What is happening with gas prices

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evapilotaz

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I paid $1.85 for 87 octane and filled up the car for $19. Why are the gas prices so low? I should be enjoying it but I'm nervous some big war is on the horizon that is going to end all of this.
 
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An FBO won't lower its price until it receives a new load of fuel at a lower price.

If it doesn't need a truckload for three months, the price will stay up that long.

A gas station for cars probably goes through a lot more deliveries, so they can change gas prices more frequently.
 
Personally, for my portfolio's sake, I'm starting to think I want to see _higher_ oil prices!
 
Easy answers! Supply and demand in both instances. There has been a glut of auto gas and diesel for over a year. There really is no need for expensive ethanol either. Prices are where they should have been a long time ago. However, tar sands oil , like the Canadians are producing , is much more expensive to process, making the pipeline controversy a moot point.
 
OPEC is upping production in an effort to thwart US oil shale/development.
 
Captain said:
OPEC is upping production in an effort to thwart US oil shale/development.
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Yep, and also to put the squeeze on some other large producers who can't compete at low prices. It's temporary, but I think the petroleum industry will continue to become increasingly volatile as new markets develop.
 
OPEC is driving the price down to see what price point stops the production here.
 
So US oil will need a big Mideast war to get their prices and production back. Wonderful. False flag terror attack in....
 
Living in San Diego, we never see low gas prices :( Plus my car requires 91, so I get reamed that way too. The price we pay for awesome weather i guess :)

-Brian
 
Putting the screws to Russia and Venezuela.
 
Captain said:
OPEC is upping production in an effort to thwart US oil shale/development.
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That would seem to be an exercise in futility because that shale oil is still going to be there and still be exploited when demand catches back up to supply when it becomes worth being drilled again.
 
Maybe the A rabs love butterflies and have jacked up production to make fracking uneconomical so we don't frack our butterflies to death.:rolleyes::goofy:
 
$3.24 at KLEE today :) Enjoy it while it lasts. Oil is a very volatile commodity. Just look at a weekly chart for the past 20 years. Sad to say, it WILL go back up.... hopefully it will stay low awhile. As I write this oil is down 2 percent this morning... so looks like more lower prices to follow
 
dans2992 said:
Personally, for my portfolio's sake, I'm starting to think I want to see _higher_ oil prices!
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I like the ride. Looking to buy CVX, COP, BP, HP, TD and BNS as they bottom.
Your portfolio will love these over the next year or so.
Use it as an opportunity. (I'm not a broker).
 
EppyGA said:
OPEC is driving the price down to see what price point stops the production here.
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I think you are missing the big geopolitical picture. This is all about punishing Putin / Russia. Lower oil prices are crushing his economy and country take over plans. It could push him into war as his political power at home erodes. :dunno:
 
I'm all for screwing over Putin. And I'm all for cheap gas. So this all sounds great to me.
 
100LL also usually has a lag over car gas. When I started flying filling my Excursion was... $4/gallon. filling the 172 was... $4/gallon.

That summer it was $6/gallon.
 
NoHeat said:
An FBO won't lower its price until it receives a new load of fuel at a lower price.
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That may be true, but my FBO recently received a load and dropped their price from $4.99 to $4.69.
There must be another reason. A small but captive customer base comes to mind.
 
Aldeskeukin said:
I like the ride. Looking to buy CVX, COP, BP, HP, TD and BNS as they bottom.

Your portfolio will love these over the next year or so.

Use it as an opportunity. (I'm not a broker).
Click to expand...


I've currently got about as much allocation to the Energy sector as I want..

I went in on LNCO and VNR for the dividends about a year ago.
 
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