Oil, gas prices take a sudden tumble

CNBC ^ | 4/1/04

[Steven W.]

The Administration’s talk of suspending clean air rules in three states drops crude oil and wholesale gasoline prices. Markets move slightly higher as the Dow Jones average is shuffled.

Have gasoline prices peaked? Maybe.

But the fact is oil and wholesale gasoline prices dropped abruptly this afternoon as the Bush Administration said it was considering suspending clean air rules for three states -- California, New York and Connecticut.

The comments by Energy Secretary Spencer Abraham before a Congressional hearing today knocked crude oil prices down nearly 4.1% to $34.30 and wholesale gasoline futures to $1.07, down 5.5%. Crude ended the day at a 7-week low.

California, New York and Connecticut have asked the Environmental Protection Agency for temporary waivers for the summer, Bloomberg News reported. The states are required to sell gasoline that's blended with ethanol or other substances to make the fuel burn cleaner. Prices had declined in earlier trading on expectations that U.S. inventories will be adequate to meet demand from refiners making gasoline.

The news came as Congress was criticizing the Organization of Petroleum Exporting Countries for deciding to cut back its production by 1 million barrels of oil a day and Democrats were howling at the Bush Administration for doing nothing about rising fuel prices.

Big oil stocks didn’t move much, but oil and gas production stocks and oil services stocks sure did. The Philadelphia Oil Services Index ($OSX.X) was down 2.7%. The Amex Oil Index ($XOI.X) slipped 1.4%.

Assuming the price changes hold, it could knock the price of gasoline off by 10 cents a gallon, CNBC's Melissa Francis reported on "Closing Bell." The national average recently was about $1.74 a gallon.

[GeronL]

Why do you have lady's legs lying around in your camper by the Grand Canyon?

/kidding

[Just another Joe]

Why do you have lady's legs lying around in your camper by the Grand Canyon?

You mean everyone doesn't keep lady's legs in their camper when they go to the Grand Canyon?

Oooooops, my bad.

[GeronL]

=o)

[XBob]

82 - "Also, you can convert coal to crude oil. With our coal reserves, we could glut the world market in synthetic petroleum "

I worked on several 'syn' fuels projects in the 1980's. With our supplies of coal and shale here in the US, we have enough oil (at $50/barrel) to last 300+ years, and at $75 per barrel about 600 years.

[Grampa Dave]

California, New York and Connecticut have asked the Environmental Protection Agency for temporary waivers for the summer, Bloomberg News reported. The states are required to sell gasoline that's blended with ethanol or other substances to make the fuel burn cleaner. Prices had declined in earlier trading on expectations that U.S. inventories will be adequate to meet demand from refiners making gasoline.

We have these poisons added to our gasoline in Kalofornicator. So we have the privilege of paying an extra 20 to 30 cents per gallon with less mileage due to the additives.

Removing these poisons that contaminate the air and environment, cost more and cut mileage will have a big economic impact for consumers who drive.

[SierraWasp]

YOU ARE SO RIGHT!!!

Check out my new tag-line, Grampa...

[SierraWasp]

"Imagine ... addressing a problem by addressing the problem! The liberals and environmentalist wackos will have none of that!"

Brilliantly phrased!!! Profound!!!