Gas prices up, who's fault is it??

Discussion in 'Energy' started by Working Man, Jan 18, 2009.

  1. Working Man
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    Working Man Member

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    Some say it is because of Israelis war with the Palestinians. Others say it is because of the speculators on Wall Street.

    If nobody really knows, then oil shouldn't be a traded commodity. For the fair market to work, I would think that transparency and reason need to be mandatory factors. With no reason, just speculation, their is no fairness.

    Americans have still not learned their lesson from last summer as I see many of the gas guzzlers on the road again.

    One thing for sure, the new Honda Accords with the auto trans and four banger SUCK gas like a Chevy Suburban (honestly, the Accord could be worse) around town. Honda is lying when it comes to the economy of this model.
     
  2. Zoom-boing
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    Zoom-boing Gold Member

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    So we're suppose to just run out and buy a new car cause our 'gas guzzlers' guzzle gas? Can you loan me $20,000? I'll pay it back just as soon as Wallstreet pays back Uncle. Honest.
     
  3. xsited1
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    xsited1 Agent P

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    Here's something to look forward to:

    Goldman Sees ‘Swift, Violent’ Oil Rally Later in Year

    Bloomberg.com: Latin America
     
  4. Andrew2382
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    Andrew2382 Gold Member

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    If only this country had ample oil to support ourselves for the next 200 years....whatever shall we do
     
  5. Paulie
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    Paulie Platinum Member

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    Gas is only up slightly from its low a while back. It has to do with the holiday driving season demand, and the OPEC production cuts. It will most likely come up a bit higher when the summer season begins, but we won't be seeing it as high as it was last year, unless the bottom drops out from the Dollar.

    If by the end of the year, oil is up a lot higher, it will probably be because of speculation. I know I'm buying right now myself. $30 oil is a huge buy opportunity. We will eventually see prices over $100, when inflation starts to rise. We have a while to go before that though. When the banks start loosening up and lending, oil will start coming back up.
     
  6. auditor0007
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    auditor0007 Gold Member

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    We may well have that oil. Actually, we do have that oil. Now it is just a matter of figuring out how to extract it from the rock that holds it. The Green River Basin holds approximatley 1.5 trillion barrels of oil in the form of oil shale. Currently, Shell and four other companies are working on new forms of extraction.

    While these new methods are complex, there is a very good chance that at least one will prove successful. Right now the money is on Shell's method. Unfortunatlely, even if any of these new processes is successful, it will be twenty years before we see full scale production from this source, and that is if we can get past the environmentalists who will certainly try to limit the amount of production.

    No matter what, even if we do see full scale production, we need to continue to concentrate on alternate sources, because eventually, the oil is going to run out.
     
  7. RetiredGySgt
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    RetiredGySgt Platinum Member

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    A barrel of oil has been dropping again in price, yet no changes at the gas pump. As I recall oil is down to 34 dollars a barrel again.
     
  8. sitarro
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    sitarro Gold Member Supporting Member

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    It's Obama's fault.
     
  9. Paulie
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    Paulie Platinum Member

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    There's been changes where I live. The pump price drops slower in relation to oil drops, whereas when oil rises, the pump price moves almost in lockstep.

    Oil is at $40 right now, and your pump price is probably reflecting the futures price of oil which is not $34. Pump prices will come down again, once the holiday demand and production cuts are priced out of the futures. But be prepared for a rise again once the summer demand comes into play. $2.00 gasoline at the most for this year's high, which will decline in the fall.

    Once the banks release their reserves though, all bets are off.
     
  10. MalibuMan
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    MalibuMan Member

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    Come on people! It's Bush's fault!
     

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