Posted on 02/09/2015 11:43:25 AM PST by Star Traveler
(Reuters) - Oil rose for a third straight session on Monday as OPEC forecast greater demand for crude this year than previously thought and projected less supply from countries outside the group.
The Organization of the Petroleum Exporting Countries forecast demand for its oil will average 29.21 million barrels per day (bpd) in 2015, up 430,000 bpd from its previous forecast, while slashing its outlook for crude supply growth in non-OPEC countries.
Benchmark Brent oil futures LCOc1 were up 35 cents, or half a percent, at $58.15 a barrel by 11:40 a.m. EST, after revisiting Friday's one-week peak of $59.06.
(Excerpt) Read more at reuters.com ...
Gasoline Prices Rebounding Closer to $2 Average [Tulsa, OK]
http://www.freerepublic.com/focus/news/3255738/posts
Roughnecks Rule
Supply and demand. It works. It would work even better if government got the hell out of the way.
Union officials said another 1,400 workers at two BP-owned refineries joined the strike on Sunday. It's the industry's first large-scale walkout in 35 years.
One of the two facilities is BP's largest in the world -- its Whiting, Indiana refinery, which the company says handles up to 428,000 barrels of crude oil daily. The other is BP's plant in Toledo, Ohio.
Now, United Steelworkers union members at 11 plants are off the job protesting what they say are unsafe conditions. The other nine facilities are in Texas, California, Kentucky and Washington.
When is the last time refinery workers went on large-scale strike?
This one seems just in time as record low gasoline products are making alternative energy extremely expensive by comparison.
There went the $1.79 gasoline. Michelle Bachmann said that price level was possible, and for a very short while, we had it, but the Current Regime is trying very hard to put that genie back in the bottle.
The good news is, that there is still plenty of gasoline out there to be recovered and refined out of the crude available to the world. “Peak petroleum” was an evil hoax upon the entire population of this planet.
WHY PRICES HISTORICALLY GO UP IN THE SPRING
http://www.nacsonline.com/YourBusiness/FuelsReports/GasPrices_2013/Pages/Gas-Prices-Spring.aspx
Over the years, we have all noticed that gas prices go up each spring, and generally seem to peak around Memorial Day. Most consumers assume that prices peak at this point because of the advent of the summer-drive season. Is that the case?
To a certain extent, seasonal demand is a factor. But there are a number of other events that collectively have a bigger effect on prices each spring, leading to price peaks right before Memorial Day. In six of the past 13 years, the seasonal peak was in the time period between May 9 and May 24.
Crude oil prices are the biggest factor driving gas prices, but how the crude oil is processed also plays a significant role in price increases. The petroleum industry’s switchover to summer-blend fuels, a process that begins each February and ends June 1, creates challenges that also affect retail fuels prices. Since final implementation of the Clean Air Act Amendments in 2000, the seasonal transition to summer-blend fuel has helped gasoline prices climb significantly before they reached their peak. Comparing prices the first week in February to their seasonal peak, increases have ranged from a low of 20 cents in 2003 to a high of $1.13 in 2008; on average, the average annual increase is 54 cents per gallon.
Obviously the dime increase at the pumps I saw yesterday was in anticipation of the crude price hikes of today.
Let me get this straight. OPEC is dying because of low oil prices. OPEC then releases ITS OWN FORECAST which (surprisingly) says supply will go down and demand will go up.
Since we all know OPEC would never massage the numbers to benefit itself, traders suddenly bid up the price oil in anticipation of the coming tighter market. Talk about the herd mentality.
OPEC brings to mind something I remember from a Firesign Theater LP long time ago. Let me paraphrase:
I never lie, and I always tell the truth. If you don't believe that, just ask me.
Well ... I was hoping gasoline prices would stay down longer. I should have known!
well THAT aint suppose to happen!! thanks
Yeah from us in the oil patch who are already seeing layoffs. A WTI crude price of $60-$65 per barrel would do a lot to keep work moving at a reasonable pace but cool off the non-stop frenzy of last summer.
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.