"Oil crashes 10 percent in record rout"

[Townsend]

(Reuters) - Oil collapsed into free-fall on Thursday, diving more than 10 percent and sending U.S. crude back under $100 a barrel as investors staged an unprecedented stampede for the exits.

http://www.reuters.com/article/2011/05/05/us-markets-oil-idUSTRE7446BH20110505

[Teatownclown]

The oilies like it down. $100 is an ideal price. Keeps them out of the limelight while they get their GOP gophers to lie about closing certain loopholes: http://www.dailykos.com/story/2011/05/05/973345/-Number-of-Republicans-who-voted-to-allow-vote-to-cut-oil-subsidy:-Zero

[sauerkraut]

In 2008 oil hit $147.00 a barrel and the pump price was around $4.00 a gallon, Today oil hit & peaked at  $112.00 a barrel and the pump prices were $4.00 a gallon. Obama's falling dollar played a big part in the 2011 fuel price hike..

[YoungTulsan]

In 2008 oil hit $147.00 a barrel and the pump price was around $4.00 a gallon, Today oil hit & peaked at  $112.00 a barrel and the pump prices were $4.00 a gallon. Obama's falling dollar played a big part in the 2011 fuel price hike..

That makes absolutely no sense.   The $112 oil and the $4 gas are priced in the SAME DOLLARS.

Oil was also $50-60 a barrel during 2005 when gas spiked to $3.50 a gallon.

The price of a barrel of oil is like the "base" price for gasoline.  Gas can't really get cheaper than the price of a barrel of oil allows, but it can go higher due to supply/demand issues of refined fuels.  Right now it is the switching to all sorts of specific summer blends for different markets that really kills off any chance to have an abundance of supply.

[Hoss]

That makes absolutely no sense.   

Consider.The.Source

[Hoss]

In 2008 oil hit $147.00 a barrel and the pump price was around $4.00 a gallon, Today oil hit & peaked at  $112.00 a barrel and the pump prices were $4.00 a gallon. Obama's falling dollar played a big part in the 2011 fuel price hike..

So Bush was to blame for the 2008 oil hit, right?

[Teatownclown]

 Time for the "speculator's tax"...

Monday, May 9, 2011
Oil price plunge proves oil company collusion and price gouging.
http://tominpaine.blogspot.com/2011/05/oil-price-plunge-proves-oil-company.html

"If the best the oil industry can do to defend the spike in gasoline prices is run commercials trying to say, sure we are cleaning up but the little guy who owns stock is seeing benefits too, you don't need me to tell you they are price gouging and colluding."

[YoungTulsan]

He is postulating a theory that Obama's policies are to blame for it only taking $112 oil to translate to $4 gas when it took $147 oil to get $4 gas in 2008.   Forgetting that $60 oil translated to $3.50 gas in 2005.

[Hoss]

He is postulating a theory that Obama's policies are to blame for it only taking $112 oil to translate to $4 gas when it took $147 oil to get $4 gas in 2008.   Forgetting that $60 oil translated to $3.50 gas in 2005.

Keep in mind too this is the same person that would likely adopt Sarah Palin if he could...

[sauerkraut]

Not at the pumps, The gasoline price is still holding firm. I remember when Obama shut down Gulf oil drilling, the next day pump prices jumped 10 cents.

[Red Arrow]

Not at the pumps, The gasoline price is still holding firm. I remember when Obama shut down Gulf oil drilling, the next day pump prices jumped 10 cents.

As of my trip to work this AM, prices are down a few cents/gal.  I expect they will jump back up a dime or so as soon as I need to fill the gas tank again.

[Hoss]

Not at the pumps, The gasoline price is still holding firm. I remember when Obama shut down Gulf oil drilling, the next day pump prices jumped 10 cents.

You do realize that there is typically a 10 day delay before you see prices at the pump drop from an oil price reduction?  Inversely, speculators drive that price up a day or so after an increase.  Nature of the beast.  Spent a bit of my early adulthood in the business working for a company that provided gasoline to quite a few c-stores, so I'm pretty familiar with how it all works.

[sauerkraut]

As of my trip to work this AM, prices are down a few cents/gal.  I expect they will jump back up a dime or so as soon as I need to fill the gas tank again.

Yep, it's  down 5 cents but the price per barrel has gone up yesterday.. The one thing about Tulsa I learned is that QT sets the citys fuel prices, no station sells gasoline for less than QT prices, but some do  sell higher  than QT.  In other cities there is some compitition in the gasoline market, and no one  company sets the prices for the city, Columbus, Ohio and Indianapolis, have Speedway Stations, Thorton stations, BP Stations,and  Meijer stations, along with mom & pop stations and there is no one  King or gasoline price ruler there. There are no QT stations in Indianapolis or Ohio either.. Omaha, NE. has QT stations but they are not the cities gas-price rulers, there is more flexability in gasoline prices in Omaha- unlike in Tulsa. The HyVee stations in Omaha give you 3 cents  off per gallon if you shop in the HyVee stores and show the reciept when you buy fuel.

[sauerkraut]

You do realize that there is typically a 10 day delay before you see prices at the pump drop from an oil price reduction?  Inversely, speculators drive that price up a day or so after an increase.  Nature of the beast.  Spent a bit of my early adulthood in the business working for a company that provided gasoline to quite a few c-stores, so I'm pretty familiar with how it all works.

Yeah it should happen that way but it didn't. Obama shut down drilling in the Gulf and the next day gasoline was up 10 cents a gallon. Was that just by chance? I have my doubts.

[Townsend]

Yep, it's  down 5 cents but the price per barrel has gone up yesterday.. The one thing about Tulsa I learned is that QT sets the citys fuel prices, no station sells gasoline for less than QT prices, but some do  sell higher  than QT.  In other cities there is some compitition in the gasoline market, and no one  company sets the prices for the city, Columbus, Ohio and Indianapolis, have Speedway Stations, Thorton stations, BP Stations,and  Meijer stations, along with mom & pop stations and there is no one  King or gasoline price ruler there. There are no QT stations in Indianapolis or Ohio either.. Omaha, NE. has QT stations but they are not the cities gas-price rulers, there is more flexability in gasoline prices in Omaha- unlike in Tulsa. The HyVee stations in Omaha give you 3 cents  off per gallon if you shop in the HyVee stores and show the reciept when you buy fuel.

OK, what's your opinion with what's going on with the Corp Commission and Canadian oil?