OPEC is collapsing

Venezuela is trying to save its own "a rse " with this move. They just sold their largest amount of bitcoin to keep the wolves at bay. Citgo is the only source they have to bring large amounts of money into their hyper inflation state and I hate to see this happen but there is no stopping the wheels that have been put in motion. Its an imminent collapse or the (wind) power taken out of the OPEC sails.

https://www.ccn.com/bitcoin-trading-volumes-in-hyperinflation-struck-venezuela-hits-record-highs/ 

https://bitcoinist.com/venezuela-record-bitcoin-october/ 

This is a strange move for a country who is an oil powerhouse as it presented to the world.   

 

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2 hours ago, Brent Hamrick said:

Venezuela is trying to save its own "a rse " with this move. They just sold their largest amount of bitcoin to keep the wolves at bay. Citgo is the only source they have to bring large amounts of money into their hyper inflation state and I hate to see this happen but there is no stopping the wheels that have been put in motion. Its an imminent collapse or the (wind) power taken out of the OPEC sails.

https://www.ccn.com/bitcoin-trading-volumes-in-hyperinflation-struck-venezuela-hits-record-highs/ 

https://bitcoinist.com/venezuela-record-bitcoin-october/ 

This is a strange move for a country who is an oil powerhouse as it presented to the world.   

 

I'm not sure that Venezuela's collapse spells doom for OPEC. But Venezuela's collapse is almost complete, with oil production on a steady fall 

"A survey conducted by the Venezuelan Industrial Confederation found more than 200 industrial companies closed shop in the second quarter of 2018 while nearly half of respondents said they were working at around 20% capacity due to the lack of raw materials," according to WSJ. People are showing up to work in factories even after the companies have gotten the heck out of Dodge.

As Venezuela's crude oil production goes, so goes all of Venezuela @jose chalhoub

image.png.9d82e10bd4f47b14e3b10fc6a84076f1.png

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Tragic and sad.

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9 hours ago, Brent Hamrick said:

Venezuela is trying to save its own "a rse " with this move. They just sold their largest amount of bitcoin to keep the wolves at bay. Citgo is the only source they have to bring large amounts of money into their hyper inflation state and I hate to see this happen but there is no stopping the wheels that have been put in motion. Its an imminent collapse or the (wind) power taken out of the OPEC sails.

https://www.ccn.com/bitcoin-trading-volumes-in-hyperinflation-struck-venezuela-hits-record-highs/ 

https://bitcoinist.com/venezuela-record-bitcoin-october/ 

This is a strange move for a country who is an oil powerhouse as it presented to the world.   

 

Monopolies can work as long as there isn't competence, the problem of wanting to monopolize everything is that you need to control everything, i mean, yeah it can be done but is dificult,

OPEC was a powerhouse in the 70's to 2000's because they were the only countries producing oil in large ammount to export it, now you got a lot of countries that found oil or can try to develop shale oil, that means that any shortcut in production they try to make will be absorbed by alternative oil suppliers, and they will end loosing because when they try to recover the production lost they lower the price of oil

So yeah, OPEC is dead

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8 minutes ago, Sebastian Meana said:

So yeah, OPEC is dead

OPEC may not have as much clout as it did in the days of the embargo, but sounding the death knell is a bit premature. They are still able to swing oil prices, sometimes with mere words (or strategic "leaks"). Russia allied itself with OPEC for the production cuts not because OPEC was dead, but because it still has some teeth even if they're somewhat wore down. 

OPEC overplayed it's hand against US shale, for sure, highlighting it's diminished power, but dead it is not. 

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21 minutes ago, Rodent said:

OPEC overplayed it's hand against US shale, for sure, highlighting it's diminished power, but dead it is not. 

0fedd6b0716977aa5fd39b49c0a609a836a4a8d2c4d891c1d6abc01f365ac1a6.png

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52 minutes ago, Sebastian Meana said:

Monopolies can work as long as there isn't competence, the problem of wanting to monopolize everything is that you need to control everything, i mean, yeah it can be done but is dificult,

OPEC was a powerhouse in the 70's to 2000's because they were the only countries producing oil in large ammount to export it, now you got a lot of countries that found oil or can try to develop shale oil, that means that any shortcut in production they try to make will be absorbed by alternative oil suppliers, and they will end loosing because when they try to recover the production lost they lower the price of oil

So yeah, OPEC is dead

Only eight years ago I started out trying to figure out the best way we could solve the "energy crisis". Well, I learned a lot and finally realized that hydrofracking and horizontal drilling would soon solve the problem. I also found out that many powerful forces on the left including Russia and OPEC would do whatever they could to stop the technological progress in we were making. I then went to work defending fracking. I don't have to do that anymore. So, yes I hope OPEC is dead for good. I think that increased natural gas use, ethanol, propane, wind, solar, etc. can all help keep the price of oil down and national economies up. Of course, those who are overly dependent on oil and gas income will suffer until they can diversify.

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5 hours ago, mthebold said:

Is it though?  Who can a population blame for such mismanagement but itself? 

So, we just sit back, eat popcorn and watch as million of people die? without even compassion? because it is their own fault? You seriously mean that or have I misunderstood you? 

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Chavez and Maduro destroyed that lucrative oil business, too self absorbed to listen to anyone in the oil business telling them what they needed to do. Too power hungry to listen. If they hadn't chased away all the talent their oil would probably be doing well right now, but by removing high up officials and putting in military IDIOTS to run that company, they destroyed any hope of keeping that alive for the country. Drained that bank dry because of stupid pride, and now the people are bearing the brunt of the repercussions from that stupidity. Who the hell in the private sector wants to listen to some jerk general that is used to spewing out orders and treating those beneath them like crap? They should all be captured and put on trial for crimes against humanity that they caused. I don't think that anyone would want to be associated with that regime now, no advise for them now, just let them fall and come in after the fall and pick up the pieces. They were warned years ago about what they were doing. I would venture to guess that Maduro isn't starving to death though, and the Venezualans have only themselves to blame for not being able to see through the smoke screen that was laid upon them. They traded their future for a few baubles, free isn't ever free, but they believed that they were getting a brick of gold when they were being handed turds painted golden. "Never underestimate the power of stupid people in large groups" as the comedian George Carlin said. And boy was he right.

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4 hours ago, Rasmus Jorgensen said:

So, we just sit back, eat popcorn and watch as million of people die? without even compassion? because it is their own fault? You seriously mean that or have I misunderstood you? 

And no, I have no sympathy for them, they made that bed and now they have to lie in it......Only an idiot believes that socialism works, for there are always those on top and those on bottom. That is not true socialism where everyone is equal. Will never happen due to the human condition....

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