Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Gasoline demand sees biggest fall in decade: API
marketwatch, yahoo ^

Posted on 10/19/2005 8:05:05 AM PDT by Chuck54

SAN FRANCISCO (MarketWatch) -- U.S. gasoline deliveries, a key measure of demand, fell almost 4% in September to log their biggest year-to-year decline in more than a decade, the American Petroleum Institute reported Wednesday morning.

"Motorists apparently found ways to manage fuel use and travel more efficiently in the face of higher September gasoline prices following Hurricanes Katrina and Rita striking along the U.S. Gulf Cost," the API said in a monthly report.

At the same time, September domestic crude output fell 22% from a year ago to 3.95 million barrels per day -- its lowest level since 1943, the API said.

For the third quarter, crude output averaged 4.8 million barrels per day, "the lowest quarter in more than 50 years," it said.

Refinery capacity utilization reached its lowest level for the month of September in 20 years, the API said. It averaged 82.7% for the month, with one-fifth of the county's refining capacity not in operation by the end of September in the wake of Katrina and Rita.


TOPICS: Business/Economy; Front Page News; News/Current Events
KEYWORDS: demand; gasoline
Navigation: use the links below to view more comments.
first previous 1-2021-4041-6061-8081-92 next last
To: 1Old Pro
Imagine if half of the SUV drivers traded in their gas guzzling trucks for a 25mpg station wagon?

I've got one of those SUVs (Honda Pilot) and it stays in the garage unless absolutely necessary to drive, (4200 miles since January purchase). I'm retired and drive a very economical Miata when necessary and the wife has an Accord.

In fairness, the Pilot does pretty well on the highway, about 22 mpg.

21 posted on 10/19/2005 8:29:36 AM PDT by Chuck54 (Free Tom DeLay)
[ Post Reply | Private Reply | To 12 | View Replies]

To: Buell_X1-1200

Duh... what a surprise.

Supply and Demand works, eh ...
Say it ain't so, Junie!

I wonder if they'll ever get around to recognizing the truth of the Laffer curve, too.


22 posted on 10/19/2005 8:30:19 AM PDT by AFPhys ((.Praying for President Bush, our troops, their families, and all my American neighbors..))
[ Post Reply | Private Reply | To 2 | View Replies]

To: Chuck54
This year will be lean for Christmas. Were buying everyone a Mobil Oil gift certificate for a full tank of gas. Not real cheap, but thats it this year.

A great idea. I have a nephew who drives 40 miles one-way to work. He is getting one of those. I love this gift idea.

Are you kidding. It'll be a hit. Like I said, their not cheap, but everyone will love getting that full tank of gas! Mobil gas certificates and a turkey dinner. That's it for us this year.

23 posted on 10/19/2005 8:32:31 AM PDT by Black Tooth (The more people I meet, the more I like my dog.)
[ Post Reply | Private Reply | To 13 | View Replies]

To: Chuck54

we are still getting gouged here in nc. 2.80 gallon. Funny oil has dropped since Katrina and prices are still near Katrina levels. No gouging in NC. None.


24 posted on 10/19/2005 8:33:59 AM PDT by JackDanielsOldNo7 (If it wasn't for marriage, I would not have this screenname.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Vaquero

I know how that works. They don't supply it when we demand it and then the price goes up.


25 posted on 10/19/2005 8:39:20 AM PDT by ANGGAPO (LayteGulfBeachClub.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: 2banana
Shares in any company involved in refining (and not shut down by the hurricanes of course) should be well higher, and likely will stay high for a while. All the crack spreads are at or near levels never seen prior to this year, and were higher still in the previous quarter. Refiners are absolutely coining money (for once) due to capacity loss industrywide plus a huge dose of good old-fashioned fear.

Nothing unusual at all about the price of VLR shares, nor those of its competitors.

Contrarily, shares of producers and integrateds are due for a hit; Goldman dumped 30+ million shares of XOM yesterday. We'll see more of this action in short order.

26 posted on 10/19/2005 8:39:20 AM PDT by SAJ
[ Post Reply | Private Reply | To 10 | View Replies]

To: Vaquero

I know how that works. They don't supply it when we demand it and then the price goes up.


27 posted on 10/19/2005 8:40:39 AM PDT by ANGGAPO (LayteGulfBeachClub.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: MontanaBeth
That's right it is the evil SUV drivers mucking up the world.

No, not mucking up the world, just consuming more of a limited resource than perhaps necessary. Thus, driving up demand and prices for everyone else.

28 posted on 10/19/2005 8:42:08 AM PDT by 1Old Pro
[ Post Reply | Private Reply | To 20 | View Replies]

To: Chuck54

My demand for gas is fairly inelastic, so I had to find other places to save. Unfortunately, it is the beer companies that are being hit the hardest by changes in the personal budget.


