PETROLPHOBIA (Page 22/66)
jstricker OCT 03, 06:46 PM

quote
Originally posted by maryjane:


The price for oil may [i]dip[/] below $100/bbl for a very short time, but it won't stay there for long. People who think it will go to the $60-$75/bbl range and stay there are just guilty of wishful thinking.




Don,

That depends on how you want to figure it, I suppose. Oil is traded in US $. Right now, the $ has regained about 13% of it's value which all by itself, from Oil's high, accounts to about 20% of the drop in oil prices (about $30). Now take into account that as recently as 2 years ago, the dollar has devalued almost 43%, if that should reverse itself that could easily put oil at the $80 level, and that would still be at a value that the US $ is still below the Euro by about 15%.

On oil trades, exchange rates are very crucial to pricing, since that's how oil is priced throughout the world (in US $).

The question is, what will happen to the $? I personally don't see this bailout as helping it any unless it's very carefully managed by the feds (and I hold out little hope for that happening).

I guess my point is that things not related to supply and demand on oil are affecting the price more than anything else. Before you say that just can't happen, keep in mind we've seen wheat prices go from over $10/bushel less than 9 months ago to under $6 right now, a 40% drop. That also is greatly related to a strengthining dollar because cheap dollars makes it easier for other countries to buy our commodities, expensive dollars due the opposite.

John Stricker
USFiero OCT 06, 11:02 AM
Still headin' down. Dropped another .10/gallon Sunday = $3.29/gal
USFiero OCT 13, 09:15 AM

quote
Originally posted by me 10/04/2007:
Prices have been as high as $2.59 and right now the best prices about $2.49 a gallon.




Of course, prices are coming down now, but will it get this low again? Last year two and a half bucks a gallon was too much.
USFiero OCT 16, 06:49 AM
Oil prices fall, and so does gas. I won't be dancing in the streets with gas well into the $2 per gallon range, but gas here can commonly be found for less than $2.90/gal
USFiero OCT 20, 10:13 AM
$2.65/gallon this AM
USFiero OCT 27, 10:36 AM
....and $2.29 now the cheapest in town. Lost my job last week. Oil is about half the highest price lately, all economies of scale. Everything's a bargain but no money to spend. How far does this go back? Osama's plan to usurp the economy by attacking the world trade center? Greedy speculator's? Sub Prime mortgage brokers? Natural cycles in growth and trade? Our government/the world government asleep at the wheel? The perfect storm? Now I get to apply for unemployment and a new job at home in my underwear.

[This message has been edited by USFiero (edited 10-27-2008).]

USFiero NOV 02, 02:17 PM
Finally, it has reached $1.99 here. The damage is done though. Still too high. What strikes me as so strange, how have we consumers put up with wildly fluctuating prices from this industry? Are we really that dependent on the industry that it dictates to us? (The answer to all of this is of course yes)
fierobear NOV 02, 02:46 PM
Bush got blamed for the price rise. Does he now get credit for the price dropping?
84Bill NOV 02, 02:49 PM

quote
Originally posted by fierobear:

Bush got blamed for the price rise. Does he now get credit for the price dropping?



Yeah... figures the a-hole would finally do something right during his last few months in office... What a bafoon.
USFiero NOV 13, 02:47 PM
Between $1.85 ~ $1.89 here at the discount gas stations. Too bad the economy is in the bucket, but when prices on this common commodity was close to $4 a gallon I think it contributed the rapid decline.