If oil supply has nothing to with the price, then why?????

[SniperFire]

Seems everyone is talking supply. How about demand?

Demand is rather inelastic. Add just a little more supply than needed, and guess what happens to price?

 

[Old Rocks]

lol

So drill baby drill and pipelines?

Works for China Brazil and Cuba

Is that why we are exporting to Brazil?

EIA: US Net Gasoline, Distillate Exports Hit Record Highs In August | Fox Business

NEW YORK -(Dow Jones)- U.S. net exports of gasoline and distillate fuel (diesel/heating oil) set record highs in August, data released Friday by the Energy Information Administration show.

The EIA data on net exports date back to 66 years to 1945.

A 3.8% drop in gasoline demand to a 12-year August low of 8.907 million barrels a day allowed refiners to ship abroad more fuel than wasn't needed in the domestic market.

Net exports of gasoline averaged 430,000 barrels a day, more than five times the level in August 2010, and 77% more than the level in July 2011.

Mexico was the destination for most of the gasoline exports, which averaged 241,000 barrels a day, up 51,000 barrels a day from the prior month and more than double the year-earlier level.

Gasoline exports to Brazil, which suffered a shortfall in ethanol supply due to a poor sugar-cane harvest, set a record at 66,000 barrels a day in August, the data show. Gasoline exports to Brazil in recent years have been in small volumes and sporadic, EIA data show.


Read more: EIA: US Net Gasoline, Distillate Exports Hit Record Highs In August | Fox Business

 

[Old Rocks]

Note the drop in the US demand, yet the price goes up here as well as other nations.

 

[uscitizen]

Seems everyone is talking supply. How about demand? For we are exporting gasoline and diesel by the tanker load. Our single biggest export at present. So, if we produce more, we will simply export more. A short term increase in supply will curtail some speculation, but will not curtail demand. Worldwide demand.

Now, I see this nonsense about the US having more oil than Saudi Arabia. Simply nonsense. The carogen in the oil shales is not oil. Take a lot more energy and water to make it into a product that can be refined that even oil sands. The oil sands are located where there is a large supply of water. The oil shales are located in one the dryest areas of the nation. Even if you used the whole of the Green River, you would not have enough water to process that much shale. And you would have a bunch of ranchers and farmers taking potshots at you.

As long as there are people in Europe, Asia, and South America willing to pay $4 and more a gallon, we will also be paying those prices.

Yep the majority of the natural gas from Alaska thru Palins proposed pipeline was to be used by Canada in extracting oil from the tar sands.

And this Shale oil boondoggle, the ones who dreide ethanol because it takes so much energy to produce support the shale oil extraction enthusiastically.

 

[uscitizen]

On releasing the reserves, Bush II did it for votes and so will Bush III.

 

[CrusaderFrank]

LOL

Lib: Oil, the one commodity impervious to the laws of supply and demand

Fucking morons

 

[JRK]

On releasing the reserves, Bush II did it for votes and so will Bush III.

This is not about Buss II
This about Bush III on steriods

 

[Flopper]

The international supply of oil, not the US supply has everything to do with price. In 2011, the US produced 8.91% of the world's oil with 7.9% of the world's oil reserves. Even if the US matched it's peak production in 1970, it would still only be producing 11% of the world's oil. By comparison, OPEC produces over 40% of world's oil with 77% of the world oil reserves. If we opened up ever piece of protected land in the country to drilling, the US could not produce enough oil to have a major long effect on all prices.

Oil Reserves By Country 2011
List of countries by oil production - Wikipedia, the free encyclopedia
Peak oil - Wikipedia, the free encyclopedia

I have a capped well on my property from the early 60s
Ina state that we will nevr drill in
Your thread has very good onformation it, exceot I dis agree with you last claim IF you add the oil Canada has that is making the trip east more than south as we speak

The problem with oil extraction in the US is not the supply, its the place we will never touch
in fact there are those who claim ( i am not smart enough to weed thru all the lies with this stuff)
United States Now Has More Oil Than Saudi Arabia: Obama Bans U. S. Drilling: Forces Our Money To Islamic Nations For Oil. | Political Vel Craft

All i know is if its good, we can get to it, we should be drilling for it, for the jobs
Not the oil

Canada produces less than 4% of the worlds oil, but that's beside the point. Oil is sold on an international market. If Texas crude can be sold at a higher price to china it will be. I'm not implying that Texas oil necessary goes to China, however the price that's paid at the well head for the oil is determined by the world oil prices and those prices are determined by worldwide supply and demand.

Producing less than 9% of the world oil production, the US can not hope to drive down the price significantly by increased production. Even if we were to increase production by 25%, which is very unlikely, OPEC could easy adjust production quotas to keep the price stable since they produce almost 5 times as much oil as we do.

Since the US is a much bigger consumer than it is a producer of oil, reduction in US demand will have more impact on price than increased production.

 

[Soggy in NOLA]

but you always think this with everything obama does.So in context of that, your point is meaningless.

