Gas is super cheap right now!

[WilliamM2]

Get it while you can, oil went up today so expect gas to jump real fast.

Went down another 6 cents here since your post.

Have you ever been right about anything?

 

[Regs]

Oil trading prices are going to remain volatile. Everybody right now is worried about a mass sell off like last year.

 

[mcurphy]

Was down to $2.29 here today, still hoping to see it drop under $2 for the last time in my life.

 

[FeuerFrei]

I won't be happy until it's at $1.80/gal.
Currently at $2.19.

Also waiting for the price of jeans to fall $10 to their previous price point. Now that cotton prices have long since returned to normal after spiking to an all time high back in 2010, overcharging for jeans is inexcusable.

 

[jlee]

I won't be happy until it's at $1.80/gal.
Currently at $2.30, IIRC.

Also waiting for the price of jeans to fall $10 to their previous price point. Now that cotton prices have long since returned to normal after spiking to an all time high back in 2010, overcharging for jeans is inexcusable.

I've been paying $15 at Costco for ages.

 

[Blackjack200]

I won't be happy until it's at $1.80/gal.
Currently at $2.30, IIRC.

Also waiting for the price of jeans to fall $10 to their previous price point. Now that cotton prices have long since returned to normal after spiking to an all time high back in 2010, overcharging for jeans is inexcusable.

Does the price of cotton really drive the price of jeans?

Fake edit:

From google:

For the past month, the cotton bale price has hovered near 200 cents per pound. A bale weighs 480 pounds, or 218 kilograms. One 480-pound bale is enough for 215 pairs of jeans. At $2 per pound, this would make the average cost of cotton for each pair of jeans approximately $4.46.

Wow, I guess it does.

 

[corwin]

Filled up for $2.13/gal yesterday...not bad

 

[Blackjack200]

This also gets to the complete unpredictability of markets. Not three weeks ago everyone was talking about Fed rate hikes like they were completely inevitable, now with energy prices driving down the prices of everything else, there is no reasons rates can't stay near zero for the foreseeable future. Amazing.

 

[ultimatebob]

And i saw that new York banned fracking yesterday. Sucks for you.

That's probably good for New York in the long run. By the time the oil companies get that fracking ban overturned, oil will probably be back up to $120 a barrel.

 

[dud]

Actually reports are overall prices of goods is 6% lower in November, the largest drop in 6-7 years. It's going to take a bit of time for that trickle effect....if it lasts that long.

I will believe it when I see it. What "reports" are you referring to? When I see my local food store actually lowering prices (instead of raising prices and lowering quantities) then I will believe it.

 

[Stopsignhank]

I remember when I would get a gallon of gas for my lawn mower for mowing the neighbors yards. I was unhappy when it went over $0.50 per gallon because I liked giving the guy a dollar and getting 50 cents in change.

 

[Engineer]

I remember when I would get a gallon of gas for my lawn mower for mowing the neighbors yards. I was unhappy when it went over $0.50 per gallon because I liked giving the guy a dollar and getting 50 cents in change.

That happened (below $0.50) in 1998.

Filled up at $2.09 today. While I feel it's still expensive, I think that OPEC is trying to break the US booming oil industry...and they might just do it. OPEC states that they can pump oil at $42 per barrel. The US share industry needs about $65 to keep it going. At the mid $50's, OPEC will win if it can hold out.

 

[master_shake_]

Passed by the gas station and it was 1.03/litre! It's been at least 10 years since it's been that cheap.

Is it illegal to store gas at home in 55 gallon drums?

fuuuuuck im loving it at 92 cents a liter ovahere!

got more gas than had to pay money for the first time in fucking ever!

 

[master_shake_]

"Ten Reasons Why a Severe Drop in Oil Prices is a Problem"

http://ourfiniteworld.com/2014/12/07/ten-reasons-why-a-severe-drop-in-oil-prices-is-a-problem/

here's 10 reasons why i don't give a fuck about a severe drop in oil prices.

10 i don't invest in the shit
9. i don't care about investors
8. im sick of paying he equivalent of 6 bucks a gallon for gas
7. people drive more and their cars break. makes me money.
6. oh noes american job rates...
5. you mean all that money oil exporters made when oil was super duper expensive they didn't save? too bad.
4. fuck opec and the horse they rode in on
3. that article looks like propaganda.
2. i don't care
1. i finally get to fill my tank for less that 70 bucks.

 

[ralfy]

And while some of that may be true and not just propaganda, high oil prices didn't help the economy either. It only really helped the people employed by the oil companies and those that got rich off of it.

Definitely, as shown in the first link in the article:

"Ten Reasons Why High Oil Prices are a Problem"

http://ourfiniteworld.com/2013/01/17/ten-reasons-why-high-oil-prices-are-a-problem/

In the end, it boils down to higher marginal costs (not only in a monetary sense but in terms of lower energy returns) brought about by peak oil:

"Beginning of the End? Oil Companies Cut Back on Spending"

http://ourfiniteworld.com/2014/02/25/beginning-of-the-end-oil-companies-cut-back-on-spending/

 

[jlee]

That happened (below $0.50) in 1998.

Filled up at $2.09 today. While I feel it's still expensive, I think that OPEC is trying to break the US booming oil industry...and they might just do it. OPEC states that they can pump oil at $42 per barrel. The US share industry needs about $65 to keep it going. At the mid $50's, OPEC will win if it can hold out.

I'm honestly surprised it took them so long to realize they could charge $100+/barrel and people would still pay for it.

 

[dmcowen674]

I'm honestly surprised it took them so long to realize they could charge $100+/barrel and people would still pay for it.

Do you really believe it won't go back over $100?

Please please please buy this bridge I have for sale, a bargain just like oil too.

 

[ralfy]

Are you in the shale industry? Cuz the article reads as someone who is butthurt in the shale industry.

Low oil prices are good. Very good. Every major U.S. recession has preceded with high energy prices.

Yeah, sorry. Severe drop in gas prices is not a problem for anyone except competitors. Don't take it personally. It isn't even about you. It appears OPEC is driving down costs to wage economic war on Russia.

As if more proof wasn't needed that oil prices are not set by supply/demand but rather are simply just fixed.

Low prices are good only if it is due to significant increases in production. That has not been the case as conventional production peaked back in 2005, prompting the need for U.S. shale oil to meet increasing demand:

"World crude production 2013 without shale oil is back to 2005 levels"

http://crudeoilpeak.info/world-crude-production-2013-without-shale-oil-is-back-to-2005-levels

It should also be noted that even with a tripling of oil prices global oil consumption still kept rising:

"Peak Oil Demand is Already a Huge Problem"

http://ourfiniteworld.com/2013/04/11/peak-oil-demand-is-already-a-huge-problem/

Finally, it is not just oil prices but other markets have also been experiencing volatility. Given that, it is likely that prices are falling because of a decrease in demand:

"The 2014 Oil Price Crash Explained"

http://www.zerohedge.com/news/2014-11-25/2014-oil-price-crash-explained

 

[dmcowen674]

Filled up at $2.09 today. While I feel it's still expensive, I think that OPEC is trying to break the US booming oil industry...and they might just do it.

OPEC states that they can pump oil at $42 per barrel. The US share industry needs about $65 to keep it going. At the mid $50's, OPEC will win if it can hold out.

What? They are manipulating the Market???

You know there is a slew in P&N (my fan base) that would disagree with you. They also don't believe they shut down pumping on purpose.

 

[ralfy]

here's 10 reasons why i don't give a fuck about a severe drop in oil prices.

10 i don't invest in the shit
9. i don't care about investors
8. im sick of paying he equivalent of 6 bucks a gallon for gas
7. people drive more and their cars break. makes me money.
6. oh noes american job rates...
5. you mean all that money oil exporters made when oil was super duper expensive they didn't save? too bad.
4. fuck opec and the horse they rode in on
3. that article looks like propaganda.
2. i don't care
1. i finally get to fill my tank for less that 70 bucks.

Recall what happened years ago when oil prices also tumbled.

 

[Wuzup101]

Hopefully it's reasonably nice for a few days over the holiday period when I have some vacation. I'm going to do some "fun" driving just for the hell of it to celebrate these new prices (as um... I doubt they will be around long). I will do some burnouts for you Geo Metro drivers

 

[jlee]

Do you really believe it won't go back over $100?

Please please please buy this bridge I have for sale, a bargain just like oil too.

How did you get that out of what I said?

Go put your tinfoil hat back on.

 

[Blackjack200]

That happened (below $0.50) in 1998.

Filled up at $2.09 today. While I feel it's still expensive, I think that OPEC is trying to break the US booming oil industry...and they might just do it. OPEC states that they can pump oil at $42 per barrel. The US share industry needs about $65 to keep it going. At the mid $50's, OPEC will win if it can hold out.

I think I read somewhere that Saudi Arabia produces light sweet crude at $3 a barrel. US shale is somewhere between $30 and $50, but wells that have already been fracked are much cheaper (i.e. the cost of the fracking has already been paid.)

OPEC won't win anything, my guess is the price will stay low (though maybe not as low as it is now) until global demand picks up. Once it goes back up above $70-$80 a barrel again, US, Canadian, and European shale production will ramp up again.

 

[dud]

That happened (below $0.50) in 1998.

Filled up at $2.09 today. While I feel it's still expensive, I think that OPEC is trying to break the US booming oil industry...and they might just do it. OPEC states that they can pump oil at $42 per barrel. The US share industry needs about $65 to keep it going. At the mid $50's, OPEC will win if it can hold out.

Perhaps, but according to the IMF many of these countries are bleeding badly. I've read where the US shale oil industry would still be profitable down into the mid/low $40s.

According to the IMF this is how much each country requires as an oil price to balance their budgets. This is the price that you pay for relying on oil for economic stability:

Libya $184
Iran 131
Algeria 131
Nigeria 123
Venezuela 118
Russia 105
Saudi 104
Iraq 101
UAE 81
Kuwait 78
Qatar 77

 

[SP33Demon]

Low gas prices appear to be great until you take a good, long look at your finances. Sure, I am saving about $10 a week on filling up my gas tank ... but I do not see the price of goods transported using these fuels going down. Also, if you are an investor you've realized a pretty large investment loss to you bottom line in the last few weeks. The uncertanty being caused by lower oil prices actually has had a negative (apparent) effect on me and my finances.

Truth be told I wish the price of oil would stop plumeting and stabilize somewhere around $60 a barrel to help calm things down. Still waiting for some actual GOOD things to come from falling oil ...

STFU, low oil prices are good in every which way for the middle class.