When crude was at $145 a barrel, national average was around $4.20 and it's $71 a barrel now. It should keep coming down so under $2 in some places is probably conceivable. The gas station owners are quick to raise the price when crude goes up but slooooowww to lower the price when crude goes down
We're at $2.94 here. Matt... what does it take to use E-85? There's a sticker on my car that says 85 minimum on it... does this mean I can use this amazingly cheap fuel?
Nope. The "85 minimum" most likely means standard gasoline with an octane rating of at least 85 (most regular unleaded gasolines are rated 87, with plus/mid-grade rated 89 and premium/high-grade rated 93). E-85, on the other hand, is a specialized fuel blend that is 85% denatured ethanol.
pslamalfa: I'd say it might be possible in some areas of the country. Certain cities in south Texas, for example, are on the brink of that as we speak, with the average gas prices in Harlingen and San Benito hovering around $2.20-$2.25. Several other areas around the country have reported in the past couple days of gas prices as low as $2.18.
And we're happy over here in Sweden since the prices dropped to low 11's (from low 14's). That's SEK/Litre. Equals to about 5,8 USD/Gallon since the dollar's getting a lot higher.
It is about to go back up guys. OPEC just cut production of crude oil by 1.5 million barrels a day. The presidents of Iran and Venezuela wanted it cut more. The Iranian Prez said the days of cheap oil are over and he wants prices as high as they can go. OPEC said that the reduction of production was to stablize the market cause it dropped to quickly...BS!
Actuall, Jason, that cut has already been priced in.
OPEC is effectively impotent in the face of global recession. A couple of those countries (Iran and Venezuela) need oil at around $110 per barrel to cover their spending, but they won't see that anytime soon. I predict that we'll be looking at a few regime changes within the next year or two as their money dries up and they can no longer placate the denizens of those two hell holes.
Overall that 1.5 million barrels is less than 2% of the world output. Fear drives the price of oil.
Right now the people pricing commodities fear further recession/depression MORE than they fear reductions in supply. Those guys know how much money the producing countries need, and that they can't get it by cutting supply since the price won't come up enough to exceed the loss in output.
Actually being priced in doesn't mean crap as you said though. The news has been broadcasting about the reduction and the price has already started to go back up here. It wasn't even 2% of production, it was like 1.25%. Those Presidents wanted it to be over 2.5% but OPEC wouldn't go that high. Just proves even more that the price of gas a few weeks ago was retarded stupid and fines should be handed out for the ridiculous prices.
You guys further south did get royally screwed with a huge pricing run-up, due to the disruption of the Colonial Pipeline and the handful of knocked out refineries.
Gas and oil prices don't always move in tandem, and certainly don't shift by the same % when they do. There is quite of bit of other stuff tacked onto the price of gasoline beyond the actual value of the crude oil.
I was more referring to oil staying steady or continuing to slide. The price of oil is what OPEC used to be able to exert influence over. But right now too many factors are working against them, and most of the countries will cheat about the cut anyway because they need to export as much as possible to meet their revenue needs.
Your local gas stations may be a bunch of knee-jerking idiots if their price is going up right now. I know things are still sliding here in coastal VA.
PSerge - seen "There will be Blood"? Right now we have a straw that extends into every oil producing country in the world. For long term security it behooves us to drink up that milkshake FIRST, and use our own oil LAST.
Much more important than current domestic oil production is the need for nuclear power plants. There is absolutely no excuse that electricity should be generated by gasoline/diesel powered generators in anything but a dire emergency. That concept seemed good for powerplants back in '98 when oil was $12 per barrel, but right now it looks pretty damn foolish. Once you get a plant operational, sustained nuclear power might as well be free.
that is just crazy Jason... I heard about it on the news, but I was careful to fill up before the craziness hit full force and made sure when I passed a gas station with gas and no line, I filled up..
Those gas stations charging 6+ dollars should be fined for price gouging...
I filled up 2 days before the hurricane hit, I knew better. I didn't fill up once during the whole crisis, but it still is crazy they got away with it.
Most of them probably will be once things cool down.
I was in Atlanta for the years surrounding Katrina, and when gas it $5 at a few stations the governor was handing out fines of something lik $10k per violation of price gouging.
Most of them probably will be once things cool down.
I was in Atlanta for the years surrounding Katrina, and when gas it $5 at a few stations the governor was handing out fines of something lik $10k per violation of price gouging.
