Via the powder blue Satan, an instant classic in the emerging genre of parody far superior to the original:
I was reminded of this when—I can see certain readers rolling their eyes already—I read the news, last September, that numerous California cities, including Oakland and San Francisco, had filed lawsuits against Exxon, BP, and several other oil companies. The cities argue that rising sea levels, caused by global climate change, driven by fossil fuel consumption, will cause billions of dollars in property damage, and that “big oil” should foot the bill for costly infrastructure projects to shore up below-sea-level neighborhoods and oceanside communities.
If you believe the science is settled and the models are correct, of course it makes sense to take a page from the “Big Tobacco” lawsuit playbook. If it were the case that Exxon and the others were acting in ways that could ruin much of the California coastline, with full knowledge of the certain results of their conduct, it would indeed be just to ask them to foot the bill for protecting our cities and communities.
But I can’t help but think of those Navy prognosticators, who probably knew more about computers than just about anyone else in the United States government but didn’t know what Silicon Valley was up to right at that very moment.
The only real way to push back against the gratuitous provocations of the NYT editorial page or the dogsh*t political coverage at NPR is to send it up, up and away. Merely disagreeing only confirms their primary, fundamental fallacy: “Hey! If both sides are criticizing us, we must be right!” – a sweet spot only further plaqued with the appearance of even-handed contrarianism. This is more like transmitting articles through a ridicule device. One can only hope it embarrasses the other Stephens and his colleagues, if for nothing else the flimsiness of their shoddy talents.
We wish they were more rare. But just as rising wages are bad news for business(?) and solar most horribly spells doom for coal, word in the oil game is that consistent catastrophes are needed for oil to remain strong:
The weakness comes at a time when speculators have started rebuilding bullish positions after a sell-off last month, betting the market will tighten in the second quarter. Yet, Brent physical oil traders say the opposite is happening so far, according to interviews with executives at several trading houses, who asked not to be identified discussing internal views.
“We need to see the market going really into deficit for oil prices to rise,” Giovanni Staunovo, commodity analyst at UBS Group AG in Zurich, said. “If this is temporary, it could be weathered, but it needs to be monitored.”
The weakness is particularly visible in so-called time-spreads — the price difference between contracts for delivery at different periods. Reflecting a growing surplus that could force traders to seek tankers as temporary floating storage facilities, the Brent June-July spread this week fell to an unusually weak minus 55 cents per barrel, down from parity just two months earlier. The negative structure is known in the industry as contango.
There’s a new word for you. And yes, many of the other words they use are the ones you know, with commonly agreed-upon definitions. I know one needs a lot of sophisticated financial knowledge to really get the subtleties of these economics, but is the overall message really lost? Of no consequence whatsoever? Yes, we can play terrible music on beautiful instruments, just as we can vote against our interests and condemn ourselves with our own words ( though it really isn’t necessary to do all three at once). Thanks to Bloomberg for delivering the straight dope in the top story today. It’s important, you know? Just like it will be to move past the market riff, as I hope to soon.
And also, the term ‘oil futures.’ FY, irony.
$5 per gallon gasoline is still in your future.
The Organization of Petroleum Exporting Countries (OPEC) isbeing chaired by Iran at the moment. And Iran thinks the run-up of the price of crude to over $90 a barrel is just dandy and requires no new OPEC meetings or adjustment of production quotas among members.
Meanwhile, the US is back to using 20 million barrels a day of petroleum, an increase of 4.4 percent over last year this time. The US, the superhog of gas hogs, uses nearly a fourth the world’s daily petroleum production despite having only a twentieth of the world’s population. Increased US demand, along with rapidly growing demand in Asia, helps account for the relatively high petroleum prices. Some analysts think you could see another big run-up in oil prices in 2011 reminiscent of 2008, with gasoline prices going to $4 a gallon by this summer and then ultimately going on up to $5 a gallon.
That and everything that goes with it will be re-run from 2008. You remember that time, when the whole country gathered around the national dining room table to contemplate living closer to work, buying lighter cars and building trains? Me neither.
And good to remember that as some will scream bloody murder at $4 gas, others would be relieved at such a bargain. Evil relativism. Good thing we just elected a bunch of know-nothings deciders to lead us on all this important stuff, i.e., we’re so screwed.