Rouble bombs as Oil prices fall

[msmob]

In the UK the Rouble was 40 / £1 GBP for eons ..

It fell to 123 R/ 1 GBP in Feb 16 and seemed to have settled at half it's value ..despite 'experts on Russia' predicting it's 'recovery' for the last 6 plus years ..


I went to pay our water / and electric bills and couldn't believe my eyes .. over 95 R / £1 ?

Russia has refused to agree a deal with the Saudi's and the oil price is is tumbling ..as the Kremlin won't / can't cut back on production ..


I just hope we all see the benefits at the pumps when we go to fill up !


At least this virus has an upside

[2tallbill]

In the UK the Rouble was 40 / £1 GBP for eons ..

It fell to 123 R/ 1 GBP in Feb 16 and seemed to have settled at half it's value ..despite 'experts on Russia' predicting it's 'recovery' for the last 6 plus years ..


I went to pay our water / and electric bills and couldn't believe my eyes .. over 95 R / £1 ?

Russia has refused to agree a deal with the Saudi's and the oil price is is tumbling ..as the Kremlin won't / can't cut back on production ..


I just hope we all see the benefits at the pumps when we go to fill up !


At least this virus has an upside

I paid $1.76 per gallon yesterday (with a car wash). Which works out
to $.76 per liter or .41€ per liter. According to gas buddy you can get
gas in Austin without a car wash for $1.80 per gallon.

Surely you didn't allow your government to charge you more 


I'm going to check to see if the lower oil price leads to lower ticket
prices. We have a trip to Russia in May coming up and I haven't
bought the tickets yet.

[fathertime]

In the UK the Rouble was 40 / £1 GBP for eons ..

It fell to 123 R/ 1 GBP in Feb 16 and seemed to have settled at half it's value ..despite 'experts on Russia' predicting it's 'recovery' for the last 6 plus years ..


I went to pay our water / and electric bills and couldn't believe my eyes .. over 95 R / £1 ?

Russia has refused to agree a deal with the Saudi's and the oil price is is tumbling ..as the Kremlin won't / can't cut back on production ..


I just hope we all see the benefits at the pumps when we go to fill up !


At least this virus has an upside

Hey Mobers,
I like to follow a bunch of currencies and have been for many years.   The move today is in most all currencies is the biggest I've ever seen.  The drop in oil today to this point is unprecedented.    The instability is stomach churning.   I don't see updated numbers this morning on the corona virus, and the dow futures seems to be have stopped sinking and is stuck, so I wouldn't be surprised if the govt has taken some control of both the news and the stock market in what appears to be an emergency situation.  I hope all hell doesn't break loose but today may be the beginning of a new normal. 

Fathertime! 

[GenMish]

74 sounds pretty tame against the dollar considering the news. After the talks broke down with the Sauds, I expected 80 plus. For all I know that's what the street market is today for new crisp $100 bills in Russia

Look at Mexico, the Peso is down 7%, Look at Aussie Dollar, down 3% after getting a beating for years

[fathertime]

Interest rates are set to open down 40% IN ONE DAY.   It appears market circuit breakers are going to be flipped the dow futures have remained pegged at down 1255.  Perhaps today is the day the shelves go bare because the news today is very concerning.

Fathertime! 

[msmob]

I'm going to check to see if the lower oil price leads to lower ticket
prices. We have a trip to Russia in May coming up and I haven't
bought the tickets yet.

I'd be careful ordering tickets - in case your nation gets added to an automatic quarantine list !

We're not 'going there' re cost of petrol / diesel

[BillyB]

We have a trip to Russia in May coming up and I haven't
bought the tickets yet.

YOU and others going to Russia need to read this. You've been placed on the sh!t list.

http://www.vaxbeforetravel.com/russian-travel-restrictions-include-american-visitors

[Gator]

When the COVID bad news hit stock prices, a friend and I came up with this quick guideline:

The robust stock market was already due for a 10% correction prior to the virus. 

Coronavirus would add another 10% decline. 

That's a total of 20% decline, i. e. the cusp of a bear market. 

S&P 500's peak was 3,400 in mid-February.  Today it bottomed at 2,757 before a slight bounce.  That is a 19% decline from the top.  Are we at the bottom?  No, the oil price war adds another 5% (the savings at the pump will not compensate for the bankruptcies and the ripple effect in the labor market). The virus could cause more than my predicted 10% decline, perhaps as much as 15-20%.  So we still have a way to go down.

Worse, the fickled public may throw Trump out if we enter a recession.  That would drive the market down further, maybe not much more than the expected 25-30% decline my quick numbers now predict. 

The global markets will be worse, especially SE Asia incl. Hong Kong.  Just think what oil prices are doing to Iran.  This could destabilize their government.   No tears for the government, yet horrible for the people.   

Hopefully I am wrong.  I have never been good at timing the market.   

Keep in mind that the best cure for a $25-30/bbl oil price is a $25-30/bbl oil price.  Just don't be holding the oil stocks with weak balance sheets.  They're gone. 

[ML]

I paid $1.76 per gallon yesterday (with a car wash). Which works out
to $.76 per liter . . .

That would make one gallon equal 2.32 liters.

I didn't know that was the relationship.

New conversion rate related to Corona virus ?

[GQBlues]

That would make one gallon equal 2.32 liters.

I didn't know that was the relationship.

New conversion rate related to Corona virus ?

