REWahoo
Give me a museum and I'll fill it. (Picasso) Give
There's always something looming out there to end the music:
According to one "expert" (apparently a graduate of the Gloom and Doom School of Economic Forecasting)...
Another report says this won't come to pass...
Whatever the outcome, we won't have to wait long to see who has the most accurate crystal ball. And it might be a good time to recheck your risk tolerance and AA.
https://www.businessinsider.com/theres-a-new-regulation-that-could-push-oil-to-200-by-2020-2018-7
New [2020 maritime] regulations aimed at cutting sulfur emissions could cause a shortage of diesel fuel.
The report says as many as half of world refineries cannot produce fuel that would meet the new regulations.
Oil prices could rise over $200 over the next year and a half, according to a new report.
The shipping industry accounts for about 5 percent of total global oil demand, and most ships burn heavy fuel oil that is high in sulfur. Switching over 5 percent of total demand to low-sulfur diesel and gasoil - a distillate similar to diesel - is a massive shift.
According to one "expert" (apparently a graduate of the Gloom and Doom School of Economic Forecasting)...
As the rules take effect in 2020, oil prices will spike to $160 per barrel or higher. "Economic activity will slow and, in some places, grind to a halt. Food costs will climb as farmers, unable to pay for fuel, reduce plantings. Deliveries of goods and materials to factories and stores will slow or stop," he argues. "Vehicle sales will plummet, especially those of gas-guzzling sport utility vehicles (SUVs). One or more major U.S. automakers will face bankruptcy, even closure. Housing foreclosures will surge in the United States, Europe, and other parts of the world. Millions will join the ranks of the unemployed as they did in 2008."
Another report says this won't come to pass...
Shippers switching over to low-sulfur fuels puts "the burden of innovation onto the refining industry," the report says, "but it will likely prove a lesser challenge for refiners than is commonly understood." That is because the fuels will be "fuel hybrids, the production of which will entail as much blending as actual refining." Ultimately, the report concludes, "speculation about a product supply crunch underestimates the industry's flexibility," and ignores the potential for a reconfiguration of demand and the emergence of new types of blended fuel hybrids.
Whatever the outcome, we won't have to wait long to see who has the most accurate crystal ball. And it might be a good time to recheck your risk tolerance and AA.
https://www.businessinsider.com/theres-a-new-regulation-that-could-push-oil-to-200-by-2020-2018-7