oil prices

[buffermop]

I guess we are paying for the big BP oil mess in the gulf. This is outrageous, having oil and gas prices jump through the roof as they have.They say we have a 26 year record supply of fuel on hand. Some SOB is putting it to us. 

[Pat/Rick]

BOHICA. They could charge ten bucks a gallon and we'd still buy it.

[powderman]

YEP. Gas has jumped over 30 cents per gal the past 3 weeks or so. POWDERMAN. 

[powderman]

Sorry, dbl post. Sometimes takes forever for a post to go. POWDERMAN. 

[Spirithawk]

If they can put freezes on everthing else then why not gas prices? It really sucks to get kicked when you're down but even worse when it's our own doing the kicking! If folks could afford fuel then they might be inclined to go shopping, spend money, heck even drive to and from work! Fuel prices are biggest reason that the economy is in the dumps. People can't afford to leave home. People making minimum wage have to spend half their wages just to get back and forth from their jobs. Not rocket science folks. The oil companies aren't just sticking the knife to us, they're twisting it every chance they get and then bragging about astronomical profits! It won't stop either untill we demand better! In my book the oil companies are nothing more than domestic terrorists and doing what the violent terrorists wish they could do, destroy us from within.

[oldandslow]

Here we go again.   Some people kind of like the higher price of oil. It means there is a demand for labor and they have a job. It beats losing your home and car and being hungry. I saw 24 drilling rigs making hole last weekend in an area about 40 miles long because it is profitable to drill again. It means a lot of kids will have Christmas presents this year that didn't during the last bust. It will balance out. Eventually with all the drilling the supply will outstrip the demand and the price of oil will go in the tank again and you can all have cheap gas (relatively speaking) again for awhile. Of course while you are driving around all you want because gas is cheap a bunch of people will be out of work again because there is no drilling and all the attendant industry that goes with producing a barrel of oil and turning it into gasoline and diesel. Then things will catch up again and there will be more demand for gas and diesel than there is oil to make it and the price of oil will go up and all the bellyaching about the greedy oil companies will start again. But while all the hollering is going on a lot of people will be going back to work again.

Oil companies and farmers have a lot in common. Both their products are commodities and are sold for what the market offers. Neither sets the price for their product. The traders do. Cotton farmers did well this year, Cotton is bringing the highest prices on record. Your Levi's and Wranglers and anything else made of cotton is going to cost more and you can cuss all those greedy farmers for that.  

[The Hermit]

The price of oil is controlled in the commodity pits by traders. It is adjusted by seasonal factors, demand, refinery stockpiles, and futures traders. Oil companies can sit on vast reserves waiting for market price increases. They are cash cows. Yes, you can call it greed. The last time the government tried price controls, we had low supplies being let out and long gas lines, all in the name of "shortages". After the government failed, prices rose and all of a sudden there was plenty of gas. Go figure.
The same scenario applies to most all commodities. In addition, you have to factor in the falling value of the US dollar, which you can thank Congress and the Federal Reserve for.
You have to learn to beat them at their own game to survive.

  The Hermit