F... gas prices

[GTripp0012]

Originally Posted by CRedskinsRule

HECK NO, The oil companies feared The Obama so they have brought the prices back down!

If this is true, and they are selling at a loss of $2.00 per gallon or more, then why don't they fear him enough to go out of business? Something ain't right.

[dmek25]

Originally Posted by GTripp0012

If this is true, and they are selling at a loss of $2.00 per gallon or more, then why don't they fear him enough to go out of business? Something ain't right.

you really think they are losing money?

[GTripp0012]

Originally Posted by dmek25

you really think they are losing money?

No. I think it's an insane idea to believe they'd be willing to sell at that much of a loss and not go out of business. But it's an implication that has to be made in order to credit the aura of Obama for the drop in gas prices.

The price of oil per barrel is hovering around $50 now. It was around $140 this summer. That's the reason: global demand is down 10% because there's no global economic growth.

[70Chip]

Originally Posted by GTripp0012

No. I think it's an insane idea to believe they'd be willing to sell at that much of a loss and not go out of business. But it's an implication that has to be made in order to credit the aura of Obama for the drop in gas prices.

The price of oil per barrel is hovering around $50 now. It was around $140 this summer. That's the reason: global demand is down 10% because there's no global economic growth.

A 10% drop in demand causes a 65% drop in price? If Opec cuts production 10% ( and were able to enforce it) , will the price go back to $140? I still think there is a lot of speculation involved. Money chases money in both directions and there is no law that says the flow has to necessarily be rational. Especially when people's vision does not extend beyond the next five minutes.

Of course the idea that the oil companies have lowered the price as an homage to Obama is an idea just stupid enough for most Obama supporters to believe.

[MTK]

Originally Posted by 70Chip

A 10% drop in demand causes a 65% drop in price? If Opec cuts production 10% ( and were able to enforce it) , will the price go back to $140? I still think there is a lot of speculation involved. Money chases money in both directions and there is no law that says the flow has to necessarily be rational. Especially when people's vision does not extend beyond the next five minutes.

Of course the idea that the oil companies have lowered the price as an homage to Obama is an idea just stupid enough for most Obama supporters to believe.

It was a joke.

[GTripp0012]

Originally Posted by 70Chip

A 10% drop in demand causes a 65% drop in price? If Opec cuts production 10% ( and were able to enforce it) , will the price go back to $140? I still think there is a lot of speculation involved. Money chases money in both directions and there is no law that says the flow has to necessarily be rational. Especially when people's vision does not extend beyond the next five minutes.

Of course the idea that the oil companies have lowered the price as an homage to Obama is an idea just stupid enough for most Obama supporters to believe.

If OPEC cut production 10%, it would probably go past 140. 10% is a ridculously massive amount, and based on the current reliance of economies on cheap oil, it would probably border on inhumane for OPEC to do that for no real good reason.

I think OPEC cut production like 1.5% in November to prevent the industry from being floored, and that meant (I think, I'm not sure on this number, I might have an extra zero) 150 million fewer barrels per day produced.

[onlydarksets]

Originally Posted by GTripp0012

If OPEC cut production 10%, it would probably go past 140. 10% is a ridculously massive amount, and based on the current reliance of economies on cheap oil, it would probably border on inhumane for OPEC to do that for no real good reason.

I think OPEC cut production like 1.5% in November to prevent the industry from being floored, and that meant (I think, I'm not sure on this number, I might have an extra zero) 150 million fewer barrels per day produced.

Looks like 2 extra zeros:
http://www.nytimes.com/2008/12/18/bu...ss/18opec.html
According to the NYT, since September OPEC has made cuts totaling 4.2 million barrels a day (including a 2.2 million barrel/day pledge yesterday), which represents a 12% reduction since September.

[firstdown]

Originally Posted by onlydarksets

Looks like 2 extra zeros:
http://www.nytimes.com/2008/12/18/bu...ss/18opec.html
According to the NYT, since September OPEC has made cuts totaling 4.2 million barrels a day (including a 2.2 million barrel/day pledge yesterday), which represents a 12% reduction since September.

I thought Bush controlled the price of gas and not OPEC?