Do not confuse accurate information with partisan politics

BHO has claimed that it is speculaters, yet his short term solution is to increase the supply, yet I am the problem?

My issue with BHO is information, and the way he shares with the country he is the leader of that information

You will never read any of my threads that will attack him, call him names or wish him any harm
This thread is a result of what he has stated, not me
I just took it and ask a simple question, thats all I have done

sigh...conceded little shit......see the bold? thats a lie.

sigh...conceited and condescending little shit......see the bold? that's illiteracy defined.

 

[Soggy in NOLA]

LOL

Lib: Oil, the one commodity impervious to the laws of supply and demand

Fucking morons

Yeah, yet they still argue that reducing our use of it (demand) will lower the price.

Idiots indeed.

 

[GoneBezerk]

Libs talk out both ends, they'll tell one crowd of idiots one thing but then tell another something else deep down knowing they lied to one group.

They talk about "weaning" us off oil by driving up the cost of it but then turn around and blame the oil companies for high prices at the pump. Chu said he wanted European gas prices but when questioned by Congress, he acted like some demon spoke for him.

 

[JRK]

The international supply of oil, not the US supply has everything to do with price. In 2011, the US produced 8.91% of the world's oil with 7.9% of the world's oil reserves. Even if the US matched it's peak production in 1970, it would still only be producing 11% of the world's oil. By comparison, OPEC produces over 40% of world's oil with 77% of the world oil reserves. If we opened up ever piece of protected land in the country to drilling, the US could not produce enough oil to have a major long effect on all prices.

Oil Reserves By Country 2011
List of countries by oil production - Wikipedia, the free encyclopedia
Peak oil - Wikipedia, the free encyclopedia

I have a capped well on my property from the early 60s
Ina state that we will nevr drill in
Your thread has very good onformation it, exceot I dis agree with you last claim IF you add the oil Canada has that is making the trip east more than south as we speak

The problem with oil extraction in the US is not the supply, its the place we will never touch
in fact there are those who claim ( i am not smart enough to weed thru all the lies with this stuff)
United States Now Has More Oil Than Saudi Arabia: Obama Bans U. S. Drilling: Forces Our Money To Islamic Nations For Oil. | Political Vel Craft

All i know is if its good, we can get to it, we should be drilling for it, for the jobs
Not the oil

Canada produces less than 4% of the worlds oil, but that's beside the point. Oil is sold on an international market. If Texas crude can be sold at a higher price to china it will be. I'm not implying that Texas oil necessary goes to China, however the price that's paid at the well head for the oil is determined by the world oil prices and those prices are determined by worldwide supply and demand.

Producing less than 9% of the world oil production, the US can not hope to drive down the price significantly by increased production. Even if we were to increase production by 25%, which is very unlikely, OPEC could easy adjust production quotas to keep the price stable since they produce almost 5 times as much oil as we do.

Since the US is a much bigger consumer than it is a producer of oil, reduction in US demand will have more impact on price than increased production.

1) why the reseves being milked then?
2) How many jobs does the increase of oil extraction, delivary, refinement and added American based products create?

JOBS
JOBS
Pauing 4.00 a gallon is bad when you have a job, when you dont its the end

 

[JRK]

LOL

Lib: Oil, the one commodity impervious to the laws of supply and demand

Fucking morons

Yeah, yet they still argue that reducing our use of it (demand) will lower the price.

Idiots indeed.

it did..

When did this occur?
and why is it we are about to tap the reseves again?

 

[FactFinder]

Obama:
Is Obama wanting to tap the oil reserve again?

I thought speculaters was the problem, not supply

Speculators are the problem! Oil reserves/supply went up again by astronimical amounts. Demand in the US is way down despite recovery. Everyone has learned to use less oil. [My statements are easily backed up by visiting the EIA site.] There are 3 factors currently playing in the gouging.

1. Republicans influence on the speculators (or vice versa) "If oil prices are high we can boot Obama out of office
2. Goldman Sach's and other hedge funds have no other avenue to gouge in
3. Obama has to appease the green aspects (the global warming 'seerers')

So us caught in reality are stuck between the pure greedy and the imagined intellectuals.

 

[JRK]

Obama:
Is Obama wanting to tap the oil reserve again?

I thought speculaters was the problem, not supply

Speculators are the problem! Oil reserves/supply went up again by astronimical amounts. Demand in the US is way down despite recovery. Everyone has learned to use less oil. [My statements are easily backed up by visiting the EIA site.] There are 3 factors currently playing in the gouging.

1. Republicans influence on the speculators (or vice versa) "If oil prices are high we can boot Obama out of office
2. Goldman Sach's and other hedge funds have no other avenue to gouge in
3. Obama has to appease the green aspects (the global warming 'seerers')

So us caught in reality are stuck between the pure greedy and the imagined intellectuals.

