><\/span><span class=\"Apple-style-span\" style=\"color: #393939; font-family: Arial, Tahoma, Verdana, Helvetica, sans-serif; font-size: 14px; line-height: 20px;\">But, of course, in retrospect the magazine&#8217;s cover proved to be the perfect contrarian indicator, for oil had already begun its historic ascent toward $147 per barrel. The 2008 price spike was the culmination of a 10-year bull market that had begun in December 1998.<\/span><\/p>\n<p>&#8230;click on the above link to read the rest of the story&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Why The Current \u201cOil Glut\u201d Could Lead To A Price Spike. Back in March 1999 &#8220;The Economist&#8221; magazine carried a\u00a0cover photo\u00a0of two men drenched in oil as they attempted to close a faulty valve that was spraying a huge stream of crude skyward. Over the photo was the headline: &#8220;Drowning in oil.&#8221; At the time [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3],"tags":[589,592,595,596],"class_list":["post-1087","post","type-post","status-publish","format-standard","hentry","category-energy-2","tag-oil-demand","tag-oil-price","tag-oil-production","tag-oil-supply"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/1087","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1087"}],"version-history":[{"count":0,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/1087\/revisions"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1087"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1087"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1087"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}