Oil Price Dropping

SpokenJeremySpokenJeremy Posts: 604
edited September 2006 in A Moving Train
Anyone else see through this b.s. about oil dropping? Seems to me the republicans are in a bit of trouble this coming November, and wouldn't you know it, oil prices are falling. Hmmmmmmmm
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  • surferdudesurferdude Posts: 2,057
    So you think the Republican party controls world oil prices? All I can say is amazing.
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  • TacoJammer wrote:
    Anyone else see through this b.s. about oil dropping? Seems to me the republicans are in a bit of trouble this coming November, and wouldn't you know it, oil prices are falling. Hmmmmmmmm

    http://en.wikipedia.org/wiki/Correlation_implies_causation_(logical_fallacy)
  • surferdude wrote:
    So you think the Republican party controls world oil prices? All I can say is amazing.


    No I didn't say that. I am saying that is a widely known fact that a lot of Republicans have lots of buddies in the oil industry.
    Intelligence is the key and she was locked out

    Let's Just Pop a Few Yards of Bubble Wrap and Call It a Day!

    Don't Die Wondering

  • TacoJammer wrote:
    No I didn't say that. I am saying that is a widely known fact that a lot of Republicans have lots of buddies in the oil industry.

    Unfortunately, it's not widely known fact that the oil industry doesn't set oil prices.
  • TacoJammer wrote:
    No I didn't say that. I am saying that is a widely known fact that a lot of Republicans have lots of buddies in the oil industry.


    If the price of oil stayed where it is, and all of a sudden gas prices reduced, you might have a point, but like mentioned above, oil companies don't set the price of a barrel of oil.
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  • "but like mentioned above, oil companies don't set the price of a barrel of oil."

    you can't tell these people that. have a friend at work that cusses bush every day over gas prices..he always says "but he's the president!!!" like he can just go to chevron, get on a ladder and change the prices.
  • "but like mentioned above, oil companies don't set the price of a barrel of oil."

    you can't tell these people that. have a friend at work that cusses bush every day over gas prices..he always says "but he's the president!!!" like he can just go to chevron, get on a ladder and change the prices.

    Don't be silly. Only Dick Cheney can do that.
  • we, as consumers, have more power than anybody..but we don't exercise that power. everybody i know bitches and moans about the price of gas..yet, i leave the house yesterday and 1 station had it at $2.29..right next door it was $2.39...there were more people at the more expensive pumps than the cheaper ones..makes no sense.
  • iamicaiamica Posts: 2,628
    Gas and oil prices peak between Memorial Day and Labor Day, then fall again until the following start of summer. It happens every year.
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  • inmytreeinmytree Posts: 4,741
    Don't be silly. Only Dick Cheney can do that.

    perhaps you are correct...after all, we have no idea how our current energy policy was really written...

    I know I've posted something in the past pointing out how the oil companys have manipulated the market, thus leading to the huge profits...I know, I know, that's business...if you're a shyster...

    I, too, find in interesting that gas prices are suddenly falling...all the normal excuses are still in place...unrest in the middle east, a storm in the atlantic, unrest in nigeria, saber-rattling in iran...

    I just find it.....interesting....
  • inmytree wrote:
    perhaps you are correct...after all, we have no idea how our current energy policy was really written...

    Too bad our "current energy policy" has no direct influence over the price of a barrel of oil.
    I know I've posted something in the past pointing out how the oil companys have manipulated the market, thus leading to the huge profits...I know, I know, that's business...if you're a shyster...

    Oil companies do manipulate the availability of gasoline.
    I, too, find in interesting that gas prices are suddenly falling...all the normal excuses are still in place...unrest in the middle east, a storm in the atlantic, unrest in nigeria, saber-rattling in iran...

    You forgot that gas prices always fall in September.
    I just find it.....interesting....

    Is it an unwritten rule around here that interesting surrounded by quotes means "CONSPIRACY!!!!!!!", or am I just making that up?
  • inmytreeinmytree Posts: 4,741
    Too bad our "current energy policy" has no direct influence over the price of a barrel of oil.



    Oil companies do manipulate the availability of gasoline.



    You forgot that gas prices always fall in September.



    Is it an unwritten rule around here that interesting surrounded by quotes means "CONSPIRACY!!!!!!!", or am I just making that up?


