Got Gas? U.S. Economy to Worsen as Gas Prices Skyrocket

Page 90 - Seeking answers? Join the AnandTech community: where nearly half-a-million members share solutions and discuss the latest tech.
Toggle sidebar Toggle sidebar
N

Ninjahedge

Diamond Member
Mar 2, 2005
4,149
1
91
It does not matter if the dollar is dropping when that commodity is already purchased.

It is more selective pricing and timing the lag to get as much as they can when commodity prices are jumping around.
 
EagleKeeper

EagleKeeper

Discussion Club Moderator<br>Elite Member
Staff member
Oct 30, 2000
42,589
5
0
Gas was $3.35 3 weeks ago outside of NE Philly
$3.29 after a week
$3,27 last weekend
$3.25 today.

Now to help provide a warm fuzzy for Dave's predictions (seeing how he likes to use extremes as examples) Potential for $9 gallon gas by spring :biggrin:
 
MiniDoom

MiniDoom

Diamond Member
Jan 5, 2004
5,305
0
76
Ninjahedge said:
It does not matter if the dollar is dropping when that commodity is already purchased.

It is more selective pricing and timing the lag to get as much as they can when commodity prices are jumping around.
Click to expand...

that's why I said wait until this latest money printing frenzy catches up for the inflation spike.
 
D

dmcowen674

No Lifer
Oct 13, 1999
54,889
47
91
www.alienbabeltech.com
Originally Posted by dmcowen674
30 cents jump for you, good :thumbsup:

No where near the 79 cent jump here but at least you got half of it.


rdubbz said:
gas prices are not "jumping" the dollar is falling you fool, because your buddies in Washington keep printing more money. Just like gold, which is actually staying close to the same value, just that the dollar is in a free fall giving us the illusion that the price of other commodities are on the rise, food, oil, gold, etc. just wait until yesterdays bank bailout really sinks in. money printing gone mad...
Click to expand...

Bottom line is paying more at the pump, that sounds like jumping to me.
 
MiniDoom

MiniDoom

Diamond Member
Jan 5, 2004
5,305
0
76
dmcowen674 said:
Originally Posted by dmcowen674
30 cents jump for you, good :thumbsup:

No where near the 79 cent jump here but at least you got half of it.




Bottom line is paying more at the pump, that sounds like jumping to me.
Click to expand...

then direct your anger and frustrations towards the people printing the money.
 
N

Ninjahedge

Diamond Member
Mar 2, 2005
4,149
1
91
rdub... too simple an answer.

You know as well as I that it is never just one thing that controls this stuff....
 
D

dmcowen674

No Lifer
Oct 13, 1999
54,889
47
91
www.alienbabeltech.com
12-4-2011

http://news.yahoo.com/iran-says-oil-over-250-exports-banned-102435950.html

Iran says oil to go over $250

The storming of Britain's embassy in Tehran on Tuesday after London announced unilateral sanctions on Iran's central bank raised tensions and pushed up crude prices.

Iran's Foreign Ministry believes that if the West seriously considered blocking Tehran's ability to export oil, the global price of crude would more than double, Foreign Ministry spokesman Ramin Mehmanparast was quoted as saying on Sunday.

"As soon as such an issue is raised seriously the oil price would soar to above $250 a barrel," he told the reformist daily Sharq.

The U.S. Senate voted on Thursday to penalize foreign financial institutions that do business with Iran's central bank, the main conduit for its oil revenues, and the European Union is considering a ban on oil imports from the Islamic Republic.
 
WhipperSnapper

WhipperSnapper

Lifer
Oct 30, 2004
11,442
32
91
I paid $2.99/gallon earlier today at a Sam's Club. It definitely seems to be the lowest it's been since the spike to over $3/gallon last year.
 
D

dmcowen674

No Lifer
Oct 13, 1999
54,889
47
91
www.alienbabeltech.com
12-5-2011

http://finance.yahoo.com/news/gas-p...BzdGNhdANob21lBHB0A3NlY3Rpb25zBHRlc3QD;_ylv=3

The Gas Price Paradox: Don't Celebrate Falling Prices


Remember six months ago when voters were begging the White House to "do something!" about gas prices? They didn't do anything, because they couldn't do anything, but gas prices went down anyway.

Policymakers like to call for smarter "counter-cyclical" policy. In other words, if the U.S. is growing, taxes should be higher, spending should lower, and regulations should be stronger to restrain inflation and the excesses of economic exuberance. Or if the U.S. is struggling, we should cut taxes, raise spending, and suspend rules to encourage companies to take risks that might result in additional hiring.

