Prices will fall, not plummet, at the pumps

Waterbury Republican-American ^ | January 20, 2007 | Madlen Reed (A.P.)

[Harmless Teddy Bear]

Ok my statement still stands

Even though it is a lie.

Understood. Truth means nothing to you.

So how long have you been a Democrat?

[italianquaker]

I dont have to, all I have to do is go to the gas stations and watch how they react to price fluctuations in oil.
I understand that when oil prices rise they quickly raise rates and when oil prices drop it takes weeks. The gas is still the same in the pump. So all the graphs and figures will not change my mind or the majority of consumers who see this with there own eyes. Yes I do have stock in energy companies also.

[italianquaker]

attacks are why we lost the house and senate, since your so good at research look at my posts for the last couple of years and you will see how idiotic that statement was, this will be my last reply to you

[bray]

Agreed. I am beginning to think that this whole sectarian/terrorist violence is to keep Iraq oil production down. This could easily be an alliance between Iran/Russia to inflate the price of oil.

Pray for W and Our Troops

[IronJack]

Looking at your chart, the retail price seems to follow the price of crude fairly accurately, until about Christmas of last year, when the current slide began. Although current retail reflects a decline, crude prices reflect a precipitous drop. The margin between the two prices indeces is almost zero now, meaning that, among other things, we are paying the retail equivalent of about $61 a barrel, while the cost of crude is below $50 a barrel.

No doubt the retail price will continue to decline, but what accounts for the narrowing of the margin since Christmas?

[Harmless Teddy Bear]

I wouldn't hold my breath. :)

They don't offer proof because they have none to offer. The gas and oil industry is one of the most highly regulated and closely watched industries in the world. Catching them in wrong doing would be the golden ticket for any politician, they could ride it straight to the White House.

But all that has ever been found for decades has been some petty penny ante local stuff.

[bray]

That graph and common knowledge shows a 1 to 1 correlation. Right now demand is down and production is up so prices are going down. It isn't going to follow exactly since the prices have to reach the pump first.

If you own a station and you know your going to have to pay more for the next truckload you are going to raise prices immediately. If you are going to have to pay less, you raise it later and enjoy the profit, unless your competition lowers his.

The libs have eliminated the competition by forcing the independents out with their clean-up laws which made owners pay millions to keep running. Now the independents are gone and enjoy the monopoly. Thank you libs.

So the overriding factor is the price of crude as the chart shows.

Pray for W and Our Troops

[italianquaker]

Also during the Clinton years refineries were shut down, this does affect us when supplies are tight unlike now when there is plent of oil on the market. I still believe in what i said but you raise valid points

[bray]

No these guys are too stubborn to admit they're wrong. They hate big oil and any corportation that makes a profit, except theirs of course. Your chart is pretty clear and so has to dismiss you as an evil big oil person to ruin your credibility. Oldest trick in the book.

Pray for W and Our Troops

[Harmless Teddy Bear]

attacks are why we lost the house and senate,

Like you are attacking the gas and oil industry with no proof of wrong doing?

I would say more that it happened because we allowed people to smear and spread lies and innuendo with out challenging them to either offer proof of their slander or retract their lies.

this will be my last reply to you

Well at least having admitted that you have nothing to put up you have the decency to shut up.

[italianquaker]

attacks are why we lost the house and senate,
Like you are attacking the gas and oil industry with no proof of wrong doing?

I would say more that it happened because we allowed people to smear and spread lies and innuendo with out challenging them to either offer proof of their slander or retract their lies.

this will be my last reply to you

Well at least having admitted that you have nothing to put up you have the decency to shut up

[Harmless Teddy Bear]

what accounts for the narrowing of the margin since Christmas?

The size of the chart.

The gap stays pretty much the same percentage wise over time.

[fish hawk]

Pure BS is your BS. Gas hasn't gone down an iota here on Maui no matter what the barrels are going for. What is BS in one area may not be BS in another.

[Harmless Teddy Bear]

It is pretty sad.

The funny thing is that even if you throw in Canada (which is a net oil producer) you get the same result. The price of crude on the open market is the biggest factor in the rise and fall of gas prices and they track.

[Harmless Teddy Bear]

Looks like Hawaii runs a bit behind the rest of the US in reacting to drops and rises in oil prices.

[MNJohnnie]

So have all the Junk Media types, assorted Democrat politicians and other wack jobs who claimed the price drop was all a plot by Bush to influence the elections apologized for slandering the President yet?

[RockinRight]

I've seen $1.88.

[fish hawk]

And that's Honolulu. I just filled up at a Chevron station a few days ago. Regular: $3.19 per Gal.

[gatorbait]

No doubt the retail price will continue to decline, but what accounts for the narrowing of the margin since Christmas?

Putting on my tin foil helmet, I will venture to say, market manipulation by Soros or a Soros style organization is a factor in a lot of this. Okay, you can feel free to say I'm nuts.

[IronJack]

The gap stays pretty much the same percentage wise over time.

Agreed. But this recent plunge seems to be an exception. I'm trying to understand the market forces that make this slide any different than those of the past.