And demand for that gas is slowing.
Bush and company have thrown the Dollar on the bargain basement shelf by continued lowering of the interest rates.
Printing more money to pass out as party favors, will further devalue the buck.
It is a simple concept that as the Dollar shrivels in value, it will take more to buy anything, even oil.
Ir can’t possibly go on for much longer. It’s artificial, and it’s getting shakier by the day.
As long as the Fed keeps too many dollar in circulation, and as long as oil is traded in dollars, and as long as the Fed keeps lowering interest rates trying to avoid inflation, fuel prices will remain high. OPEC will see to this because they are paid for their unearned bounty in dollars and as long as dollars aren’t able to buy the goodies the Arabs want in Europe, they will short the supply of oil on the world market to keep the price up so they can buy more “stuff”....
..Going to love watching all these oil speculators losing their shirts.
I really think a lot of this is artificial ideological nonsense.
Anti americanism and anti bushism trying to crush the US economy for political purposes.
It is as always foolish to fight the invisible hand. Low dollar helps US exports, lowers trade deficits, and reduces imports.
The oil profiteers are trying to stab the US economy and drive the profits of our worst enemies. It does however do a lot of harm to China as well. I think oil will pop.
These attacks on our economy will hurt others worse. That is always what happens in these silly boomerangs
This says it’s basically a political problem and that if we had a real president instead of Jorge, it likely wouldn’t BE a problem...
Who cares about gasoline, what the heck is going on with DIESEL!?!?. I'm paying $3.90 a gallon for something that takes less processing to make than gas! Diesel is now between $.80 and $.90 more than Reg. Unleaded and only a few short years ago it was (and for a long time has been) about $.20 less than Reg. Unleaded?
Really? It isn't because of supply and demand?
I'm shocked, I tell you!
The ag commodities bubble has started to deflate the past two trading days when corn, wheat, soybeans and cotton all went down their limits. Oil will be next. And it’s way past time that happens when the oil companies are cutting down on their imports because of a glut of gasoline and heating oil. Then the speculators bid up the price because there is a “shortfall” in the supply of crude. What a crock. It’s time the speculators feel some pain now.
er, doesn’t it have more to do with the weak dollar?
We’ll see a pop alright, if OPEC deides to trade crude in euros instead.
I would expect the bubble to pop, too. When it does, be prepared for a flood of media stories bemoaning all the money that’s been lost. You just can’t imagine how many poor, minority females (single) who are dabbling in the commodities markets.
If the price starts coming down Russia is going to poke the tiger again and it will be kept high or at least higher than it should be.
Iran is playing the same game.
Just start some crap in a HOT oil area and bump it right back up.
It may stop working so well.
There are also the guys in the markets. I’m just wondering if Russia hasn’t got some of their bent nose guys in there doing a little work.
Most rational report I’ve seen recently, but the Dems are working to keep the crisis until the election. Nothing in a presidential election year is based on reality. Its a bit like the recession that isn’t. Talk down the housing market and the economy until the housing market froth causes a collapse, then turn the ripple into a full blown tidal wave. We have yet to see a negative quarter, let alone two consecutive negative quarters, the definition of a recession.
Warren Buffett says that we are in a recession in the same sentence in which he says he will vote democrat. No connection there... /s/
While I very much want to believe this, I heard the same argument at $90. “unsustainable”
Well guess what, there is no incentive to lower price. Everyone from producers to refiners to distribution (and the government) are all taking in MUCH more money on somewhat lower volume.
The slackening of demand will only serve to delay the development of new energy sources. Why drill for oil or build a new refinery if you already can meet demand with a nice fat margin?
The problem relates to oil being treated like the fungible commodity that it is. Competition is illusory.
What they mean is that inventories are at a fourteen year high. It’s not the same thing as “supply.” Supply tells you how much sellers are willing to sell at any given price. Inventories are just the amount you’ve got in the storage tank.
Gasoline invintories are at historic highs.
The enviromentalist run our energy policy’s through the mouths of our rat and rino congress.
the real price of somewhere around $40 supports this....
but, I fear the most is that Israel is about to pop and kick it up a few notches in the region before Bush goes.
Societies can only be pushed so far and I think the murder of these 8 holy men could be the proverbial straw. Israel isn’t going to hope for the best in Obama or Hillary to defend their sovereignty and I think the beginning of a massive preemptive strike is inevitable.
This could keep oil up indefinately. God help us.