MrRodgers
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Joined: 7/30/2005
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quote:
ORIGINAL: Lucylastic
http://www.citytv.com/toronto/citynews/news/local/article/129921--pump-jump-the-price-of-gas-is-expected-to-rise-6-5-cents-overnight
If you're running on empty, you'd be wise to pump up before the clock strikes midnight because according to gas price watchdog Dan McTeague, prices could hit their highest levels ever overnight --- with a projected jump of 6.5 cents.
That would spike a litre of regular to a pocket-draining 139.6 cents.
The previous high came in 2008, when it jumped to 138.6 after oil traded near $150 a barrel.
On Monday, the price of crude oil rose more than $5, hitting $102.55 US a barrel. For drivers that meant the price reprieve that came last week when crude dropped almost $17 a barrel would be short-lived.
means its gonna go up to $1.42 a litreIMPEACH HIM IMPEACH HIM
What ? Like presidents have any real power to change this.
Once again forasluts, we were warned as we had been by our founding fathers about all of this corruption of markets.
"You know me feelings against setting up a federal banking system and turning paper into money. For if we do that, we will forever...be slave to the speculators." John Adams admonishment in a letter to a friend circa 1820. He and others saw all of this coming 190 years ago and resisted the speculators all of his life.
The price of commodities is set by the latest bid on a piece of paper-turned-into-money, called a futures contract. What could possibly be better than to be able to 'buy' oil without really buying it but only a 'contract' on oil. (gold, silver etc.) So when oil prices are determined between seller and buyer at the refinery, the price of the last futures contract becomes the so-called 'Benchmark' price and otherwise known as West Texas, intermediate crude...sometimes called 'sweet' crude which is lighter in viscosity (same as all Saudi crude) and easiest/cheapest to refine.
So why all of this ? The price is thus a 'bechmark' price not set by the supply and demand in the field, it is set by the futures market...or pure speculation. That speculation can be way off yet it still sets the 'benchmark' price.
Interesting how we now can use Canada...read on kinkroids.
This OP is about the price of gas jumping way up so the refrain becomes supply & demand...drill baby drill. Yet Canada has 9 times the oil reserves than that of the US...2ND to Saudi Arabia in total. So where is the drilling ? In the US there were 10 new permits issued in 3/11 alone to drill off the Gulf coast (the only place of the real untapped US oil)
Contrary to API (American Petroleum Inst.) that says production is way down in the gulf and is destined to go down 500,000/day further which are outright lies, the facts are US gulf oil production is at an all time high and destined to go UP, 500,000/day next year or 2013.
You see speculators like most all capitalists seek to profit from buying and selling paper amd have their own mathematical models similar to all trading now in all paper-markets. Once remaining capacity is down to 4% , speculators...speculate that with any sudden increase in demand...suppliers cannot deliver. Never mind there is never such a real jump in demand, this is the speculators model, relevant or not to the actual supply delivered.
Never mind that a quirk in the US pipeline system has created a glut of oil sitting at our Cushing, Oklahoma refinery, a terminal that starts with the benchmark price reflected by the NY Merch. Exch. So the price in the field...is dropping because [it] cannot refine all of the oil there now...keep up with supply.
So kinkroids, there is a world-wide glut of oil in and out of the ground. Once drilled and available, it is 'in-the-market' and must be priced for sale...NOW. The preference is to find it and NOT drill or actually bring the oil to market or what...the price would fall as it is now at the above captioned refinery.
So bitch all you want, grab ahold of your politically partisan twit-like epithets upon all of the politicians when there are still only a few very lonely wolves put there that suggest what ? TAX the commodity speculators and bingo...much less speculation if any and much less volatility in the prices. Once the speculator leaves commodities and returns to forex, stocks, bonds and the commodity's market, buyers will be...much better off.
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RE: All Obamas fault!!!! - 
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