fuel prices continue to rise, even though the price of oil has dropped nearly $6.
http://www.bloomberg.com/apps/news?p...zsA&refer=home

 

well that makes sense now doesnt it? oil prices up, gas goes up, oil prices down, gas goes dow.....er....up?

 

yup, the system is in place for pump prices to rise no matter what oil does. i wonder what would happen if oil took a big dive, down to $100-$115/barrel or so? wouldn't it be great if oil took a dive, and we were still paying $4-$5/gallon!

 

If fuel did stay high priced it would make all of the tree hugger's and Al Gore very Happy!

 

but it shows what flippin' sheep we are! we're told fuel is so expensive due to record crude prices, but no one is asking why the pump price is INCREASING when oil DROPS by $6/barrel! if the price of crude went up by $6 today, tomorrow you would see pump prices jump by .20-.50/gallon.

 

I hate to say it, but it is kind of funny that $100-$115 is a drop. Seems like only months ago we hit records in the $70-$80 range.

 

Even funnier yet (but not) is how happy everyone would be to pay $2/gal as that would be "cheap".

My dad does a little private work for oil companies here and there and also watches the markets alot. He said the biggest problem is that all of todays prices are a result of people debating oil FUTURES. Not the here and now, they are basing the price today off of what might happen later. See oil consumption rising a few months or years down the road...raise prices today! He said the speculation hype is worse than OPEC. It would make sense, seems anymore they will dig for a reason to raise prices. Im sure they have an entire team paid handsomly to watch the news and look for a "good" reason.

 

Yeah to me a "drop" would be more like $30/barrel.

By "no one" I'm guessing you mean no one in the media? Because the people sure are asking! They have us over a barrel, pun intended. It doesn't matter if they come out and say, "we're keeping prices high to rip off the American public," there's not a darn thing we can do about it.

 

yup, no one in the media, none of our wannabe presidents, only us regular folks.

 

Cause and effect. If the prices are actually reflective of the supply then there is a built in delay on the price of fuel as compared to the price of crude. Also as mentioned earlier the price that is being talked about are futures price, not today's. If there were a futures traded that would purchase at $200 a barrel 2 years from now. The head lines would read "Oil hits $200" but that is not what anyone is paying for it for 2 years and thus it should have no impact on today's fuel prices.

 

I remember asking a commodities trader why gas goes up fast and down slowly, even though the gas in the station's tank still cost the station whatever they paid for their last shipment. He responded that the gas stations have to charge what they will have to pay for the next shipment to replace the fuel in their station's tanks.

I said, then why when I go to buy a car, television, etc. don't they charge me what it will cost to replace their inventory? By commodities logic, I should be paying 2009 prices for a 2008 car then, right? He just said that's the way the commodities business works. Nice.

 

funny watching the tail wag the dog- oil had been dropping, down as much as $6/barrel, then out of nowhere morgan stanley announces that they see oil at $150 in the near future and all of the sudden the drop stops, and it starts going back up. gee, i wonder how many morgan stanley employees and clients have lots of oil stock in their portfolio? maybe some mutual funds, heavy into oil? imho these record prices will continue until someone changes the rules of the game.
http://www.oilwatchdog.org/articles/...?storyId=20404

 

it will go higher.

I invest in oil and can tell you it takes 2.5-3 weeks for the vurrent oil price to hit the market. Soon we will have that 135 a barrel oil in the market then it will drop then rise again as everyone will be buying in the dip.

 

thanks for taking an active role in the fleecing of America.

 

Read this article......I think they are on to something.......Supply and demand my big ole butt.....

http://www.cnn.com/2008/US/05/30/oil...rss_topstories