[EnergyHog]

Did ya'll hear about this one? link
"Gas may be headed back near $2 Analyst sees prices 'closer to $2 than $3' by Thanksgiving, newspaper reports."

Sweet Jesus we're saved! I'm definately gonna git in there an' vote for my beloved Republicans. Aren't they just woderful, droppin' the price of gas like that and all. I wish we had elections every year! Yeehaw! Jeb 2012!

[FireJack]

I'm really starting to think this is a lul before the storm. There seems to be a lot of good reasons to think that the larger older fields are about to go into rapid decline and skyrockting gas prices will follow. If I want to get a house in the countryside somewhere and start growing my own food etc I should do it real soon.

[EnergyHog]

$this->bbcode_second_pass_quote('FireJack', 'I')'m really starting to think this is a lul before the storm. There seems to be a lot of good reasons to think that the larger older fields are about to go into rapid decline and skyrockting gas prices will follow. If I want to get a house in the countryside somewhere and start growing my own food etc I should do it real soon.

[Cran]

won't there be lots of land when people die off anyway...

Just wait and move in somewhere empty, no one will notice...

[emersonbiggins]

$this->bbcode_second_pass_quote('', '
')"Gas may be headed back near $2
Analyst sees prices 'closer to $2 than $3' by Thanksgiving, newspaper reports."

[Niagara]

I voted for $2.

In the short term, lower prices are quite likely. We are due for a correction plus the summer driving season is over. Speculators and hedgies create a lot of "noise" in the markets, so day-to-day changes mean very little.

The talking heads on the financial networks will put the usual positive spin to it. Nothing wrong with the US economy folks. Keep buying, spending, refinancing your homes for bigger toys, etc........

[Concerned]

$this->bbcode_second_pass_quote('Niagara', 'I') voted for $2.

In the short term, lower prices are quite likely. We are due for a correction plus the summer driving season is over. Speculators and hedgies create a lot of "noise" in the markets, so day-to-day changes mean very little.

The talking heads on the financial networks will put the usual positive spin to it. Nothing wrong with the US economy folks. Keep buying, spending, refinancing your homes for bigger toys, etc........

[threadbear]

Concerned, The wild card is whether the Bushies and Israelis bomb Iran. If they don't oil is headed down, due to demand destruction, softening economies. Peak oil, barring extreme political events, will be very difficult but manageable and isn't worthy of tearing one's hair out by the roots, with anxiety.

Ultimately the fed will lose control of inflation, regardless of how they tweak interest rates. The end point, barring intervention on a biblical scale, is sky high interest rates AND sky high inflation, asset deflation.--could take a couple of years though

Got gold?

[EnergyHog]

$this->bbcode_second_pass_quote('threadbear', 'C')oncerned, The wild card is whether the Bushies and Israelis bomb Iran. If they don't oil is headed down, due to demand destruction, softening economies. Peak oil, barring extreme political events, will be very difficult but manageable and isn't worthy of tearing one's hair out by the roots, with anxiety.

Ultimately the fed will lose control of inflation, regardless of how they tweak interest rates. The end point, barring intervention on a biblical scale, is sky high interest rates AND sky high inflation, asset deflation.--could take a couple of years though

Got gold?

[HonestPessimist]

This is a very misleading news, going toward $2 a gallon at the beginning of a major hurricane season and with all the negotiation ruckus with Iran in the Middle East?

Very misleading, indeed.

[markcl]

ah , LP to dry this years corn harvest is $1.39/gal, and have they got any supply of heating oil for winter stored up? diesel is still over $3 in this part of the country. Gas is just a part of it that gets the headlines
Mark

[rwwff]

Something to keep in mind.

Demand destruction for oil takes more than just one form on the road. SUV sales are down, and efficient car sales are up. Even if the buyer keeps driving the same distance, that is a PERMANENT destruction in the demand for gasoline; even if the price goes down, the consumption from the buyer will not likely follow it up the curve.

Its not just about ending the commute.

[Heineken]

If the price of oil and its refined products falls, consumption will rise, and the price will rise again. There is no way out of this box, ever.

There is no demand destruction going on. Quite the opposite; vast oil-dependent infrastructure has been built during the long economic boom of the 90s and 00s, and continues to be built, especially in Chindia.

The oil crisis and high prices of the 70s did not create anything like permanent demand destruction. Those years were followed by more intensive oil consumption than ever before.

[Mechler]

$this->bbcode_second_pass_quote('Heineken', 'T')here is no demand destruction going on. Quite the opposite; vast oil-dependent infrastructure has been built during the long economic boom of the 90s and 00s, and continues to be built, especially in Chindia.

[joewp]

$this->bbcode_second_pass_quote('Mechler', '
')Agreed. And just because SUV sales are down doesn't mean that all of the previously bought ones are going off the road. It may translate into lower demand growth, but not necessarily demand destruction.

[ProfitOfDoom]

I just rewatched (is that a word) Professor Bartlett's presentation...I can't help but wonder what time it really is? Even if it's 11:55 gas prices can go down and everything can seem fine...but within a very short time period gas could push $10. Who knows.

[threadbear]

$this->bbcode_second_pass_quote('EnergyHog', '')$this->bbcode_second_pass_quote('threadbear', 'C')oncerned, The wild card is whether the Bushies and Israelis bomb Iran. If they don't oil is headed down, due to demand destruction, softening economies. Peak oil, barring extreme political events, will be very difficult but manageable and isn't worthy of tearing one's hair out by the roots, with anxiety.

Ultimately the fed will lose control of inflation, regardless of how they tweak interest rates. The end point, barring intervention on a biblical scale, is sky high interest rates AND sky high inflation, asset deflation.--could take a couple of years though

Got gold?

[Heineken]

Well, you're right, prophet. These short-term fluctuations in the oil/gas price are utterly meaningless.