SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : The coming US dollar crisis
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Real Man who wrote (25157)12/3/2009 3:37:32 PM
From: Tommaso  Read Replies (1) of 71475
 
>>>Consumer prices are currently kept at crude-equivalent levels. <<<<

Now, Vi, that is not true, if you mean BTU-equivalent levels. If that were true, natgas would be higher than $10. The current price makes it a great bargain in terms of BTUs (which suits me fine since I heat my house and hot water with it).

What is likely is that cheap natgas will restrain or even lower crude oil prices. It can't do that quickly because most easy switching has been done, and to retrofit cars and trucks and buses to run on natgas is expensive. But when it becomes clear tha abundant natgas is hear to stay for many years, then there should be conversions.

I don't hear anything right now about vehicle conversions, so there's not much support for additional consumption. Even nitrogen fertilizer consumption is restrained.

I would hope that the U. S. would recognize this gift of additional cheap energy and invest in renewable and nuclear energy. But energy policies are almost always short-sighted.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News