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

[dmcowen674]

2-21-2013

http://www.reuters.com/article/2013...0221?feedType=RSS&feedName=marketsNews&rpc=43

White House keeping close eye on spiraling gasoline prices


After weeks on the rise U.S. gasoline prices are now at the highest level ever for this time of year, which is typically a time of lower seasonal demand, squeezing the household budgets of many Americans.

Average U.S. gasoline prices were $3.78 per gallon for regular unleaded, up 47 cents in the past month, the American Automobile Association (AAA) said on ThursdaySome Democrats have blamed speculation for pushing up energy prices. Hedge funds have placed large bets on higher oil prices, taking their total positions close to the highest level ever reported.
This week Bart Chilton, a Democratic commissioner at the top futures regulator, said more should be done to cap the number of contracts speculators can hold.

Carney declined to comment on whether the White House is talking to refineries about specific logistics issues that could ease gasoline prices.

 

[dmcowen674]

2-21-2013

http://finance.yahoo.com/news/us-crude-oil-supplies-grew-161746051.html

US crude oil supplies grew by 4.1 million barrels



Crude supplies grew by 4.1 million barrels, or 1.1 percent, to 376.4 million barrels, which is 10.5 percent above year-ago levels, the Energy Department's Energy Information Administration said in its weekly report.



U.S. refineries ran at 82.9 percent of total capacity on average, down 0.9 percentage point from the prior week.


==================================================
If I worked at 82.9 percent of capacity I would be fired.


That is exactly what should happen to the thugs in this Oil Industry especially the ones that work there from on here and brag about how they get raises for their work which is at least as low as this 82.9 percent being reported.

 

[Londo_Jowo]

Looks like some of high gas prices in the northeast is due to supply issues that created by laws rather than the lack of refining.

http://www.reuters.com/article/2013...0221?feedType=RSS&feedName=marketsNews&rpc=43

Carney declined to comment on whether the White House is talking to refineries about specific logistics issues that could ease gasoline prices.

Many analysts say temporarily waiving the Jones Act, a law that prohibits foreign flagged vessels from shipping gasoline and other petroleum products from the Gulf of Mexico to Northeastern ports, could provide some relief from high oil prices. Jones Act waivers made at times other than during emergencies, such as the aftermath of Hurricane Sandy, are opposed by labor groups

 

[Doppel]

If I worked at 82.9 percent of capacity I would be fired.


That is exactly what should happen to the thugs in this Oil Industry especially the ones that work there from on here and brag about how they get raises for their work which is at least as low as this 82.9 percent being reported.

82.9. You probably work at about 15. Also, why are you spamming the thread with endless articles? You don't even comment on half of them at least.

 

[ElFenix]

Can anyone explain the mechanism by which speculators can drive up the cost of oil? I understand how producers could by leaving oil in the ground, but producers aren't speculators.

 

[dmcowen674]

Can anyone explain the mechanism by which speculators can drive up the cost of oil? I understand how producers could by leaving oil in the ground, but producers aren't speculators.

This guys was selling a book but still a good read:

3-11-2011

http://www.huffingtonpost.com/josh-garrett/wall-street-gas-prices_b_834027.html

How the Financial Industry is Driving Up Gas and Heating Oil Prices



HeatingOil.com Managing Editor Josh Garrett: How long did you work as a trader at the NYMEX, and what kind of trading did you do there?

Dan Dicker: I worked on the floor at NYMEX as independent trader (known in the industry as a "local trader") for 25 years, from 1982 to 2006. As a local trader, I traded only on my own behalf, not for outside clients.

JG: You've linked oil speculation to higher oil prices. How does that connection work?

DD: Financial influences like investment banks, hedge funds, and ETFs [exchange-traded funds] allow what I call "dumb money" to enter the oil markets.

By dumb money I mean regular Americans' investments in pension funds or hedge funds that diversify into commodities. Those hedge funds, pension funds, and other financial influences brought an overwhelming flow of money into the market, and swamped out people who had connections to the physical products.

Commodities markets need a matching number of buyers and sellers to mitigate risk and discover reasonable prices. The mountain of buyers brought into oil markets by financial influences makes a market and price that's out of control and busted.

JG: Was your observation of those financial influences flooding oil markets the origin of Oil's Endless Bid?

DD: Yes. All the things I knew controlling the oil market stopped controlling the oil market.

What I saw changing was who controlled the paper [oil contracts], the growth of over-the-counter oil markets, and so on. You can see the rise of oil commodities as a financial investment in the 800 million ways to trade oil now. In 1983, around when I first stated trading, the NYMEX offered one crude oil contract, WTI [West Texas Intermediate]. Today the NYMEX offers around 75 derivatives of crude oil.

