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What determines oil prices?

 

 
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World Oil Market Outlook in Year 2019

World Oil Market Outlook in Year 2019 There is no peace in the oil .  During the three months from October to December at last year, North Sea Brent oil prices fell 40%  down from $86 to $ 50, and then, in just two weeks, on the eleventh day of the New Year , move up to $61.  Such sharp fluctuations indicative of significant developments awaiting the international economy in particular in the global oil market These fluctuations first raised questions about the reasons for the oil price rise
 

will society always be dependent om oil ? Why have we not replaced oil with a non-polluting renewable energy source  ?

As long as we depend on oil to fuel the engines of the world , it will continue to play a major role in our lives, But research is ongoing in many countires to find ways to harness new sources of energy. Perhaps on day our cars will have electricity powered engines and run on batteries that must be recharged every few hubdred kilometers . Or, perhaps the batteries will draw on the sun's energy and recharge even as we drive. Who knows what the future holds ? One thing that is certain, however
 

Why is oil priced and traded in U.S. dollars?

Why is oil priced and traded in U.S. dollars? Why is oil priced and traded in U.S. dollars? Oil is priced in dollars because through Bretton Woods the dollar was pegged to gold and everything else was essentially pegged or floated to the dollar. The world was flooded with dollars after WWII which partially led to the present American consumerism, but it also enabled the world to essentially use the dollar as they would gold. Reserves soon played a role and in order to maintain stability the
 

when did humans first learn to use Petroleum ??

Various theories have been advanced over the years as to the origin of petroleum proposing an animal, vegetable,mineral and even meteoric origin. Today, however,most scientists believe that oil and gas originated in plant and animal matter that accumulated in fine grained sediments at the bottom of ancient seas many millions of years ago . This theory suggests that oil originated as the remains of countless organisms that either lived in the sea or water deposited there with mud and silt fro
 

What way the petrochemicals products is going ?

We live in a world dependent on petrochemicals. From the cars we drive to the food on our plates, the products and materials we derive from petrochemicals are fundamental to many aspects of modern society. Plastics and fertilisers, the two largest groups of chemical sector products, are indispensable in our everyday lives. Plastics is the fastest-growing group of bulk materials in the world, and synthetic nitrogen fertilisers underpin nearly half the world’s food production
 

What are the techniques used to forecast oil prices?

The main methods used to help forecast oil prices include futures prices, fundamentals, the cost of production, the exchange rates of commodity-exporting countries, technical analysis, hotellings rule and finally todays price. This list is not exhaustive and by their nature are often used in combination with other methods and used in different ways over short and long-term forecasting periods. Futures prices as a predictor Futures prices are often used in the macroeconomic models built
 

The price of oil: How is it determined?

The oil price is not only relevant for insiders in the oil industry. It is important for the entire economy; politicians and central banks keep their eye on it. But how is the price of oil actually determined? Like every price, the price of oil is a result of the interplay between supply and demand. Plus, there is the economic environment which can lead to longer-term changes. An overview of the key factors: The supply There are different oil grades and countries where these are pr

Smoke and Mirrors in the Strait of Hormuz

Global Energy Advisory – 7th August 2019   Smoke and Mirrors in the Strait of Hormuz Iran has seized another ship in the Persian Gulf. That makes three such seizures in a month. Iran claims the ship was smuggling fuel to Arab states, and was suggesting that the tanker was Iraqi, which Baghdad denies. Seven crew members were on board, and are now detained, according to Iranian news agencies. In all likelihood, the small vessel was, indeed, smuggling fuel, but Iran is interested presently i
 

production

Without production , we can neither provide people with employment opportunities nor possess the goods and services that we are in need of.
 

PETROLEUM for humanity 

Petroleum’s importance to humankind took a giant leap in the late 1800’s when it replaced coal as the primary fuel for the machines of the industrial revolution. In today's industrialized society , petroleum means power . It provides the mechanical power to run machines and industries and also the political power that comes from being able to shut down the machines and industries of those who depend on you for their oil supply.
 

Oil Prices Have Become Unpredictable

Oil prices used to have a predictable seasonal swing. They spiked in the spring, as oil traders anticipated high demand for summer vacation driving. Once demand peaked, prices dropped in the fall and winter.

Dr.Masih Rezvani

Dr.Masih Rezvani

 

Oil Market or Oil Battleground ???

The erratic price trajectory in oil markets in recent decades can largely be explained by demand and supply curves. Although price movements are of course determined by changes in both supply and demand, the separate impact of these two factors can be disentangled . Also The world oil market has changed profoundly in the last few decades, but a few outdated conceptions persist. For example, a common misconception is that world oil is dominated by a handful of multinational corporations.  Wha
 

Iran Is Winning Big In The Middle East

With U.S. sanctions having successfully reduced Iranian oil exports to near-zero, one might think that the Islamic Republic would be on the brink of collapse. The reality, however, is that Iran has managed to build alliances across the Middle East that can be seen as a real coup in its geopolitical struggle against Saudi Arabia and the U.S. 
 

Iran in the world market

If Saudi Arabia and other neighboring countries succeed in replacing Iranian oil in world markets and if the nuclear deal does not continue , What is the fate of Iran in the world market?
 

How OPEC and OECD play their role in setting oil price in light of Iranian oil sanction ?? Does the world agree with Iran's oil sanctions ???

Does the world agree with Iran's oil sanctions ??? Oil exporting countries are seeking to stabilize high oil prices and importing countries are trying to pay a low stable price for their oil purchases, so this process can be discussed as a two-table game, and such an expression on the oil market. The oil market is a mutual monopoly market. In determining the price of crude oil, each party tries to change the price in its favor. Buyers try to cut prices and sellers try to raise prices. One of

Dr.Masih Rezvani

Dr.Masih Rezvani

 

How OPEC and OECD play their role in setting oil price in light of Iranian oil sanction ?? Does the world agree with Iran's oil sanctions ???

Oil exporting countries are seeking to stabilize high oil prices and importing countries are trying to pay a low stable price for their oil purchases, so this process can be discussed as a two-table game, and such an expression on the oil market. The oil market is a mutual monopoly market. In determining the price of crude oil, each party tries to change the price in its favor. Buyers try to cut prices and sellers try to raise prices. One of the important factors that can influence the price s

Dr.Masih Rezvani

Dr.Masih Rezvani

 

capitalist

The production elements that manufacture the products and service in capitalist economy models are raw materials,land,labor and money.

Dr.Masih Rezvani

Dr.Masih Rezvani

 

Capitalist

Because income is divided among saeholders through a kind of conflict in capialist system , capital owners and workers are considered to be rival and preference is usually made in favor of the capital owners. For this reason , it is unlikely to say that capitalist system aim at the maintenance of full employment and keep wages at desired level