Your high was 4.25 Paul? We hit mid 6's and some places in Johnson City as high as 8 per gallon!! ~~NGD
And you can believe that sucked hard.
It was $2.43 yesterday here.
And the question about E-85 that was brought up on the last page, unless you have a flex fuel engine running that junk will ruin your cars motor. The minimum 85 sticker referred to the octane (in TN the lowest you can buy at the pump is 87 but some states, Utah for example, also sell 85 grade gasoline).
Comments
We're at $2.94 here. Matt... what does it take to use E-85? There's a sticker on my car that says 85 minimum on it... does this mean I can use this amazingly cheap fuel?
Nope. The "85 minimum" most likely means standard gasoline with an octane rating of at least 85 (most regular unleaded gasolines are rated 87, with plus/mid-grade rated 89 and premium/high-grade rated 93). E-85, on the other hand, is a specialized fuel blend that is 85% denatured ethanol.
pslamalfa: I'd say it might be possible in some areas of the country. Certain cities in south Texas, for example, are on the brink of that as we speak, with the average gas prices in Harlingen and San Benito hovering around $2.20-$2.25. Several other areas around the country have reported in the past couple days of gas prices as low as $2.18.
I just got done paying $2.67/gallon. That's the cheapest that I've seen it for a while here in Southern NJ.
I've seen it at $2.59 down in Vineland.
~~NGD
OPEC is effectively impotent in the face of global recession. A couple of those countries (Iran and Venezuela) need oil at around $110 per barrel to cover their spending, but they won't see that anytime soon. I predict that we'll be looking at a few regime changes within the next year or two as their money dries up and they can no longer placate the denizens of those two hell holes.
Overall that 1.5 million barrels is less than 2% of the world output. Fear drives the price of oil.
Right now the people pricing commodities fear further recession/depression MORE than they fear reductions in supply. Those guys know how much money the producing countries need, and that they can't get it by cutting supply since the price won't come up enough to exceed the loss in output.
2.55 here in Nashville, TN.. was as high as 4.25 a few weeks ago during the gas shortage.
~~NGD
Gas and oil prices don't always move in tandem, and certainly don't shift by the same % when they do. There is quite of bit of other stuff tacked onto the price of gasoline beyond the actual value of the crude oil.
I was more referring to oil staying steady or continuing to slide. The price of oil is what OPEC used to be able to exert influence over. But right now too many factors are working against them, and most of the countries will cheat about the cut anyway because they need to export as much as possible to meet their revenue needs.
Your local gas stations may be a bunch of knee-jerking idiots if their price is going up right now. I know things are still sliding here in coastal VA.
PSerge - seen "There will be Blood"? Right now we have a straw that extends into every oil producing country in the world. For long term security it behooves us to drink up that milkshake FIRST, and use our own oil LAST.
Much more important than current domestic oil production is the need for nuclear power plants. There is absolutely no excuse that electricity should be generated by gasoline/diesel powered generators in anything but a dire emergency. That concept seemed good for powerplants back in '98 when oil was $12 per barrel, but right now it looks pretty damn foolish. Once you get a plant operational, sustained nuclear power might as well be free.
~~NGD
Those gas stations charging 6+ dollars should be fined for price gouging...
~~NGD
I was in Atlanta for the years surrounding Katrina, and when gas it $5 at a few stations the governor was handing out fines of something lik $10k per violation of price gouging.
Most of them probably will be once things cool down.
I was in Atlanta for the years surrounding Katrina, and when gas it $5 at a few stations the governor was handing out fines of something lik $10k per violation of price gouging.
I did the same, 3.69. next day it was 4.69.
Now I know of a place at 2.38
Your high was 4.25 Paul? We hit mid 6's and some places in Johnson City as high as 8 per gallon!!
~~NGD
And you can believe that sucked hard.
It was $2.43 yesterday here.
And the question about E-85 that was brought up on the last page, unless you have a flex fuel engine running that junk will ruin your cars motor. The minimum 85 sticker referred to the octane (in TN the lowest you can buy at the pump is 87 but some states, Utah for example, also sell 85 grade gasoline).
^^^ I really hope that the ethanol boondoggle ends soon. It is a serious travesty.
not to mention it destroys boat motors, lawn mowers and pretty much any other engine of the likes.