Why tap into the reserves?
and if the GOP influences Oil, how does that influence go to the middle east? we dont have any oil, remember?
Hedge funds have plenty of placed to make profits. Not even sure GS trades in Oil futures, They probably do, but oil futures are traded on a different market than the stock market
They trade Exxon I am sure, but futures?
I will google that, thats interesting

Look you may not believe this, but it is against the law to artificiall drive up items traded on the open market like crude
If Obama is so sure this is whats going on, why not investigate?

 

[NYcarbineer]

Who ever said supply had nothing to do with price?

OK, so no one ever said that. What's the point of this thread, again?

 

[JRK]

Goldman spooks oil speculators with call to take profit | Reuters
GS does, they drove the price down according to this report last year

 

[FactFinder]

Obama:
Is Obama wanting to tap the oil reserve again?

I thought speculaters was the problem, not supply

Speculators are the problem! Oil reserves/supply went up again by astronimical amounts. Demand in the US is way down despite recovery. Everyone has learned to use less oil. [My statements are easily backed up by visiting the EIA site.] There are 3 factors currently playing in the gouging.

1. Republicans influence on the speculators (or vice versa) "If oil prices are high we can boot Obama out of office
2. Goldman Sach's and other hedge funds have no other avenue to gouge in
3. Obama has to appease the green aspects (the global warming 'seerers')

So us caught in reality are stuck between the pure greedy and the imagined intellectuals.

Why tap into the reserves?
and if the GOP influences Oil, how does that influence go to the middle east? we dont have any oil, remember?
Hedge funds have plenty of placed to make profits. Not even sure GS trades in Oil futures, They probably do, but oil futures are traded on a different market than the stock market
They trade Exxon I am sure, but futures?
I will google that, thats interesting

Look you may not believe this, but it is against the law to artificiall drive up items traded on the open market like crude
If Obama is so sure this is whats going on, why not investigate?

Why tap into the reserves?

Wall Street machine has gone higher than Obama is comfortable with
and if the GOP influences Oil, how does that influence go to the middle east? we dont have any oil, remember?

If you check the facts we are actaully the 2nd largest oil producer in the world. With the new technology we also are among the world leaders in reserves.

Hedge funds have plenty of placed to make profits. Not even sure GS trades in Oil futures, They probably do, but oil futures are traded on a different market than the stock market
They trade Exxon I am sure, but futures?
Hedge Funds greatest profits in the last 5 years have come from commodities. They have specialized trading desks just for that purpose.

I will google that, thats interesting
Keep googling man....with discrimination.

 

[uscitizen]

Speculators are the problem! Oil reserves/supply went up again by astronimical amounts. Demand in the US is way down despite recovery. Everyone has learned to use less oil. [My statements are easily backed up by visiting the EIA site.] There are 3 factors currently playing in the gouging.

1. Republicans influence on the speculators (or vice versa) "If oil prices are high we can boot Obama out of office
2. Goldman Sach's and other hedge funds have no other avenue to gouge in
3. Obama has to appease the green aspects (the global warming 'seerers')

So us caught in reality are stuck between the pure greedy and the imagined intellectuals.

Why tap into the reserves?
and if the GOP influences Oil, how does that influence go to the middle east? we dont have any oil, remember?
Hedge funds have plenty of placed to make profits. Not even sure GS trades in Oil futures, They probably do, but oil futures are traded on a different market than the stock market
They trade Exxon I am sure, but futures?
I will google that, thats interesting

Look you may not believe this, but it is against the law to artificiall drive up items traded on the open market like crude
If Obama is so sure this is whats going on, why not investigate?

Why tap into the reserves?

Wall Street machine has gone hogher than Obamam is comfortable with
and if the GOP influences Oil, how does that influence go to the middle east? we dont have any oil, remember?

If you check the facts we are actaully the 2nd largest oil producer in the world. With the new technology we also are among the world leaders in reserves.

Hedge funds have plenty of placed to make profits. Not even sure GS trades in Oil futures, They probably do, but oil futures are traded on a different market than the stock market
They trade Exxon I am sure, but futures?
Hedge Funds greatest profits in the last 5 years have come from commodities. They have specialized trading desks just for that purpose.

I will google that, thats interesting
Keep googling man....with discrimination.

And we are 1st or 2nd in consumption? Kinda zeroes things out a bit then?

 

[JRK]

it did..

When did this occur?
and why is it we are about to tap the reseves again?

nah a month or two back i was reading NPR where they stated prices dropped in part because Americans where cutting back in usage.

Cutting back isnt a complete fix, but it does help.

Typically those of us who take what we state on this message board seriously we post a link
Its ok
Look cutting back on petro products will do very little, in all reality hi MPG vehicles have been around for a long time
The volt is dead, so with that the battery car died with it

The real issue is with Semis, heavy equip and all of thing petro products make that have nothing to do with driving vehichles, such as plastics

A semi loaded gets 3-4 MPG 7 days a week, 10 hours a day
take a look around
when you drive 50 miles a week a semi has done that in 1 hour and used 13 gallons of fuel