[TheDude]

steam_cannon - you da man!

Pheba - Nate Hagens at TOD was puzzling over the discontinuity between crude and gas prices, too, in TWIP - This Week In Petroleum (1-3-08).

$this->bbcode_second_pass_quote('', 'E')ach barrel of oil is 42+/- gallons, which means that at $100 oil, gasoline would be at $2.40ish with NO taxes, transportation costs, refining costs, or refining profit margins. Yet it is only hovering around $3? And refinery utilization, while up this week is still at 89%?? How can this be explained? I know no different, but could this be political in nature? Keep gasoline prices down during presidential caucuses, etc? I wonder where gasoline at the pump will be if oil retreats to $80-$85? My guess is it won't go any lower than it is now - this is a 'buffer'. But stockholders don't like buffers, which is perhaps why the refining stocks are taking it on the chin today.

[steam_cannon]

More on this stuff here...

Oil Price Could Hit $200, Says German Institute (Jan 04, 2008)
http://peakoil.com/fortopic35268.html

$this->bbcode_second_pass_quote('mattduke', '"')Wednesday's record oil price of $100 per barrel of crude marks a long-term upward trend which could see oil prices reach $150 in five years and $200 in 10 years, says one of Germany's leading economic institutes. "

Spiegel

[steam_cannon]

$this->bbcode_second_pass_quote('TheDude', 's')team_cannon - you da man!

[steam_cannon]

$this->bbcode_second_pass_quote('lawnchair', 'A')gain, it totally depends on perspective.

Between 1919 and 1959, a gallon of gasoline cost somewhere a little below one shiny silver quarter (SSQ). Pretty damn steady about it, too.

Today, a shiny silver quarter is worth about $2.75. Not too far off a gallon of gas. Averaged through the last year, though, and gas has been somewhere over the SSQ.

In the late 90s. a shiny silver quarter got you $0.89. Not quite a gallon of gas, except during price wars, but not far off, either.

In the first year of the Bush admin, an SSQ got somewhere closer to $0.75. Half a gallon of gas or so.

Thinking that gasoline is actually more useful than silver, transient, and depleting, one would expect it to eventually be worth a fair bit more than one SSQ.

Not sure what it proves, other than the dollar has resumed it's path toward the dustbin of old unloved fiat notes of yore.

[steam_cannon]

$this->bbcode_second_pass_quote('roccman', '$')75.00/gallon

(would be consistent with what we currently pay for a 16oz starbucks)

[steam_cannon]

FUEL PRICE WILDCARDS

Economic Crash
$this->bbcode_second_pass_quote('', '[')img]http://i9.tinypic.com/72tj1ib.gif[/img]
http://www.tradingacademy.com/lessons/l ... 51011.shtm

THE DOW IS CRASHING
http://www.financialsense.com/fsu/edito ... /0416.html
To put things into perspective remember that in the 1930's silver was money.



Closing the 'Collapse Gap'
http://www.energybulletin.net/23259.html

Housing Boom Officially Over - Collapse Imminent
http://www.peakoil.com/fortopic18070.html

Bank Closure Thread
http://www.peakoil.com/fortopic32660.html

The end of cheap food (The Economist)
http://www.peakoil.com/fortopic34634.html

$this->bbcode_second_pass_quote('', '[')b]Crisis may make 1929 look a 'walk in the park'

"This is what happens in the Empire when you fail. My small business just .... died. The economy tanking meant no one had much to spend and my sales went down by 2/3."
http://www.peakoil.com/fortopic34969-0-asc-30.html

"As central banks continue to splash their cash over the system, so far to little effect, Ambrose Evans-Pritchard argues that things risk spiralling out of their control"
http://tinyurl.com/2cq9ok

[pup55]

$this->bbcode_second_pass_quote('', 's')team_cannon - you da man!

[JoeW]

$this->bbcode_second_pass_quote('Phebagirl', ' ')I am looking for some figures or charts that compare what the U.S. has been paying for gasoline compared to what global price of a barrel of oil is.
For some reason 100.00 per barrel with a gasoline cost in the midwest of 2.89 per gallon seems out of kilter.
My husband tried to explain to me that since home heating oil is in demand now, gasoline is at a surplus in the U.S. Thus, the lower price.

[steam_cannon]

$this->bbcode_second_pass_quote('pup55', 'Y')our theory is that the long term fuel price will follow that exponential function. An equally plausible theory is that it is more linear.

[steam_cannon]

Here's another attempt at illustrating climbing average crude prices...
$this->bbcode_second_pass_quote('steam_cannon', 'A')nd here's look at the price window trend for yearly price averages using a different data set thanks to Zahl.

$this->bbcode_second_pass_quote('Zahl', 'N')ymex closes are:

2002 - $26.05
2003 - $30.95
2004 - $41.37
2005 - $56.79
2006 - $66.54
2007 - $72.56

http://www.eia.doe.gov/emeu/international/crude2.html

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From: OPEC President: "$100 not very high"
http://peakoil.com/fortopic35325.html