29 posted on 10/19/2005 8:42:46 AM PDT by TBall
[ Post Reply | Private Reply | To 1 | View Replies]

To: Chuck54

This should be no surprise to anyone having a basic economics course. In response to higher prices the market will demand less.


30 posted on 10/19/2005 8:46:19 AM PDT by The Great RJ ("Mir wölle bleiwen wat mir sin" or "We want to remain what we are." ..Luxembourg motto)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Chuck54

Your assignment for tomorrow students..."Read Econ 101" You will be tested on this.


31 posted on 10/19/2005 8:46:24 AM PDT by Don Corleone (Leave the gun..take the cannoli)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Buell_X1-1200

The fundamentals on gas and history show that it should be selling today for well under $2 a gallon.. the only reason its not is hedge funds and others irrational exhuberence in the futures markets.... Same thing is going on with Gold right now too for the same reason.

The bubble will pop, and reality will return soon enough.


32 posted on 10/19/2005 8:46:42 AM PDT by HamiltonJay
[ Post Reply | Private Reply | To 2 | View Replies]

To: Buell_X1-1200

The fundamentals on gas and history show that it should be selling today for well under $2 a gallon.. the only reason its not is hedge funds and others irrational exhuberence in the futures markets.... Same thing is going on with Gold right now too for the same reason.

The bubble will pop, and reality will return soon enough.


33 posted on 10/19/2005 8:47:11 AM PDT by HamiltonJay
[ Post Reply | Private Reply | To 2 | View Replies]

To: TBall
My demand for gas is fairly inelastic, so I had to find other places to save. Unfortunately, it is the beer companies that are being hit the hardest by changes in the personal budget.

What a tragedy. Perhaps consider giving up the following:
1) Newspapers, who needs a liberal indoctrination
2) Magazines
3) Movies, why contribute to the Hollyweed trash
4) snacks like candy bars, chips, etc ANYTHING BUT THE BEER

34 posted on 10/19/2005 8:51:41 AM PDT by 1Old Pro
[ Post Reply | Private Reply | To 29 | View Replies]

To: Chuck54

Terrible news for the Saudis (which is good news for us)
They should have opened the valves 3 months ago. Now it's too late.


35 posted on 10/19/2005 8:58:46 AM PDT by DManA
[ Post Reply | Private Reply | To 1 | View Replies]

To: Chuck54
Gas hit $4.00 a gallon here in Panama, Just dropped slightly below that. I use the car to take my son to and from school, can't afford to do too much else.

As a result of higher gas prices everything else is going up too. Students and bus/taxi drivers have been going into the streets to protest and riot over the the gas prices. Everything goes up in Panama except the wages, Most Panamanians make less than %500.00 a month if they are lucky.

Unrelated matter, President Bush will visit Panama first week of November. Teachers and students will go into the streets to protest his visit. Concerned about it and sent an email to the Regional Security Officer in the US Embassy. But sure they are already aware of it and will take proper steps to protect W.
36 posted on 10/19/2005 8:58:58 AM PDT by Americanexpat (A strong democracy through citizen oversight.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: 1Old Pro

"just consuming more of a limited resource "

Only limited by the fact that oil companies are not allowed to drill any new wells or build any new refining plants.

It's not limited by the amount of crude in the ground because no one knows how much crude there is.

Most estimates are guesses.


37 posted on 10/19/2005 9:00:21 AM PDT by Bigh4u2 (Denial is the first requirement to be a liberal)
[ Post Reply | Private Reply | To 28 | View Replies]

To: Vaquero
supply and demand....IT WORKS!

Tell it to Schmucky Schumer

38 posted on 10/19/2005 9:00:35 AM PDT by montag813
[ Post Reply | Private Reply | To 3 | View Replies]

To: JackDanielsOldNo7
we are still getting gouged here in nc. 2.80 gallon. Funny oil has dropped since Katrina and prices are still near Katrina levels. No gouging in NC. None.

You aren't being gouged. Most likely, North Carolina gets its petroleum and refined gasoline from Louisiana and Texas. Guess what? Still a lot of production and refining is offline here. Gas in Atlanta is $2.99 for 87 octane, same scenario, it comes from the Gulf. In Kansas and Missouri, where production is from Canada and refining is in the Midwest, gas prices have collapsed from Katrina highs of $3.25/gallon to almost $2.25/gallon.

I'm expecting around $1.75-$2.00/gallon by early December as the Gulf refineries and rigs come back online.

39 posted on 10/19/2005 9:00:41 AM PDT by xrp (Conservative votes are to Republicans what 90% of black votes are to Democrats (taken for granted))
[ Post Reply | Private Reply | To 24 | View Replies]

To: xrp

Then we'll be back where we were before Katrina, when prices were well above $2 a gallon.


40 posted on 10/19/2005 9:01:09 AM PDT by HostileTerritory
[ Post Reply | Private Reply | To 4 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-2021-4041-6061-8081-92 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson