anyone who thinks $4 a gallon gas wont be back by summer should :suicide:
Oil futures rose for a second straight day Wednesday, surging 9% to end above $45 a barrel after government data showed a surprising decline in U.S. crude inventories and as investors anticipated a new stimulus plan from China, the world’s second-biggest oil consumer. Crude oil for April delivery gained $3.73 to end at $45.38 a barrel on the New York Mercantile Exchange. U.S. crude inventories, excluding those in the Strategic Petroleum Reserve, fell by 700,000 barrels in the week ended Feb. 27, the Energy Information Administration reported. Analysts surveyed by Platts had expected an increase of 2.2 million barrels
Wanna make a bet? Maybe high 2’s, but there is more oil sitting in tankers and shit than we know what to do with. This economy won’t support $4 a gallon gas.
Oil futures rallied nearly 4% to above $49 Tuesday, ending at the highest level in more than three months after a report showing a surge in U.S. housing starts offset expectations that U.S. crude inventories rose last week.
It never ceases to amaze me. You have to wonder how many idiotic investors are going to have to lose their shirts due to thinking along the lines of, “It doesn’t make sense, it isn’t supported by the market, and it’s completely artificial… yet prices are rising so I’d better buy because, man, this is the place to be!” before they wise up.
SIOUX FALLS, S.D. (AP) – Oil prices dipped to around $50 a barrel Monday as a strong dollar and new reports of swine flu threatened to slow summer travel and sent jitters through global markets.Benchmark crude for June delivery fell 79 cents to $50.76 on the New York Mercantile Exchange.
Crude prices have defied traditional market fundamentals for weeks and risen in the face of an awful economy and growing supplies of oil.
Swine flu worries pushed both oil and equity markets down earlier Monday, but stocks were able to shake off the worries and return to positive territory.
Oil recovered a bit from the day’s bottom of $48.01, but talk of a pandemic continued to weigh on prices, said Jim Ritterbusch, president of energy consultancy Ritterbusch and Associates.
“You can say connect the dots in the oil and say, yeah, this is going to reduce jet fuel demand when people travel less,” Ritterbusch said.
But while oil has been able to defy fundamentals, the same cannot be said for natural gas. Prices fell to fresh seven-year lows Monday, and the May contract fell another 5.5 cents to $3.242 per 1,000 cubic feet.
“This begs the question … if the fundamentals for oil are so bullish … then why is natural gas still tanking?” analyst and trader Stephen Schork asked.
I’m still fixin’ to get a pickup in the next year or so. The current conditions help that. Of course, not sure what the long-term holds, but I need the larger vehicle to be able to travel with my boat a little bit more.
But more importantly, these gas prices are going to result in MANY more hours on my boat this summer. 6 gallons per hour isn’t gonna be so bad at $2/gallon.
