tag:blogger.com,1999:blog-5235419263414453422.post1646033539868715367..comments2024-02-23T01:30:06.101-08:00Comments on Early Warning: New IEA Oil Market Report OutStuart Stanifordhttp://www.blogger.com/profile/07182839827506265860noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-5235419263414453422.post-87052436687200216052010-01-16T10:15:54.812-08:002010-01-16T10:15:54.812-08:00KLR - I share your scepticism of that spare capaci...KLR - I share your scepticism of that spare capacity estimate. At the same time, I think it probably is an important factor that OPEC price expectations have changed <a href="http://en.wikipedia.org/wiki/Anchoring" rel="nofollow">anchor</a> level.Stuart Stanifordhttps://www.blogger.com/profile/07182839827506265860noreply@blogger.comtag:blogger.com,1999:blog-5235419263414453422.post-7856483772915137612010-01-16T09:17:10.924-08:002010-01-16T09:17:10.924-08:00We are in a price band comparable to mid-2006, whe...We are in a price band comparable to mid-2006, when we only had <a href="http://www.eia.doe.gov/emeu/steo/pub/contents.html" rel="nofollow">1.45 mb/d of spare capacity;</a> yet now EIA claims there is 4.36 mb/d of SC, and the IEA figure is even higher, with both due to rise in the coming year according to forecasts; so where is the surge of crude to tamp down prices? Or is $80/bbl the new $20/bbl? <br /><br />Bets that if we enter double dip recession territory there will be a chorus of demands that the market be flooded to bring prices down - stimulus free for the taking. Will be interesting to see if OPEC can deliver in such a situation.KLRhttps://www.blogger.com/profile/00691172491186270514noreply@blogger.com