gasoline price

WHY does the price of gas keep going down? i dont buy the supply and demand bs.

Demand did drop quite a bit but so did speculation.

Our conscience got the best of us from making so much money that we thought it would be nice to throw you suckers a few crumbs just before Christmas.

Thanks for making us filthy rich.
Big Oil

When crude oil is refined you get all fractions to some extent it can be pushed to make more gas than fuel oil or more fuel than gas. Right now the push is to make fuel oil, and gas inventories are building. Fuel oil used to cost less than gas, now it is more. The fact fuel oil is refined to a lower sulfur level aggravates the cost picture.

The btu spread between natural gas and fuel oil is pretty close, oil is dragging the value of natural gas down. Lots of natural gas is coming to market as demand is slacking. While the economy is in the tank, petroleum energy will be undervalued.

"Cheap" oil will gut the alternative energy programs, like ethanol and solar.

Many OPEC countries need $75 oil to maintain their economies.

The price of oil is linked to gold at around 13 barrels to the ounce of gold. When it gets outta whack to one extreme to another there is an adjustment. It all averages out.

Its goin down because the price of crude oil has dropped from $140 bucks a barrel to just above $60 bucks a barrel.

Supply and Demand BS? Supply and demand drive all pricing on everything.There is a World Wide
recession going on with lots of folks being laid off so they can't drive their gas guzzling 4WD and SUV around with a lot more unemployment coming in the near future.Speculators don't really move the price of anything that much they are really betting on which way the price will go. They are now betting it will keep falling because of World Wide economics going downhill.

Gasoline, like all other commodities, is bought and sold on the futures market. Ultimately supply and demand controls the price, but speculation drives the price up and down. Take a look at what grain prices have done in the past few months.

Wall Street and speculators drove crude to $147,not supply and demand as some wanted you to believe.Once the Dow started to fall it took crude and grain right along with it.

I live in an area where there is heavy crude.It has to be heated to pump and their break even point is $50.

SO TRUE ,,Lot of those speculators are living in a cardbox between the tracks and the river now ..... In timer they will get their courage and a roller coaster ride ALL WILL take ,,, ARE U ready ???

JH,

For every speculator who loses money on a trade, somebody else MADE money.

Don't it just make you want to hang on every word of the "They Say..." crowd?

The falling price of grains has also sent many of the ethanol plants here in the central U.S. into a downward spiral. Many of the plants locked in grain when the price was so hi and are losing their butts now that its fallen.

Well let's see. OPEC announced this week that they we cutting production, again, due to lower demand. That was reported widely in the news this week, didn't you hear?

American gasoline reserves were higher than expected due to the slowing economy. Less economic activity means less stuff being moved around. That, too, was widely reported in the news, didn't you hear?

I work for a small shipping/courier company. We can definately tell you when the economy is good and bad. Our daily runs are down 50% from a year ago. Less economic activity means printers printing less, fabricators fabricating less, supply companies supplying less.

Very simple economics. It is supply and demand, stop believing the conspiracy theories. Yes, the speculators have some influence, but they are a necessary part of the equation. If they start bidding a commodity up, that is an indicator that supplies are low and demand is rising. The smart people, and those with a few dollars to spare, (unlike me), find that to be a really good time to buy into that market. Some of those people are fund managers, the guys that handle mutual funds for retirees, unions for teachers, police, and fireman, and people who invest for their retirement. Without speculation they would not have as good of an understanding as to what it happening, and what it likely to happen. Thus, the need for speculators.

As someone who drives over 200,000 miles a year, I am more sensitive than most to high fuel prices, but I don't bellyache about speculators. I get informed, and that helps me to understand what's going on, and that makes it a little easier to bear.

And if you are one that takes pleasure in "rich" pepole's pain, the speculators that bought futures at $149/barrel are taking it in the shorts now. That should give you some comfort.

Best to you and yours.

547.95 miles a day 365 days a year. Now that"s gettin" with it.

Ya, quite few 1000 mile back to back days in there too. Brutal. I drive a van, under 10k pounds, so no DOT restrictions.

Ok,look,if you are thinking right,why was oil,just a few months ago at its highest ever price?Now its less than 1/2 of what it was in say May?You or anybody else that says that is a supply and demand issue,think about it.Its not a supply and demand issue,its a stock market manipulation issue.If you think its anything else,you are just plain wrong.Its blatant stock market abuse,not much else.You cant put any spin on it because its just plain thievery.We have fought wars before,with a lot less fluctuation of the price of fuel.While we are fighting a war now,it does not make any difference,the price goes up,yeah right!I wasnt born yesterday,neither was anybody else that can read and write.The supply and demand is this,you have a few dollars,the thieves are demanding them.Its a wealth redistribution from the poor to the rich.