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To: MatthewViti
If I were Bush, you know what I'd do? I'd start dumping some of the US strategic oil reserve onto the market. The war is essentially over; there may be temporary setbacks in the oil flow from Iraq, but the situation in the rest of the region looks stable (well, as stable as the Middle East ever looks). Why not dump half a million barrels a day or more into the pipeline for a month or so? The possibly $.10-.25 drop in the price of a gallon of gasoline nationwide would be like yet another tax cut and add even more stimulus to the economy. And most importantly, it would give him yet a little more ammo against Dems who say he's not helping the economy enough.
9 posted on 08/13/2003 6:18:20 PM PDT by VOR78
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To: VOR78
The price here went from $1.53 last week to $1.79 today!
10 posted on 08/13/2003 6:21:34 PM PDT by dalereed (,)
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To: VOR78
I'd start dumping some of the US strategic oil reserve onto the market...

Actually the US has been steadily adding to the oil reserve. Perhaps they have concerns we are not aware of. This article from a couple of days ago:

U.S. oil reserve soaks up supply

WASHINGTON -- Despite precariously low oil supplies, the government has been pumping millions of barrels into its emergency reserve, which some critics charge has contributed to a surge in crude prices and kept gasoline costs high.

The Energy Department discounts the impact of the purchases, almost 11 million barrels since the beginning of May. And energy economists and analysts are divided; some say many other factors are keeping prices high.

Nevertheless, Sen. Carl Levin, D-Mich., urged Energy Secretary Spencer Abraham this week to suspend the oil shipments into the Strategic Petroleum Reserve immediately, "until the price of oil falls from its current high levels and the private sector inventories increase."

He produced figures showing that while 11 million barrels of oil were being diverted from oil markets into the SPR, commercial inventories during the same period were declining by 10 million barrels.

"This administration's actions to fill the SPR regardless of the price of oil or the amount of oil available to the commercial sector is a major reason for these high (crude) prices," wrote Levin, senior Democrat on the Senate Governmental Affairs investigations subcommittee.

Energy Department spokesman Joe Davis said both Democrats and Republicans in Congress have made clear they want the strategic reserve, now at 611 million barrels, filled to its 700-million-barrel-capacity.

"The vast majority of Americans realize that ensuring the SPR is key to our energy and national security. That's why there is bipartisan support to fill the reserve," said Davis.

Critics, who note the administration suspended shipments to the reserve last winter because of the loss of Venezuelan oil and a looming war in Iraq, questioned the timing.

Commercial U.S. oil stocks have been at uncomfortable levels all year, putting upward pressure on prices.

While stocks rebounded slightly last week because of a boost in imports, they remained 37 million barrels, or nearly 12 percent, below the five-year average and 30 million barrels below what they were at the corresponding time a year ago, according to the DOE's Energy Information Administration.

Also, oil prices have been creeping higher to more than $30 a barrel, prompting gasoline prices to increase as well.

13 posted on 08/13/2003 7:23:41 PM PDT by Brian S
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