Crude/Gas prices dropping

[Limited-Time]

Crude dropped below $70.00 a bbl for a while today. Closed some where around$71.00 and change..............less than 1\2 the price at the high point. Seems gas should be about half of what cost then. Also seems someone is losing a bunch on money on oil futures.

 

[jaxnjil]

Re: Crude/Gas prices dropping

well one would think so. when it goes up here it can jump 5 to 10 cents a day but when it comes down it seems to be 5 to 10 cents a week.
hang on i read somewhere opec is cutting production. they realy liked that $100+ a barrel

 

[JB]

Re: Crude/Gas prices dropping

Too bad that the cost of production, storage, transportation and marketing haven't dropped to half. That's what it would take for gas to drop to half.

 

[Tail_Gunner]

Re: Crude/Gas prices dropping

Too bad that the cost of production, storage, transportation and marketing haven't dropped to half. That's what it would take for gas to drop to half.

Welcome back JB....gently tip toes in and says .........
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. Damm glad to see ya....for now....

 

[triumphrick]

Re: Crude/Gas prices dropping

We've had some pretty good gas prices the past week, but today it dropped to $2.63 at a local Wal Mrt if using a cash/gift card. I doubt they will be giving the stuff away anytime soon, but those low prices sure do look good. All in all, I have yet to pay $4.00 or more this whole summer.....

 

[waterinthefuel]

Re: Crude/Gas prices dropping

Too simplistic, OP. When oil was 72 dollars a barrel when I bought my first scooter in 2006, gas was 3 dollars a gallon. It's that now, and it's LESS than that now. So you should be glad. There is no set formula, 140 dollars a barrel is 4 dollars a gallon so 70 a barrel should be 2. No. That doesn't work. You should just be very thankful that when oil prices doubled from 70 to 140 that gas didn't double from 3 to 6 dollars a gallon.

 

[Limited-Time]

Re: Crude/Gas prices dropping

The point I was trying to make in the original post was that the retail price rose a he11 of a lot faster than it seems to be coming down.

 

[oops!]

Re: Crude/Gas prices dropping

to add on jb's point......

the cost of transportation will drop slowly, but drivers are still running at $2.00 a mile over land.....i dont see that dropping execpt for the fuel surcharge.

the rest....will keep going up with inflation in the market place.

but as everyone has pointed out......the ratio to what it was and what the cost ber barrel was dont add up.


ie 70 a barrel.....and 2 bucks at the pump......

in canada its still at 126 a lieter here...(a little less across canada).

thats 5 bucks a gallon......when it was 70 a barrel we were at 89 a lieter or so....

somthings off....and the canadians are getting shafted again.

 

[Limited-Time]

Re: Crude/Gas prices dropping

to add on jb's point......

the cost of transportation will drop slowly, but drivers are still running at $2.00 a mile over land.....i dont see that dropping execpt for the fuel surcharge.

the rest....will keep going up with inflation in the market place.

but as everyone has pointed out......the ratio to what it was and what the cost ber barrel was dont add up.


ie 70 a barrel.....and 2 bucks at the pump......

in Canada its still at 1.26 a liter here...(a little less across Canada).

that's 5 bucks a gallon......when it was 70 a barrel we were at 89 a liter or so....

somethings off....and the Canadians are getting shafted again.

That's what I'm talking about. Thanks oops.

 

[NelsonQ]

Re: Crude/Gas prices dropping

in canada its still at 126 a lieter here...(a little less across canada).

thats 5 bucks a gallon......when it was 70 a barrel we were at 89 a lieter or so....

somthings off....and the canadians are getting shafted again.

OUCH!!!! So there is one benefit to Central Canada than the west coast. Gas this morning was 95.9/litre here in Ottawa oops.

I guess some Canadians are getting more of the shaft than others.

 

[achris]

Re: Crude/Gas prices dropping

and in Australia we are paying $1.50 per litre. Which works out about $US1.01.

 

[Tail_Gunner]

Re: Crude/Gas prices dropping

to add on jb's point......

the cost of transportation will drop slowly, but drivers are still running at $2.00 a mile over land.....i dont see that dropping execpt for the fuel surcharge.

the rest....will keep going up with inflation in the market place.

but as everyone has pointed out......the ratio to what it was and what the cost ber barrel was dont add up.


ie 70 a barrel.....and 2 bucks at the pump......

in canada its still at 126 a lieter here...(a little less across canada).

thats 5 bucks a gallon......when it was 70 a barrel we were at 89 a lieter or so....

somthings off....and the canadians are getting shafted again.

http://ap.google.com/article/ALeqM5jj8pY31L2ukrv5HGteCP5HjqFdfwD93VLGP81


Revenue rose nearly 52 percent to $70 billion from $46.1 billion a year ago

Indeed Opps indeed...

 

[SgtMaj]

Re: Crude/Gas prices dropping

Not to say I told you so... but... I did tell you so.

As for the difference in price, yes, there is a difference between the price per gallon for $71/barrel oil and the price per gallon for $71/barrel oil a few years ago. Today's price is a bit higher, partially because gas stations do make it a point to delay passing along price reductions by a week or two to increase their profits.

 

[jay_merrill]

Re: Crude/Gas prices dropping

in canada its still at 126 a lieter here...(a little less across canada).

Don't forget that a large part of what your are paying is tax. It still "inhales" to have to pay that, but at least you get some things back in return that we don't get here in the States.

 

[modernrocketry]

Re: Crude/Gas prices dropping

I hope it keeps faliing -- I have the fill up the big boat this weekend.
Nothing like the bill for 400 gallons of diesel to make you eat bologna for a while.

 

[kenimpzoom]

Re: Crude/Gas prices dropping

I hate to brag, but if someone searches my posts I predicted significantly lower gas prices by the end of the year caused by a collapse of a major world economy.

Oil prices were way to high and it caused some of this economic woes.

Oil companies may have enjoyed the 6 months of high prices, but they better brace for a year or two of low prices.

Ken

 

[Limited-Time]

Re: Crude/Gas prices dropping

Nice of you to stop by KIZ, and thanks for the input.

 

[lester]

Re: Crude/Gas prices dropping

I bought 87oct yesterday for $2.21 in VA. Felt good.

 

[Haut Medoc]

Re: Crude/Gas prices dropping

That has a funny spin to it, feeling good about paying twice what something should cost.

BIG OIL likes it that way.....
The best part is that it is putting a dent in Iran, Russia's & Venezuela's economy, because they are very dependant on petro dollars.....
This will put a crimp in Ineedadinnerjacket's plans....
The Russian bear was/is getting too big for it's britches, IMO.......
Same with that little **** pot chavez.....

 

[kenimpzoom]

Re: Crude/Gas prices dropping

Yep big oil really enjoys 1 year of great profits and then 5 years of low profits and/or losses.

The sad part is, all the cheap oil is gone. Most new developments are only profitable above 40-50 dollar oil.

Remember all that unconventional oil (oil shale/tar sands) that tons of research was being poured into to get it out of the ground. Another year of low oil prices and you can kiss that good bye.

Cheap gas is not all that great in the long term. A steady 80-100 dollars/bbl would be much better for the world and the oil industry.

Just think how stupid those people feel that sold their Suburban to buy a hybrid.

Ken