Now for Playing Up..
April 20, 2011 § Leave a comment
I started out with this thing on a first up basis.. well now – already – we have reached the playing-up stage..
No, quelle surprise WILL NOT do!
I heard the other day how the kiwi PM slammed oil prices as culprit for higher inflation figures. They have shot up and yes, kiwis are almost wholly net importers the black stuff.. which is to say reliant on offshore-price setters. Actually, this is what officials tell their folks and constituencies because.. well.. it gets a little complicated when we get down to prices at the pump for motorists etc. My point here being the difference between actual production prices post bulk shipping etc.. and gasoline or diesel pumped up from a retail gas station’s underground storage tanks. Viz production price actual vs market price actual.
A point brought out to greater understanding in offshore media in recent times.
According to “Experts” in the industry DailyFinance.com expressed concerns that supply may be further reduced by political turmoil in Northern Africa, the Middle East, and Nigeria. Hence price hikes.
But Bloomberg reported on April 17th Saudi Arabian Oil Minister Ali al-Naimi whose country he said CUT oil production by 800,000 barrels a day in March because the market was “oversupplied”.
Confused..? Or, using that oh so medical term, contused!
Important then is WHO is saying what.
Those so-called experts look post-production don’t they.. market yes, but of their own making and not yours. So whether the PM or not I think it is important that users of a commodity know as much as it is possible to know about what the heck they are paying for. And whom.
Meantime in the risk management content stripe, I guess it is 9 liters not 10 for shopping and taking a long position on lower production. Let the richer than ye fillup and sooner not later play up the market pricing monsters..
ps: imho@home is a great new blog.. due appear any time soon.. actually up but I don’t know if you’ve gotta blog finder.