Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
This will work until we have refineries start switching from summer blend to winter blend in about a month or so. We'll see gas prices creep up again.
Quote:
Originally Posted by pknopp
People will have more to spend elsewhere which will help those segments of the economy. This is how it is supposed to work.
Yes and shouldn't companies lower price because gas prices are going down too. Isn't that how it is supposed to work?
Quote:
Originally Posted by Spartacus713
The people who have lost their jobs? How are they going to do that when they are struggling to keep their homes?
Not only this but you have stagnant wages that see costs go up with wages that don't keep up with them.
Quote:
Originally Posted by pknopp
They will have to get jobs at the places that benefit. That is how it is suppose to work. What did the blacksmiths do? Should we still be subsidizing their jobs?
The federal government didn't intervine in the markets until 1932 because we were still mostly agricultural before then. The dust bowls in the 1930's ruined that and forced that. As I said before, part of the problem is that companies aren't paying employees enough. The price of gasoline drops but not anything else. Healthcare goes up (though slightly lower besides the deductible,) food goes up, wants go up. The fact is we see far too many costs go up yet wages don't. When wages are stagnant yet costs go up, you DON'T see people buy goods with the extra money for gas.
China devaluing their currency and OPEC admitting to pumping more oil, is resulting is an oil supply that is exceeding demand, which in turn is resulting in rapidly falling oil prices again. Currently Crude oil is trading at $43.12 a barrel, apparently heading back down under the $40 mark.
You may think, "That will result in lower gasoline prices, and other than that, why should I care?"
Because nearly all of the "economic recovery" over the six years can be attributed to the success realized by the fracking industry and the drilling they have done, resulting in a huge number of jobs created, across the country. When this sector is weak, as it is now, that means more layoffs, less jobs and less GDP contributed from this sector.
Anyway, the fracking industry needs a price per barrel of about $70 or so to make many of its fields work. For a while there, prices had turned back up to about $60 per barrel. But now they are back down again, and at below $40, it is a bloodbath for these guys, which is bad for our economy, even if it is good for your personal gasoline costs.
Screw the oil and gas industry. I didn't see this level of sympathy from you conservatives when auto manufacturing hit the skids. You said "let them fail and the free market will sort it out."
So I don't give a hoot about the oilfields. They made six figure salaries for a decade or better. They should have huge nest eggs saved up.
Location: Just transplanted to FL from the N GA mountains
3,997 posts, read 4,143,759 times
Reputation: 2677
Quote:
Originally Posted by KathrynAragon
It's a rough ride but so far, we're hanging in there. (My husband is an oil and gas consultant.)
Me too. What those who talk bad about us and say they don't care don't realize... They are hurting themselves probably more than us. Every time the public or the government does something which hurts the US population, somewhere else benefits. What they don't consider is oil/gas is Global! Business outside the US is better than ever.
No it isn't. They are pumping a lot but just to tread water. Saudi Arabia is in sketchy shape. They can't cut back because that would mean losing face with the people in their country.
They have to maintain an air of everything being O.K. if they start laying people off and the people start to rebel, well over there they don't simply elect new losers. They drag the old ones dead bodies through the streets.
Screw the oil and gas industry. I didn't see this level of sympathy from you conservatives when auto manufacturing hit the skids. You said "let them fail and the free market will sort it out."
So I don't give a hoot about the oilfields. They made six figure salaries for a decade or better. They should have huge nest eggs saved up.
That's what has always happened in the oil and gas industry.
Screw the oil and gas industry. I didn't see this level of sympathy from you conservatives when auto manufacturing hit the skids. You said "let them fail and the free market will sort it out."
So I don't give a hoot about the oilfields. They made six figure salaries for a decade or better. They should have huge nest eggs saved up.
LOL. Well, as a lefty, of course your first thought is of bailouts, handouts and tax increases. However, please take note that nobody that was opposed to the auto bailouts is proposing a bailout for the fracking industry. It is only you and others on the left that are bringing that up.
However, it is interesting to note that you guys were supportive of the auto bailouts, but you oppose a bailout of all these failing oil companies. This is not consistent with your supposed hatred of inequality now is it? If you supported bailouts in one instance, if you were consistent in your support for equality, you would also be calling for it here.
What is the difference between the two situations? Why the auto unions, of course. They not only vote Democrat, but they are big money financial donors to Democratic candidates and the Democratic party. So once again with you guys, we see it is all about the money and the power for you, let the middle class voters here be damned.
I and others conservatives are still not suggesting that we should have a bailout here, just to make it clear, which makes our position consistent between the auto company situation in 2009 and the oil company failures and enormous layoffs that have been happening this year.
Unlike the leftist position, which is all about playing favorites and pandering to those who pay the Democrats off in a massive way.
Natural gas typically peaks in the winter, especially when it is cold and supplies run short. Crude oil and gasoline typically peak in the summer during the peak holiday and driving season.
Seeing crude oil down like this during what is supposed to be its peak period may very well be a harbinger of further declines to come.
If crude’s slump back to a six-year low looks bad, it’s even worse when you reflect that summer is supposed to be peak season for oil.
U.S. crude futures have lost 30 percent since the start of June, set for the biggest drop since the West Texas Intermediate crude contract started trading in 1983. That beats the summer plunges during the global financial crisis of 2008, the Asian economic slump in 1998 and the global supply glut of 1986.
It even surpasses the decline of 2011, when prices fell as much as 21 percent over the summer as the U.S. and other large oil-importing nations released 60 million barrels of oil from emergency stockpiles to make up for the disruption of Libyan exports during the uprising against Muammar Qaddafi.
WTI, the U.S. benchmark, fell to a six-year low of $41.35 a barrel Friday. It may slide further, according to Citigroup Inc.
Natural gas typically peaks in the winter, especially when it is cold and supplies run short. Crude oil and gasoline typically peak in the summer during the peak holiday and driving season.
Seeing crude oil down like this during what is supposed to be its peak period may very well be a harbinger of further declines to come.
The supply has to stay constant though and if it don't, we will see increases or decreases in the price. As I mentioned, we'll see some supply issues in a few weeks as refineries switch what they do process (summer blend vs. winter blend.) Because supply is static for gasoline, it is hard to know if it will last or not.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Me too. What those who talk bad about us and say they don't care don't realize... They are hurting themselves probably more than us. Every time the public or the government does something which hurts the US population, somewhere else benefits. What they don't consider is oil/gas is Global! Business outside the US is better than ever.