 

[Londo_Jowo]

Gas down $0.05/gal this afternoon at the station I normally use. Could this be the beginning of gas supplies increasing due refineries coming back online?

 

[dmcowen674]

Sounds like Credit Card Authorizations were upped to $150 anticipating at least $6 to $8 gas this year.

 

[Londo_Jowo]

Sounds like Credit Card Authorizations were upped to $150 anticipating at least $6 to $8 gas this year.

Really? This has be the norm since 2010.

http://lmgtfy.com/?q=Credit+Card+Authorization+%24150+For+Gas+Purchases

 

[Doppel]

Sounds like Credit Card Authorizations were upped to $150 anticipating at least $6 to $8 gas this year.

$8 now? I thought it was $6 earlier? At what point does your crazy hit a limit?

Really? This has be the norm since 2010.

http://lmgtfy.com/?q=Credit+Card+Aut...+Gas+Purchases

If only facts were important to Mcowned.

 

[dmcowen674]

2-24-2013

http://seekingalpha.com/article/1218901-are-you-expecting-oil-prices-to-fall?source=yahoo

Are You Expecting Oil Prices To Fall?



A forecast for the future price of oil must take into consideration forces that are unforecastable. All forecasts for oil prices are worthless.

• No ability to forecast oil producers' actions;
• No ability to understand the changing mix between oil and other energy sources;
• No ability to forecast USA government actions on oil producers including taxation, regulation;
• No ability to foresee supply disruptions;
• No ability to really gauge the global economy.

In this light, my worthless forecast is that oil prices will continue to bounce around - but the overall trend is up despite any growth in the supply of oil.

 

[dmcowen674]

2-24-2013

http://www.bloomberg.com/news/2013-...g-east-coast-refinery-profits.html?cmpid=yhoo

PBF Sees Crude Oil Trains Boosting East Coast Refinery Profits



PBF Energy Inc. is betting that shipping discounted crude by rail from Canada and North Dakota can make its East Coast refineries profitable on the heels of several shut-downs in the region.

The refiner can unload 70,000 barrels a day of light crude and 40,000 heavy oil at its Delaware City, Delaware, plant, and will add 40,000 barrels a day more of heavy oil unloading capacity by the end of the year, said Tom Nimbley, chief executive officer of the Parsippany, New Jersey-based company, in a fourth-quarter earnings call with analysts yesterday.


PBF, which has the largest share of East Coast refining capacity at 28 percent, is trying to avoid the fate of other refiners who have shut or sold plants in the region. The loss of refining capacity has tightened fuel supplies near the New York Harbor, the delivery point for gasoline and heating oil futures.

“The availability of domestic and Canadian crudes at much better differentials to our Brent marker should lead to much better results on the East Coast in 2013, and even better than that in 2014 when our ability to process Canadian heavy doubles,” said PBF Chairman Tom O’Malley.


Hess Corp. (HES) is shutting its 70,000-barrel-a-day fluid catalytic cracker in Port Reading, New Jersey, by the end of the month.



Sunoco Inc. shut Eagle Point, New Jersey, and Marcus Hook, Pennsylvania, sites in 2010 and 2011.

Deutsche Bank AG analyst Paul Sankey referred on the call to those plants as “zombie refineries” and asked whether PBF executives thought those shuttered plants might reopen with new access to discounted crude.


O’Malley said he didn’t think they would.



By the end of this year, PBF will have unloading racks in Delaware City able to take 70,000 barrels a day of light crude from the Bakken shale formation in North Dakota, 40,000 barrels a day of bitumen, a tar-like substance from oil-sands formations in Alberta, and 40,000 barrels a day of Western Canada Select, a heavy crude made by diluting bitumen.


The company also has ordered 3,600 coiled and insulated rail cars to carry the heavy Canadian crude, which is so dense it needs to be heated before it can be transported from rail car to refinery.


“On the heavy crude side, we’re convinced that this is a very, very, very long term trend,” O’Malley said. “The movement of Canadian heavy crude by rail, particularly if you can get bitumen into the the complex, and we can, then that’s something that’s around for the next decade.”

PBF’s 182,200-barrel-a-day Delaware City refinery will run all the heavy crude brought in by train, in addition other heavy oil shipped on tankers from Mexico and Venezuela, said Nimbley. The Bakken crude will be shared by the Delaware plant and a 185,000-barrel-a-day refinery in Paulsboro, New Jersey.


The smaller crude unit at Paulsboro will run all Bakken crude. The larger crude unit will run about 100,000 barrels a day of Saudi Arab Light, Nimbley said.

The Bakken shipments can replace higher-priced waterborne imports of light crude from West Africa and the east coast of Canada, Nimbley said. In addition to the lower cost, PBF would expect to see a greater benefit to profit margins because Bakken is higher-quality crude for PBF’s system, he said.


