Former Saudi oil boss says it can cope with low prices

[klr]

Exactly. Who needs dark conspiracies when market forces, self-interests and naked greed explain everything?

This is more market manipulation than market forces.

And you think there is a difference?

Actually, it's an interesting question. The answer is probably that there isn't a difference. The market is not inherently moral, allow self-interest may make one behave "morally" at times.

[piscator]

King Abdullah has passed on. Heir Salaman is 79 years old.

So much for the Saudis flooding the market for more than a year or two.

[klr]

King Abdullah has passed on. Heir Salaman is 79 years old.

So much for the Saudis flooding the market for more than a year or two.

More likely "same cart, new driver". Why should the next ruler have a fundamentally different perspective?

[piscator]

It's the one after Salaman that may reshuffle the deck...

[Warren Dew]

It's the one after Salaman that may reshuffle the deck...

Muqrin, 69 and in good health, was hand picked by Abdullah.

[Warren Dew]

Yes, but in a form that is going to be very acceptable to most of the world - few other than their competitors are going to complain about lower prices at the pump. Capitalists are free to set whatever price they want for the goods they produce, as long as they don't collude with others to maintain an artificially high price, which is certainly not the case here...

There is the danger though, that someone is deliberately killing off the competition, so that once they are gone, they can progressively increase their profits without getting undercut, by a rival that is growing in size.

In this case, I suspect the reasons for starving Iran are political rather than economic.

Yeh, but those reasons have existed for ages and ages, without this happening.
What's different now, is the shale industry. The Saudis are deliberately making that uneconomic, and hoping that the people who have put big money into it will go bust.

Questionable. What's different now is that Iran is in negotiations that will affect their nuclear status.

It's also to be noted that what the Saudis are doing is actually lack of action rather than action: they are simply continuing to pump their OPEC allotment, rather than cutting back to the benefit of other OPEC members.

[piscator]

It's the one after Salaman that may reshuffle the deck...

Muqrin, 69 and in good health, was hand picked by Abdullah.

Well, as long as you can guarantee continuity, I'll continue to invest just like I have.