But oil prices offer a natural counter-cyclical foil to the U.S. economy that's even stronger. The U.S. accounts for about a quarter of the world's crude oil demand. When we get on a roll, the market notices. Since the market's attention moves faster than oil suppliers, good news out of the U.S. -- all things being equal -- usually moves oil prices up. Higher oil prices might be a positive indicator of U.S. growth, but they're bad for U.S. growth.

And that's the thing about oil prices. Supply factors held equal, good news (oil prices are down!) is bad news (something going wrong with the world economy); and bad news (oil prices are up!) is good news (something's growing right).
 
blackangst1

blackangst1

Lifer
Feb 23, 2005
22,902
2,359
126
dmcowen674 said:
12-5-2011

http://finance.yahoo.com/news/gas-p...BzdGNhdANob21lBHB0A3NlY3Rpb25zBHRlc3QD;_ylv=3

The Gas Price Paradox: Don't Celebrate Falling Prices


Remember six months ago when voters were begging the White House to "do something!" about gas prices? They didn't do anything, because they couldn't do anything, but gas prices went down anyway.

Policymakers like to call for smarter "counter-cyclical" policy. In other words, if the U.S. is growing, taxes should be higher, spending should lower, and regulations should be stronger to restrain inflation and the excesses of economic exuberance. Or if the U.S. is struggling, we should cut taxes, raise spending, and suspend rules to encourage companies to take risks that might result in additional hiring.

But oil prices offer a natural counter-cyclical foil to the U.S. economy that's even stronger. The U.S. accounts for about a quarter of the world's crude oil demand. When we get on a roll, the market notices. Since the market's attention moves faster than oil suppliers, good news out of the U.S. -- all things being equal -- usually moves oil prices up. Higher oil prices might be a positive indicator of U.S. growth, but they're bad for U.S. growth.

And that's the thing about oil prices. Supply factors held equal, good news (oil prices are down!) is bad news (something going wrong with the world economy); and bad news (oil prices are up!) is good news (something's growing right).
Click to expand...

Wait. I thought gas prices were rising? I love it when you post articles that prove yourself wrong.

McOwned.
 
guyver01

guyver01

Lifer
Sep 25, 2000
22,135
5
61
onion_imagearticle826_jpg_630x1200_upscale_q85.jpg
 
M

mizzou

Diamond Member
Jan 2, 2008
9,734
54
91
lulz - how way out of left field we must seem if someone had a peek at the future.

http://www.iags.org/n0524044.htm

Some of the report's highlights:

Oil:

Oil is expected to remain the dominant energy source worldwide through 2025. World oil consumption is projected to increase by 1.9 percent annually, from 80 mbd today to 118 mbd in 2025. OPEC producers are expected to be the major suppliers of increased production requirements. OPEC oil production is expected to grow 80 percent while non-OPEC oil production is expected to increase only 42 percent.

The largest share of the projected increase in non-OPEC oil production is expected in Russia, the Caspian Basin, Non-OPEC Africa, and South and Central America (in particular, Brazil). Russian oil production is expected to reach 10.9 mbd in 2025, 43 percent above 2002 levels. Production from the Caspian Basin is expected to exceed 6 mbd by 2025, compared with 1.7 mbd in 2002. In 2025, projected production from South and Central America reaches 7.8 mbd, up from 4.3 mbd per day in 2002. A large portion of the increase in South and Central American production, 0.9 mbd, is expected to come from nonconventional oil production in Venezuela. Non-OPEC African production is projected to grow from 3.1 mbd in 2002 to 6.7 mbd in 2025.

U.S. dependence on imported oil has grown over the past decade, with declining domestic oil production and growing demand. According to the DOE this trend is expected to continue. Total U.S. gross oil imports are projected to increase from 11.5 mbd in 2002 to 20.7 mbd in 2025. This means net imports, which accounted for 54 percent of total U.S. petroleum demand in 2002 are expected to account for 70 percent of total U.S. petroleum demand in 2025. This is a higher level of dependence than the 68 percent figure claimed in last years&#8217; projection.

Influenced by political unrest in Venezuela and Nigeria, the war in Iraq, and the continued discipline of producers in OPEC in adhering to production cutbacks, world oil prices rose by almost $10 per barrel over the course of 2002 and remained high throughout 2003. The IEO2004 expects little downward movement in world oil prices in 2004, given low oil inventories, a surge in developing Asia&#8217;s oil demand, and the regional uncertainty that surrounds the situation in Iraq. World oil prices are projected to reach $51 per barrel in nominal dollars by 2025.

According to the DOE, total petroleum demand is projected to grow at an average annual rate of 1.6 percent per year, from 19.6 mbd in 2002 to 28.3 mbd in 2025.
 
You must log in or register to reply here.

TRENDING THREADS

COMPANY
RESOURCES
FOLLOW
Top Bottom