To contact the reporter on this story: Dan Murtaugh in Houston at dmurtaugh@bloomberg.net


To contact the editor responsible for this story: Dan Stets at dstets@bloomberg.net

 

[Charles Kozierok]

Sounds like Credit Card Authorizations were upped to $150 anticipating at least $6 to $8 gas this year.

$6-8 gas in the US this year is about as likely as you making a sensible post this year.

 

[dmcowen674]

PBF sounds like they have a solid plan and it will be augmented by shoddy parts and service supplied by Jowo and his Company resulting in more reports of PBF's Refinery breakdowns and Maintenance issues resulting in higher prices and higher profits for them than even already planned.

 

[dmcowen674]

Originally Posted by dmcowen674
Sounds like Credit Card Authorizations were upped to $150 anticipating at least $6 to $8 gas this year.

$6-8 gas in the US this year is about as likely as you making a sensible post this year.

Bolding and Quoting

 

[Doppel]

Originally Posted by dmcowen674
Sounds like Credit Card Authorizations were upped to $150 anticipating at least $6 to $8 gas this year.




Bolding and Quoting

I love how when people call out your rank stupidity you quote it as if you're going to turn it back on them later.

 

[Charles Kozierok]

Bolding and Quoting

Remember when you predicted Romney would win this year?

And then I found where you predicted McCain would win last time?

Your track record is at Dick Morris levels.

 

[Londo_Jowo]

PBF sounds like they have a solid plan and it will be augmented by shoddy parts and service supplied by Jowo and his Company resulting in more reports of PBF's Refinery breakdowns and Maintenance issues resulting in higher prices and higher profits for them than even already planned.

LMAO!!!!!! Poor McOwned is so jealous of anyone that's successful.


I'm hearing that I may be moving to another position due to my involvement with large sale of equipment/services last year. I have meeting with my manager tomorrow morning.

 

[OverVolt]

I kind of hope for high gas prices honestly.

I saw a hummer H1 on the highway today. Been seeing MORE hummers lately, actually. High gas prices seems to be the only thing that knocks some financial sense into people.

 

[dmcowen674]

Remember when you predicted Romney would win this year?

And then I found where you predicted McCain would win last time?

Your track record is at Dick Morris levels.

Hmmmm, interesting thing is I have a track record, all I see for you is ass kissing.

 

[dmcowen674]

2-25-2013

http://news.yahoo.com/oil-gains-shrugs-off-weak-093658095.html

Oil extends gains above $93, shrugs off weak China manufacturing report



The price of oil rose Monday, shrugging off a decline in China's manufacturing that was likely partly due to Lunar New Holiday distortions.



Oil dived last week on ample supplies and the possibility of a stronger dollar if the U.S. Federal Reserve started to withdraw monetary stimulus which its most recently released minutes suggested was possible.


The price of crude stabilized Friday, helped by the European Commission's prediction that the recession afflicting the economy of the 17 countries sharing the euro to bottom out during the first half of the year.


In China, a survey released Monday showed manufacturing declined to a four-month low in February, a reminder of possible threats to recovery in the world's second biggest economy.


However, some analysts said the result may not be as bad as it seems because of the weeklong Lunar New Year holiday, which fell in mid-February this year.

Wholesale gasoline was up 3.1 cents at $3.297 a gallon

 

[dmcowen674]

2-25-2013

http://news.yahoo.com/oil-price-gains-above-94-130714859.html

Oil price gains to above $94 on weaker dollar



The price of oil rose by more than a dollar Monday, to above $94 a barrel, as it recovered from sharp drops last week and echoed strong gains in European stock markets.



Wholesale gasoline was up 5.18 cents at $3.3176 a gallon.

 

[dmcowen674]

2-25-2013

http://finance.yahoo.com/news/us-ga...RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3

US gas prices jump 20 cents over past 2 weeks



Gasoline prices at US pumps jump 20 cents over past 2 weeks; cost of diesel up too



The Lundberg Survey of fuel prices released Sunday says the price of a gallon of regular is $3.80. Midgrade costs an average of $3.95 a gallon, and premium is $4.09.


Diesel was up a dime to $4.17 gallon.


Of the cities surveyed in the lower 48 states, Billings, Mont., has the nation's lowest average price for gas at $3.23. Los Angeles has the highest at $4.29.


In California, the lowest average price was $4.02 in Sacramento. The average statewide for a gallon of regular was $4.18, up 20 cents.

 

[Doppel]

Why does mcowned post article after article in this thread without commentary? Nothing more than spam to increase post count.

 

[EagleKeeper]

Hmmmm, interesting thing is I have a track record, all I see for you is ass kissing.

Back off, tone it down, etc.

EK
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