With my 160 mile daily commute, this is somewhat pleasing news.
Cheap gasoline is a real psychological boost.
It’s not a huge deal in most folks’ budget, but so rare to see something getting cheaper.
Of course after the Saudis succeed in breaking the back of competitors, we can expect oil prices to go back up again.
Consider what would happen if McDonalds decided it wanted the hamburger business all to itself, and had enough money to be able to roll prices back to 19 cents for as long as it took.
Some people just hate good news.
Oil has been overpriced for the last half decade. WAY overpriced!
Had any other person been POTUS, we would already be enjoying $1.50 Gal gas as we would be full bore fracking on Government land, drilling on the continental shelf and in ANWR. With that low price the economy would be growing at close tp double digit rates every year!
Low cost energy is the engine of the American economy. It pushes the expansion of manufacturing, trade, shipping and even home building as more people can afford to buy property instead of overpriced gas.
Take the good news and go to the mall, save a couple bucks in the bank and enjoy a night on the town wit the money we used to spend on getting to work.
>> Wholesale gasoline futures tested a low of $1.31 a barrel.
A dollar thirty a BARREL? Wow, that’s really cheep!
35 bucks a barrel and still above 2 bucks a gallon for gas.
Feds and states want to raise taxes to keep prices up there.
I’m guessing at the >$2 buck price as I am still paying almost $7 a gallon here in the Alaska bush...it’ll never go down.
The question isn’t how low oil prices can go, it’s how long they can stay low. Even if the low oil prices temporarily force some firms out of business, cutting supply, the demand for oil (which would increase) will soon cause the prices to rise.
I think a long term $60 can work, but below that, you’ll empty storage and prices will jump.
Lots of unemployed oil field workers now.
This is at least the 3rd boom & bust period in my adult lifetime.
Rigs get stacked, no need for new ones.
Spare equipment & parts for working rigs have plenty at the yard, no need to buy new equipment or spare parts.
Europe and Japan are “stalled” because they’re socialist centrally planned economies.
Disintermediation is needed in both.