Energy prices tumble, gasoline leads the way

AP/GoogleNews ^ | 6/19/09 | CHRIS KAHN

[Kartographer]

Gasoline markets exhibited the first signs that an extended rally in pump prices is nearing an end after 52 straight days on the rise.

Gasoline futures started falling midweek after a government report showed a huge surplus. Already, wholesale gasoline prices in key markets like the Gulf Coast and Chicago had begun to fade. Should prices continue to fall on the New York Mercantile Exchange, cheaper gas may be on the way for motorists.

[Kartographer]

Bubble burst?

[bigbob]

let us hope the speculators get their nether regions burnt to a crisp

[clee1]

Up like a rocket; down like a feather.

[Horusra]

For later reading.

[a fool in paradise]

BUFFETT: I WAS 'DUMB' (sends 21 page letter to shareholders) (NY POST 3/2/08 RICHARD WILNER)

IN LETTER, ORACLE ADMITS TO ERRORS IN WORST-EVER '08

Warren Buffett admitted to doing some "dumb things" in 2008 - the worst year for Berkshire Hathaway in the 44 years he has run it. A brutal stock market decline amid a teeth-gnashing recession pushed Omaha-based Berkshire to a 96% drop in profits, its fifth straight quarterly earnings decline. Buffett, known as the Oracle of Omaha for his decades-long record of picking value investments, said buying ConocoPhillips shares when gas and oil prices were at their peak was perhaps the dumbest move in 2008. Berkshire bought 84.9 million shares at $82 a share - it closed Friday at $37.25, Buffett's paper loss was $2.6B. "I still believe the odds are good that oil sells far higher in the future than the current $40-$50 [per barrel] price," Buffett wrote... "But so far I have been dead wrong." ...... Buffett explained to shareholders his investment philosophy - ".....pessimism is your friend, euphoria the enemy".........

[Dallas59]

I’m so glad gas is at $2.59. It’s never been lower....uh wait...

[Sig Sauer P220]

I’ll tell you why. Its because I recently invested a bunch in oil and oil drilling stocks. Never fails.

[Zeddicus]

Don’t get too excited. If gas prices come back down, that will just encourage Obama to start looking at increasing gas taxes again. Low gas prices are not conducive to his agenda.

[Buckeye McFrog]

huh? It’s up a good fifty cents over two weeks where I live

[Texican72]

I hope the bubble bursts big time by Monday. We’re going on vacation, and its 400+ miles one way...

[anoldafvet]

Must be true. The price of gas here in Louisville went UP $.12 - $.20 this morning.

[mysterio]

There’s not enough consumer demand to support gas approaching $3 a gallon. Glad to see the markets are finally reflecting that reality.

[norwaypinesavage]

"Bubble Burst?"

No, AP cheer leading for Obama. AP never predicted a trend on one day's positive news when any Republicans were in charge.

[Twotone]

“I’ll tell you why. Its because I recently invested a bunch in oil and oil drilling stocks. Never fails.”

My sweetie & I are going on a road trip to Canada for two weeks in July. Our motor home gets about 9 mpg when we’re lucky. I DO appreciate your efforts on our behalf! ;-)

[seatrout]

—let us hope the speculators get their nether regions burnt to a crisp—

Exactamundo. He who lives by the bubble will die by the bubble (when the darn thing finally bursts).

[tnlibertarian]

I’ll tell you why. Its because I recently invested a bunch in oil and oil drilling stocks. Never fails.

Would you mind investing in some cattle futures? I could use a couple of cheap rib-eyes.

[Tallguy]

I think that energy (oil) demand outside the US was firming up recently. We’re also dealing with a weakening dollar due to Obama running the printing presses around the clock.

[mysterio]

Did the demand double? Because the price of oil did.

Oil is being looked at as a safe investment, and a lot of money (including taxpayer money from bailed out financial institutions) is pouring into it. What's wrong with that? Nothing. But as long as energy remains artificially high, we're going to have trouble getting out of this recession.

If I had a business right now and was selling something, I sure as hell wouldn't want a large percentage of my customers spending all of their discretionary income on gasoline.

[TYVets]

$2.39 in Springfield, Missouri today dropped 10 cents over night.

Was $1.39 earlier this year when Bush was in office.

[rwfromkansas]

Agreed.

This is ridiculous. There was no sound reason for oil and gas to shoot up like it did, and at least now, sanity is back in the market....likely temporarily, but just in time for vacation over the 4th of July.