    I figured you'd break this up....;) anyway, please don't put words in my mouth...I said nothing about a conspiracy...

    all I'm saying is all the "excuses" are in place, yet prices drop...I happen to find that odd...yes, yes, it's September, blah blah blah....as I've said, every excuse is available, yet prices are dropping and dropping fast...I'd be very curious as to what they will be the 1st of November...

    by the way...how do you know our current energy policy has no influence over the price of gas...? it was written behind closed doors....how do we know no one is pulling the strings....
  • inmytree wrote:
    I figured you'd break this up....;) anyway, please don't put words in my mouth...I said nothing about a conspiracy...

    Fair enough.
    all I'm saying is all the "excuses" are in place, yet prices drop...I happen to find that odd...yes, yes, it's September, blah blah blah....as I've said, every excuse is available, yet prices are dropping and dropping fast...I'd be very curious as to what they will be the 1st of November...

    by the way...how do you know our current energy policy has no influence over the price of gas...? it was written behind closed doors....how do we know no one is pulling the strings....

    Look, oil prices are set on the market where the rules of supply and demand rule. Oil prices go down in September because demand for gas drops. It's not "blah blah blah". It makes perfect sense and that's why it happens like clock work.

    When prices go up, people talk about secret meetings in the backrooms of oil companies. When prices go down, people talk about secret meetings in backrooms of oil companies. What do you people want? Fixed prices? Oh wait, those require those backroom meetings too.......
  • inmytreeinmytree Posts: 4,741
    Fair enough.



    Look, oil prices are set on the market where the rules of supply and demand rule. Oil prices go down in September because demand for gas drops. It's not "blah blah blah". It makes perfect sense and that's why it happens like clock work.

    When prices go up, people talk about secret meetings in the backrooms of oil companies. When prices go down, people talk about secret meetings in backrooms of oil companies. What do you people want? Fixed prices? Oh wait, those require those backroom meetings too.......

    has supply suddenly increased...? from what I understand, Iraq has begun importing more oil (I saw this on Mosaic:News from the Middle East)...Nigerian oil production has been decreased by 1/5th...
  • Solat13Solat13 Posts: 6,996
    inmytree wrote:
    perhaps you are correct...after all, we have no idea how our current energy policy was really written...

    I know I've posted something in the past pointing out how the oil companys have manipulated the market, thus leading to the huge profits...I know, I know, that's business...if you're a shyster...

    I, too, find in interesting that gas prices are suddenly falling...all the normal excuses are still in place...unrest in the middle east, a storm in the atlantic, unrest in nigeria, saber-rattling in iran...

    I just find it.....interesting....

    http://www.ft.com/cms/s/51ec2e78-40da-11db-827f-0000779e2340.html

    like everything else in the world, it's all supply and demand.

    In the US, for example, sport utility vehicle sales fell 14 per cent in August, while sales of compact cars were up 18 per cent. Opec expects oil consumption in North America to increase by only 90,000 b/d in 2006, compared to the 230,000 b/d jump it experienced in 2005 and 520,000 b/d in 2004.

    When the demand for oil falls, the prices fall.
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  • inmytree wrote:
    has supply suddenly increased...? from what I understand, Iraq has begun importing more oil (I saw this on Mosaic:News from the Middle East)...Nigerian oil production has been decreased by 1/5th...

    http://www.eia.doe.gov/emeu/ipsr/t21.xls
  • Lets not forget that were moving from summer blend gas to winter blends in a lot of areas, which cost less to refine then summer gas. It also contributes to gas prices falling.
  • inmytreeinmytree Posts: 4,741
    Solat13 wrote:
    http://www.ft.com/cms/s/51ec2e78-40da-11db-827f-0000779e2340.html

    like everything else in the world, it's all supply and demand.

    In the US, for example, sport utility vehicle sales fell 14 per cent in August, while sales of compact cars were up 18 per cent. Opec expects oil consumption in North America to increase by only 90,000 b/d in 2006, compared to the 230,000 b/d jump it experienced in 2005 and 520,000 b/d in 2004.

