When the Iranian Oil Minister speaks, we better hope that no one in the Democrat Congress is listening. The "Iranian Oil Minister Gholam Hossiein Nozari said on Saturday that a price of under 100 dollars for a barrel of crude oil is "unsuitable." Now, oil prices are too low, the Iranian minister says. Where does he get his numbers? Who knows? Who's going to investigate? The MSM?
But with the concerns of an Iranian minister and his fact-less utterances, who will care once the situation becomes ‘dire.'
"Unfortunately despite decrease in oil prices we have not seen any signs of a decrease in the costs" of oil production, he [the Iranian minister] added.
Asked for a forecast on prices, he said there had recently been such wild fluctuations that "five to 10 dollars up or down can not be analysed."
Nozari blamed the current economic crisis in the United States and its effect on Europe for the fluctuations.
Again, Nozari has no numbers, but mainly, it's America's fault.
Presently, the price of a gallon of gas has fallen significantly (so fill your tank now). A drop in oil prices doesn't concerned regular people the way people in government are concerned-especially foreign governments.
"Prices have plummeted from record highs above 147 dollars in July.
There have been worries that the slowing global economy would reduce demand for crude, and data published on Friday underscored that.
What I do recall is that fact the high gas prices contributed to the slowing of the economy. As prices fall, consumers will have that extra cash, usually spent at the pump, to spend on themselves! So, again, what's the problem? But the MSM always tweaks up the panic by quoting some dire figures:
Government data showed that the struggling US economy lost 159,000 jobs in September as the weight of the housing collapse and credit crunch hit a broad swath of industries.
The housing market is on a slide, no doubt, but all the same the market will pick up. It always does and the credit crunch will loosen. Fuel prices don't exist in an alternate universe. One will affect the other. But we're dealing with Iran here:
In September, Iran successfully called on the Organisation of Petroleum Exporting Countries, of which it is the second-largest producer, to cut output.
Nozari also warned that "currently there is oversupply of oil in the market" in the amount of 400,000 barrels per day.
He said that, "if the market is controlled in the first quarter of 2009 as the result of OPEC's September decision," then the situation is fine.
"If not, and based on the figure of the current 400,000 barrels per day in oversupply, (the figure) will reach 1.2 million bpd."
Nozari did not source his figures.
This ‘oversupply' is a concern for Iran because US military operations are succeeding in Iraq. Iran is feeling a push and needs, in some way, to push back, and against the US petroleum is its only weapon, at the moment.
Until Iran has a nuclear weapon, petroleum prices are the only offensive weapon it has, which is why Iranian Oil Minister Nozari weeps a river of crocodile tears. The Democrat presidential candidate doesn't even believe preconditions are necessary when considering a coffee klatch with Iranian President Mahmoud Ahmadinejad. Maybe they can talk about keeping oil prices high by making sure America doesn't drill offshore and on federal lands.
If the price of a barrel of oil, falling below 100 dollars is considered ‘unstable' to the Iranian Oil Minister, whose government is bent on world Islamic Revolution, a responsible, let's repeat that, a responsible US Congress might consider ways of keeping it that way.