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Oil Falls to 19-Month Low on Saudi Rejection of More OPEC Cuts (almost in the $40/barrel range)
Bloomberg | January 16th, 2007 | Mark Shenk

Posted on 01/16/2007 1:09:18 PM PST by 2banana

Can't post but good news as Saudi Arabia's oil minister rejected calls for more production cuts...

http://www.bloomberg.com/apps/news?pid=20602099&sid=ap9i3C_FTkR4&refer=energy


TOPICS: Business/Economy; Foreign Affairs; Front Page News; News/Current Events
KEYWORDS: bust; energy; energyprices; iran; iraq; oil; opec; saudiaarabia; saudis
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To: kycountryboy
Must be that Dem Congress bringing gas prices down. Barf!!!

LOL. And the price of tuna will fall as well, I'm sure!

81 posted on 01/16/2007 2:30:16 PM PST by Lijahsbubbe
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To: Lucky9teen

I saw it at $2.05 here in Mobile this morning....


82 posted on 01/16/2007 2:38:23 PM PST by BamaDi (Nick Saban - my newest favorite coach!!!!)
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To: frogjerk; Lucky9teen
So why are we still seeing gas at $2.35 or more a gallon?

Stations in Northern Ohio are around $2. My nearest station is $1.99.

83 posted on 01/16/2007 2:44:08 PM PST by Right Wing Assault ("..this administration is planning a 'Right Wing Assault' on values and ideals.." - John Kerry)
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To: Lucky9teen

I saw it at $2.05 here in Mobile this morning....


84 posted on 01/16/2007 2:45:03 PM PST by BamaDi (Nick Saban - my newest favorite coach!!!!)
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To: 2banana
>>>(almost in the $40/barrel range)<<<

Lets not go overboard here....its more like the $50/barrel range!

Another 15% decrease and it will be around $43.50....in the "$40 range". Thats probably a long ways off.

85 posted on 01/16/2007 2:59:31 PM PST by HardStarboard (Give Pelosi and Reid Enough Rope to Hang Themselves.)
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To: AntiKev
Because that gas was refined with $70/bbl oil.

That dosen't stop them from raising it a day after the market closes higher.

86 posted on 01/16/2007 3:21:34 PM PST by scannell
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To: PSYCHO-FREEP; oceanview
Commodities speculation was the last driving force with prices. The decline has been due to a mild Winter, causing the speculative market to unload shares while they were still within their profit margin.
You're forgetting the "The World's Going to Hell" premium that just imploded. They just couldn't sit around waiting for Armageddon any longer. Have to go find some other reason to worry.

But damn, Iraq just won't get any worse, neither will Nigeria, not enough hurricanes in the Gulf, and Russia keeps pumping despite all the games. Where are all the good disasters when you need 'em?

87 posted on 01/16/2007 3:23:45 PM PST by nicollo (All economics are politics)
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To: John Jorsett; Dog Gone; Grampa Dave; tubebender; dalereed

Well, don'tcha s'pose those two great big giant aircraft carriers tryin not to git stuck in the straits of hormuz has sumthin to do with the price deflatin like a lead balloon???


88 posted on 01/16/2007 4:45:01 PM PST by SierraWasp (There is no one else in the hollow "center" except CA's celebrity collectivist compellinator!!!)
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To: SierraWasp

If anything, SW, their presence would probably tend to drive prices up, as a potential threat to oil supply from Iran.


89 posted on 01/16/2007 4:50:06 PM PST by Dog Gone
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To: Gritty; Grampa Dave
Dang it, Gritty!!! You find the best cartoons, pictures and other graphics!!!

Then that Grampa Dave spreads 'em all over various threads and I love it!!!

90 posted on 01/16/2007 4:51:57 PM PST by SierraWasp (There is no one else in the hollow "center" except CA's celebrity collectivist compellinator!!!)
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To: rottndog

yes, but what is the cost of oil? $48 today, $75 in june. investing in this area requires a predicatable price.


91 posted on 01/16/2007 4:52:31 PM PST by oceanview
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To: Lucky9teen

I paid $1.97 to fill my tank today at a truck stop. I should have waited until after I ate. As I sat there, the price was changed to $1.96


92 posted on 01/16/2007 4:53:29 PM PST by Military family member (GO Colts!!)
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To: Lucky9teen

I paid $1.97 to fill my tank today at a truck stop. I should have waited until after I ate. As I sat there, the price was changed to $1.96


93 posted on 01/16/2007 4:53:40 PM PST by Military family member (GO Colts!!)
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To: untrained skeptic; Dog Gone; Grampa Dave; Ernest_at_the_Beach; BOBTHENAILER
"You think they're driving up oil prices and trying to justify taxing oil companies to drive them up even higher for nothing?"

OOOPS! DAIR IT IS!!!

94 posted on 01/16/2007 4:55:24 PM PST by SierraWasp (There is no one else in the hollow "center" except CA's celebrity collectivist compellinator!!!)
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To: gathersnomoss

That's cause yer too danged suspicious!!! (grin)


95 posted on 01/16/2007 4:56:26 PM PST by SierraWasp (There is no one else in the hollow "center" except CA's celebrity collectivist compellinator!!!)
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To: Dog Gone

I would think that if they're there, everybody would be a whole lot less concerned about Iran stupidly tryin ta close the place down for a change. But that's why I pinged you, cause I just knew you'd know!!! (grin)


96 posted on 01/16/2007 5:01:37 PM PST by SierraWasp (There is no one else in the hollow "center" except CA's celebrity collectivist compellinator!!!)
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To: SierraWasp
Thanks!

A humorous illustration is often more effective than just another rant.

When I feel the urge to rant, I rant. But when I think an idea can be said better by somebody else's work, I don't. Therefore, I post what a cartoonist has been so clever to already observe and illustrate. He usually "says" it better than I can anyway.

A picture is often worth a thousand words, particularly if done with humor. I can't draw, but I can post.

97 posted on 01/16/2007 5:08:01 PM PST by Gritty (Sorry, but not even the Democrats can redeploy from the whole planet - Mark Steyn)
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To: SierraWasp

Iran's economy is totally dependent on oil exports. If they had to depend on rug exports alone, the economy would crash.

The US carriers are there only to threaten Iran and a war would halt oil exports. The oil markets think we're bluffing for the time being, I think.


98 posted on 01/16/2007 5:10:01 PM PST by Dog Gone
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To: eeriegeno
People: Gasoline prices are more elastic on the upside because dealers, who make a relatively small profit, have to price for the next delivery, not the last. Distributors are paid from current income, not cash reserves (which most dealers do not have). Collusion or price-fixing is rare, and tends to occur only where there is a dearth of distributors and dealers and/or where the state/region mandates a unique formulation which few refiners can provide (e.g.:California, Seattle, WA). The $51/bbl price hasn't even made it to the refineries yet, and they are focusing on home heating oil production right now, not gasoline.

I know it's sometimes a hard sell for those of you still paying high pump prices, but I have followed commodity pricing for longer than many of you have been alive. Unidirectional price elasticity most often occurs as a direct result of regulatory intervention, not due to a lack of it (read Milton Friedman's work on the subject for further guidance). In the present instance, your patience will be rewarded because OPEC doesn't have the clout it once did, refinery product stocks are abnormally high, and demand has dropped significantly.

99 posted on 01/16/2007 5:15:32 PM PST by andy58-in-nh
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To: bray

Anyone have a clue about the "position" of SOROS in the current futures market?


100 posted on 01/16/2007 5:25:17 PM PST by pointsal (q)
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