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Non-Tech : Kirk's Market Thoughts -- Ignore unavailable to you. Want to Upgrade?

To: Kirk © who wrote (2431)	12/16/2014 1:38:23 PM
From: Jerome	Read Replies (3) \| Respond to of 26862

Hi Kirk, I believe that the price of crude is more like a poker game. The big players keep up production and keep lowering the price to flush out the weaker hands. A lot of the crude oil is sold on a short term contacts. If a major player like the Saudi's did not lower production or prices they could find themselves locked out of the market until new contracts were bid. For whatever reason Putin remains very popular in spite of Russia's economic problems. The Russians are just like the Americans in that when things go poorly for them...they blame Obama. Brazil imports zero oil. Brazil uses pure ethanol and combinations of gasoline and ethanol (50% ethanol, 50% gasoline). If you ever get to Brazil be very careful at the gas station because there at least six different blends of ethanol and gasoline. The source of ethanol in Brazil is sugar cane. The plants that make the ethanol have a very strong sweet smell that is somewhat overwhelming. As far as I know Brazil has been free of importing crude for about ten years. It has taken Brazil 25 years to get where they are now . (free of imported crude). They are probably a model for other countries that want to kick the crude habit.