Skip to comments.Oil falls below $107 amid weak US gasoline demand
Posted on 03/01/2012 1:56:08 AM PST by U-238
prices fell to below $107 a barrel Thursday in Asia after U.S. crude supplies grew more than expected amid weak gasoline demand.
Benchmark oil for April delivery was down 39 cents to $106.68 at late afternoon Singapore time in electronic trading on the New York Mercantile Exchange. The contract rose 52 cents to $107.07 per barrel in New York on Wednesday.
Brent crude rose 2 cents to $122.68 per barrel in London.
The Energy Department said Wednesday that inventories of crude oil rose by 4.2 million barrels last week. Analysts were expecting an increase of just 1 million barrels. Demand for gasoline over the four weeks ended Feb. 24 was 6.7 percent lower than a year earlier, the department said.
Some analysts expect higher fuel costs will eventually undermine demand and push crude prices lower. U.S. retail gasoline prices rose to an average of $3.73 per gallon, 30 cents higher than a month ago.
Other economic indicators were more encouraging. The U.S. economy grew 3 percent in the fourth quarter, slightly more than the initial estimate of 2.8 percent. In another report, the Institute for Supply Management-Chicago said manufacturing in the Midwest region rose to a 10-month high in February.
The latest figures reinforce largely positive economic data from the U.S. during the last few months. Better than expected U.S. economic growth and moves by central banks to boost global money supply have helped push crude up to near $110 earlier this week from $75 in October.
(Excerpt) Read more at boston.com ...
Kiplingers has said that the price would hover around $110 ber barrel.Again one barrel of oil is 42 gallons.
I say we just refuse to let Saudi tankers offload, let them drink it fer chisakes.
get America pissed off enough and it will get even, even if that means shutting down consumption.
They are gravely mistaken if they thing most Americans are even fractionally as stupid as the current President.
Some lack of demand will be weather related but again some will be due to the lovely shape of our economy after three plus years of obamanomics.
“They are gravely mistaken if they thing most Americans are even fractionally as stupid as the current President.”
Can’t say I blame them for thinking that. I mean, look at who the Americans elected.
The dollar just went up nearly 2%, so the oil price dropped (only) 0.4%.
The oil prices we are seeing are hedge funds and speculators are in oil trading.
Usually you get caught twice
Of course the demand for Gasoline went down. Fewer and fewer of us have any need to drive daily to go to work since we no longer have a job to go to.
“Shut up you white devils... I kept gas below $7.00 a gallon... go back to work before I feed you to my cousins in kenya”. obamao
There is no storage capacity available in Chicago and surrounding Midwest cities. There is no gasoline shortage.
oil falls and GAsoline prices SPIKE they are over 3.26 a gallon - add 50 cents for moving it through the pump and you have the price on Saturday.
2008 is still fresh in everyone’s minds.
People are just going to revert to the austerity they did back then.
When it costs me $10 in gas just to pick my kids up at school, I start having them ride the bus.
If Obama can’t kick out that algae machine, like, tomorrow, then the money hoarding is going to contract the economy right back into recession (not that we actually ever LEFT)
I believe the tipping point last time was $4/gallon as far as forcing everyone to drastically change their behavior.
Uuuuhhh, re: gasoline shortage....in the tanks of the two vehicles I am responsible for...tidbits instead of full refills..what a mess!
I heard it said and would certainly support the idea.
What would actually happen if there was a NATIONAL boycott day and nobody purchased gas for one single day? How many million of gallons would NOT be sold on that day?