    When the demand for oil falls, the prices fall.


    if memory serves me right, Opec has been saying this sort of thing months....and yes, I'm glad people are use less...I guess my point is, when prices jump, all sorts of excuses are used....now, those same excuses are still around, yet prices go down...please understand, I do comprehend the concept of supply and demand, I really do...I just happen to think it can be manpulated....

    anyway, thanks for the link...
  • well I'm no economist... but I would have to disagree immensely with the original post.... as well as all the posts that say it is simply "supply and demand."

    First, I think its a very loose connection to state that oil prices are dropping because Repubs need support for the upcoming elections. I could make the statement that oil prices are decreasing because it rained here over Labor Day weekend and the argument would hold just as much water. There has to be cause and effect.

    And to say that it is simply a matter of supply and demand isn't correct either. The oil industry, more than any other, is subject to massive amounts of speculation (new oil reserves found in the Gulf of Mex). Furthermore, the vast majority of US oil comes from Canada, Mexico, and the US (not the mid-east)... combined with the fact that oil prices are set on the world market... it just isn't possible.
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  • inmytreeinmytree Posts: 4,741


    did you send me a virus....?
  • Would like to add this in coming from a chemical engineer who specializes in this field....during the winter months (specifically months after September) it is ALWAYS common that gas prices decrease....the main reason is that it is cheaper for refineries to produce gasoline because they can use specific additives that make it cheaper to make specific blends of gasoline....however when the warmer months approach this additive must be removed from the process therefore increasing the cost to make the same gas...reason is that this additive is more reactive in the ambient atmosphere due to a higher overall abmbient temperature.....in the cooler months this additive is less or not reactive.....just food for thought....
  • inmytree wrote:
    did you send me a virus....?

    Hehe...no.
  • And to say that it is simply a matter of supply and demand isn't correct either. The oil industry, more than any other, is subject to massive amounts of speculation (new oil reserves found in the Gulf of Mex). Furthermore, the vast majority of US oil comes from Canada, Mexico, and the US (not the mid-east)... combined with the fact that oil prices are set on the world market... it just isn't possible.

    How are "new oil reserves" not part of supply?

    And on what rules to you think the "world market" operate on?
  • OpenOpen Posts: 792
    iamica wrote:
    Gas and oil prices peak between Memorial Day and Labor Day, then fall again until the following start of summer. It happens every year.

    Then i guess it is strange that this year gas prices fell BEFORE Labor Day, no?
  • surferdude wrote:
    So you think the Republican party controls world oil prices? All I can say is amazing.

    no, but it's not that hard to believe that those that do have some influence/control over oil prices know that they profit more with Republicans in control of the government, plus Democrats have already threatened to cut the 12 billion in subsidies given to the oil giants.
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  • no, but it's not that hard to believe that those that do have some influence/control over oil prices know that they profit more with Republicans in control of the government, plus Democrats have already threatened to cut the 12 billion in subsidies given to the oil giants.

    It isn't hard to believe they know that.
  • It isn't hard to believe they know that.

    nope, it's not

    prices started dropping at the end of August, at a time that is traditionally the most expensive time of the year for gas, labor day weekend, while the middle east is getting worse, while there is a partial shutdown of oil production coming out of Alaska (BP pipelines shut down), the threat of Iraqi Shia uniting with the Iranian Shiite government, and two gas refineries are shutdown in the western US for some reason, yet prices are dropping somewhat dramatically, considering where they were expecting to go.
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  • nope, it's not

    prices started dropping at the end of August, at a time that is traditionally the most expensive time of the year for gas, labor day weekend, while the middle east is getting worse, while there is a partial shutdown of oil production coming out of Alaska (BP pipelines shut down), the threat of Iraqi Shia uniting with the Iranian Shiite government, and two gas refineries are shutdown in the western US for some reason, yet prices are dropping somewhat dramatically, considering where they were expecting to go.

    So now you want me to say that it isn't hard to believe that they not only know what you say above, but that they're actively suppressing oil prices that they have no control over? Sorry.
  • So now you want me to say that it isn't hard to believe that they not only know what you say above, but that they're actively suppressing oil prices that they have no control over? Sorry.

    yes, oh, and I'm not talking about politicians, I'm talking about the oil industy
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  • yes, oh, and I'm not talking about politicians, I'm talking about the oil industy

    I know you are. I wasn't even considering politicians.
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