Gulf Oil CEO says gas could hit $1 next year

[SUBMAN1]

Nice!

http://www.patriotledger.com/business/x1881115149/Gulf-Oil-CEO-says-lower-gas-prices-ahead

-S

[Hylander_1314]

It has to. They've raped the general public of everything with these high prices, and there's nothing left to take.

[PeriscopeDepth]

It's not great news. It's reflective of how poor the economy is expected to be.

PD

[bookworm_020]

I think that there will be a slump in prices in the near to mid future as the world economy slows and people reduce costs. The fact that there has been a move to more fuel efficient cars and everyone driving less will mean that demand will keep falling untill the world economy starts to pick up.

[Kapt Z]

I think that there will be a slump in prices in the near to mid future as the world economy slows and people reduce costs. The fact that there has been a move to more fuel efficient cars and everyone driving less will mean that demand will keep falling untill the world economy starts to pick up.

Agreed. The bonus will be less financial power to the big oil producing guys-Russia, Iran etc.

[subchaser12]

I think it's funny how big oil stopped raping us only after it was clear Obama was going to win and he was talking about "windfall taxes" for big oil.

[August]

I think it's funny how big oil stopped raping us only after it was clear Obama was going to win and he was talking about "windfall taxes" for big oil.

You do realize that any such scheme would just be passed on to the consumer right?

[subchaser12]

I think it's funny how big oil stopped raping us only after it was clear Obama was going to win and he was talking about "windfall taxes" for big oil.

You do realize that any such scheme would just be passed on to the consumer right?

Not for long. The bottom line is the government still holds all the cards in this country. They obviously didn't want to test Obama. They will have to be careful now that Bush made America a socialist state.

[August]

Not for long.

Any increase in the bottom line, which taxes are a part of, is passed onto the consumer in the form of higher prices at the pump. There is no avoiding it.

[subchaser12]

Not for long.

Any increase in the bottom line, which taxes are a part of, is passed onto the consumer in the form of higher prices at the pump. There is no avoiding it.

Obama isn't going to let corporate America dump all over us like Bush. Under Bush I paid 60$ to fill my tank on a car. Now I pay 27$ and Obama isn't even farting in the oval office yet.

I'm glad you enjoyed paying double at the pumps, I sure didn't.

[August]

Obama isn't going to let corporate America dump all over us like Bush. Under Bush I paid 60$ to fill my tank on a car. Now I pay 27$ and Obama isn't even farting in the oval office yet.

I'm glad you enjoyed paying double at the pumps, I sure didn't.

You might as well credit Obama with making the sun rise in the morning and be just as accurate in your assessment of the situation.

1. Gas prices are down now because demand is down.
2. Demand is down because the economy is down.

Simple economics.

Trying to blame your troubles on the Corporate boogy man (who probably provided the majority of the stuff around you at the moment) is to ignore reality.

[subchaser12]

Trying to blame your troubles on the Corporate boogy man (who probably provided the majority of the stuff around you at the moment) is to ignore reality.

So in other words "pay no attention to the man behind the curtain".

[August]

Trying to blame your troubles on the Corporate boogy man (who probably provided the majority of the stuff around you at the moment) is to ignore reality.
So in other words "pay no attention to the man behind the curtain".

:roll:

[Frame57]

I knew there was a reason I did not get rid of my 650hp 455 engine. Now I just gotta find a vehicle to go along with it.:up:

[XabbaRus]

As you guys are saying how great it will be to have petrol at a $1 a gallon, even when oil prices were at there peak the price of petrol in the US was still half of that in the UK.

I would like you to also think about how if oil drops further then oil workers will be laid off. Wells mothballed, exploration dropped until it is worth it. The result being when the economy does pickup and demand starts to increase the price will shoot back up. Oil needs to be a certain amount for the companies to find it profitable to drill new wells.

I could happily live with $80 a barrel which I think is the true price as that allows it to be high enough for companies to go look for new wells and low enough that it doesn't sting too much.

The thing is governments and oil companies need to work together to take a look at this or we are going to get massive peaks and troughs instead of an evening out of the price.

[Hylander_1314]

How about a 72 - 73 Skylark? Better yet, 66 GTO.

Btw, FDR is the one who got us going down the path to socialism, and every president after him has nudged us all a little further down the path. I find it hard to believe that people think all the problems came from the last administration or the one prior to it. It's been going on for close 70 years now.

[Frame57]

How about a 72 - 73 Skylark? Better yet, 66 GTO.

Btw, FDR is the one who got us going down the path to socialism, and every president after him has nudged us all a little further down the path. I find it hard to believe that people think all the problems came from the last administration or the one prior to it. It's been going on for close 70 years now.Probably go with an Olds product, maybe a 442 if I can find one...

[MothBalls]

I knew there was a reason I did not get rid of my 650hp 455 engine. Now I just gotta find a vehicle to go along with it.:up:

You could make it into a chainsaw.

http://www.liveleak.com/view?i=58d_1203555378

[sunvalleyslim]

Dollar a Gallon will never happen. they'll just shut down production to keep the prices up..........

[Frame57]

I knew there was a reason I did not get rid of my 650hp 455 engine. Now I just gotta find a vehicle to go along with it.:up:

You could make it into a chainsaw.

http://www.liveleak.com/view?i=58d_1203555378 Yes! Now if I were as big as Paul Bunyan I would consider that...:hmm:

[tater]

Price drop is baking in predictions about the near future demand (poor economy). It is also due to the rising value of the dollar. The low dollar was most of the raise we saw before anyway. The US is in a period of disinflation right now, and if the current quarterly numbers keep going, we'll be in full-blown deflation (only difference is time frame, deflation is annual rate negative, vs quarters, months, etc). Add to it that $4 seems to be a magic number, below that they cannot keep guzzlers on the lot, above that, they can't keep hybrids on the lot. Supply and demand.

There is no such thing as a "windfall profit." The notion of the oil companies "raping" us is absurd. They had record DOLLAR profits, but they only cleared around 8% profit. Any rule claiming "excessive" profits should be taxed needs to set up an algorithm that applies to ALL financial transactions. Sell your house for more than 8% return, and BAM, "windfall profit" tax for you!

How many will cry if the oil companies go back to their more historically normal rates of return? Maybe we can bail them out then.

[SteamWake]

Deflation

http://en.wikipedia.org/wiki/Deflation_(economics)) (http://en.wikipedia.org/wiki/Deflation_(economics))

Note the reference to the depression. :-?

[Zachstar]

Dollar a Gallon will never happen. they'll just shut down production to keep the prices up..........

This is the big point right here.

Opec is stunned right now. They were on the top of the world with the little bit of oil they have left. Fear mongering let the price climb and climb.

Once bills flow in for the cars made out of silver and palace fixing they will meet and violently reduce production saying they want to conserve this resource.

They will never let gas go back under a dollar.