They also are saying it will have the force of Katrina.
Our thoughts and intentions are directed towards wanting the complete safety of all living in the areas in the storm's path.
Also as we can see, US oil and gas production in the Gulf of Mexico will take a big hit. Consequently there will be a corresponding rise in oil prices which in turn will adversely affect the stock market. One might suspect that the market will dip on Tuesday or when the impact of this disruption in oil production is felt in the industry and marketplace or both.
Market volatility is a hard thing to predict, though we can make an educated guess based on previous examples.
The irony from the point of view of the material aspect is strong. If global warming is increasing the intensity of hurricanes, and global warming is the product of carbon emissions, then we have Gustav dynamically affecting the oil production in the Gulf. The end result destroys the source. Its a patricide scenario enacted on a global scale.
If there is any silver lining here, it would be a recognition on the part of oil producers and managers in union with government to strongly want to tackle global warming.
Reuters: Most U.S. Gulf oil output shut as Gustav threatens
Energy companies shut down three-quarters of U.S. Gulf of Mexico oil production on Saturday to prepare for the worst hurricane to hit the U.S. oil patch since 2005 and coastal refineries began shutting down before possible flooding.
Forecasters predicted Gustav would cross the Gulf of Mexico and hit central Louisiana on late Monday or early Tuesday with a force similar to that of Hurricane Katrina in 2005.
"This storm will be more dangerous than Katrina," said Planalytics analyst Jim Roullier. "I think this storm will prove to be a worse-case scenario for the production region."
5 comments:
The price of gas as I said would spike again after a gulf hurricane or two. Our total dependence on this substance is destroying us.
They say the price is already up in the Southern states. The Gulf represents about 25% of the total production in the US. Last I saw Gustav was a level 3 so the wave surge though still high at 15 to 18 feet will not be as high as a level 5, this might change. If it stays level 3 the destructive force is less.
There's collusion between automakers and oil companies. We have been sold on big gas guzzling cars through advertising over decades and decades, its in our damn genes. How come Europeans drive smaller cars generally, and drive ones that get better mileage.
I think the way out right now is with high mileage cars until new transportation technologies take hold.
I have friends who own the Prius and they could care less about the price of gas at $4.
Actually, here's the funny thing about the Prius. Do the math yourself. A regular Honda Civic is actually a smarter buy $$ wise. Ok, it doesn't get 45 mpg only 35 but take the difference in price into account and you'll see what I mean. The Prius is in such demand the dealers are tacking on a premium to the price not so with the Civic. I drive a used Honda Civic 2001 I bought a few yrs. ago for 6K. I parked the SUV and told my wife we only drive it if we absolutely have to. As for buying new. Who has any $$ for new? LOL, were just trying to make enough to pay for our Health Ins. payments at 15K a yr.!
I like the Honda. When they put out the Fit hybrid, maybe I will take out a car loan a pack in the 96 Nissan pickup.
Good move, except for the loan part. Going into this depression is no time to increase ur debt. Save ur pennies and buy the even more advanced FIT in 3 yrs. and collect %% in the meantime. Run ur Nissan into the ground.
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