Yes. It's the new US Volumetric measure due to the COVID-19 hysteria. It's called the C-19 Viral gallon. Not to be confused with the queen Anne or Winchester bushel...

[2tallbill]

We're not 'going there' re cost of petrol / diesel

I don't know what that means. It looks like a bad translation 
from Google Translate. 

Angel Eyes, Mini-Me and I am going to Russia in May.
If the Zombie apocalypse happens before then we
will change our plans to killing zombies.

I'd be careful ordering tickets - in case your nation gets
added to an automatic quarantine list !

What do you do to "carefully" order tickets? Wear a mask,
condom, bike helmet, eye-black and safety goggles?

[GQBlues]

I don't know what that means. It looks like a bad translation 
from Google Translate. 

Angel Eyes, Mini-Me and I am going to Russia in May.
If the Zombie apocalypse happens before then we
will change our plans to killing zombies.


What do you do to "carefully" order tickets? Wear a mask,
condom, bike helmet, eye-black and safety goggles?

LMAO!!!

Turn computer on. Before logging in, spray screen, keyboard and mouse with Lysol, wipe dry and put on surgical gloves.

Only then should you go in the internet to browse the cheapest tickets available for sale for the dates of your travel plans.

[krimster2]

if in the USA the virus grows to over 100,00 cases by the end of this flu season, and
comes back again the next flu season even stronger...
then we will have a DEPRESSION....

unemployment rate will be above 20%

the value of all assets will crash through the floor and then through the basement
welcome to the 1930s
but now, an improved, updated version, with the dead laying uncollected in the streets
of all major US cities

bear market?
are you kidding me?

[jone]

if in the USA the virus grows to over 100,00 cases by the end of this flu season, and
comes back again the next flu season even stronger...
then we will have a DEPRESSION....

unemployment rate will be above 20%

the value of all assets will crash through the floor and then through the basement
welcome to the 1930s
but now, an improved, updated version, with the dead laying uncollected in the streets
of all major US cities

bear market?
are you kidding me?

Gandalf Stormcrow!

[krimster2]

denial is a lot more than a "river in Egypt"
now isn't it...
I reckon he hasn't heard we're up to 624 cases in the usa not including diamond princess, since we wouldn't want our numbers to look bad, we won't include them

poor fella...
he doesn't know yet, does he?

[2tallbill]

That would make one gallon equal 2.32 liters.

I didn't know that was the relationship.

New conversion rate related to Corona virus ?

One gallon equals 3.78541 liters
So the price would be $.46 per liter

Thanks for pointing that out

[2tallbill]

The Saudi/Russian oil disagreement is still in place. There are
a ton of theories out there as to what, why and how this is
going on.

OPEC and Russia have been cooperating in holding back oil
production to maintain prices. They've called this OPEC+

With a mild winter and the corona virus demand has dropped
and prices have gone down.

OPEC+ met in Austria and the Saudi's asked for additional cuts
in production and Russia balked. There are as many theories as
there are reporters opining on this and calling their opinions news.

Every time I start developing a theory about how things are shaking
out, I find reports that tend to weaken my theory.

Here is a sampling of the news, or more accurately opinion pieces
that are masquerading as news.  The Forbes and VOX pieces seem
the least plausible. 

Saudi Arabia’s Oil War Could Bankrupt The Kingdom
http://oilprice.com/Energy/Energy-General/Saudi-Arabias-Oil-War-Could-Bankrupt-The-Kingdom.html


War With OPEC Can’t End Well for Russia
http://www.themoscowtimes.com/2020/03/16/war-with-opec-cant-end-well-for-russia-a69636


What's behind Saudi Arabia's oil price war with Russia?
http://www.aljazeera.com/programmes/countingthecost/2020/03/saudi-arabia-oil-price-war-russia-200315114308947.html


Saudi Arabia is starting a reckless oil war with Russia — but the US
is also a target
http://www.businessinsider.com/saudi-arabia-starting-oil-war-with-russia-us-also-targeted-2020-3


Saudi Arabia-Russia Oil Price Feud Hits U.S. Economy Hardhttp://www.forbes.com/sites/thomasduesterberg/2020/03/13/saudi-arabia-russia-oil-price-feud-hits-u-s-economy-hard/#6224e24f52a6


The Saudi Arabia-Russia oil war, explained
http://www.vox.com/2020/3/9/21171406/coronavirus-saudi-arabia-russia-oil-war-explained

[fathertime]

Dollar reaching levels unseen against the mexican peso, the colombian peso, the brazilian real...etc etc.   too bad there is no way to enjoy the perhaps temporary bonus.  while the situation may wind up bad here in the US, I suppose it has the potential to be much worse in these lands where elders live under the same roof as their children and grandchildren
Fathertime!

[fathertime]

.

Every time I start developing a theory about how things are shaking
out, I find reports that tend to weaken my theory. 

who knows but i'm going with Saudi Arabia having a cover story while doing harm to US shale companies as a part of the equation. 

Fathertime! 

[2tallbill]

who knows but i'm going with Saudi Arabia having a cover story while doing harm to US shale companies as a part of the equation. 

Fathertime!

I don't disagree but there is more to it including a fight for a
higher market share of the China and Eastern markets. There
have been conflicting reports that Saudi Arabia was expecting
Russia to implement higher production cuts than any of the
regular OPEC nations and that Russia balked at that.

There also seems to be more than a bit of proverbial dick
measuring going on.

The lower fuel prices help a lot of industries and consumers but
obviously hurts the US Shale industry.