Gas prices.....zounds!!!!

[sschind]

Illinois used to be about 20 cents higher than Wisconsin but I see now that some stations in Antioch (border town) are just as cheap.  My home town of Twin Lakes used to be about 10 cents higher than Lake Geneva (both Wisconsin) now its 10 cents cheaper at 199.  Maybe the cheaper winter blend has finally hit the pumps.  I'm waiting for it to go down in Kenosha.  Its usually about 20 cents cheaper than here but right now its only 10 cents.

What gets me is gas prices are dropping but nothing else is.  Remember when they said grocery prices went up because transportation costs went up.  Well, the conspiracy theorist in me says that is why they are keeping diesel prices up so they can still use the high transportation costs as an excuse.

My favorite part about it all is those people going out and buying the gas sucking 10 MPG SUVs again just because gas prices are low.   A small part of me can't wit until gas hits $4.00 a gallon again just so I can listen to those people whine.  A very small part of course but a part none the less.

Not that I don't like the low prices but in a way I wish they would hold it at a little higher price and make more money now but keep it lower as costs go up.  Make more now and bank it so to speak but I know that will never happen.

All I can say is enjoy it while it lasts and buy yourself some gas cards with your savings if you don't need the money elsewhere.  It won't stay this low forever.

[Mugwump]

   I think it'll drop a bit more, then gel for a bit???....watch the market....once the price of oil begins to rise, they'll be no stopping it....gas will surpass previous prices...why?...because the oil brokers kids are going to college/dentist/ on a world tour..??...who knows.....
   I agree, enjoy it while you can...    

[wsantia1]

   I think it'll drop a bit more, then gel for a bit???....watch the market....once the price of oil begins to rise, they'll be no stopping it....gas will surpass previous prices...why?...because the oil brokers kids are going to college/dentist/ on a world tour..??...who knows.....
   I agree, enjoy it while you can...

I agree Jon. $4.00 a gallon gas will be back soon enough.

[GraphicGr8s]

OPEC is the one allowing the lower price. They've got the money to break the US oil production. Fracking is expensive. Below about $40/barrel it is a losing venture. Some fields have already been shut down. OPEC can take the hit. When the US production is cut back far enough they jack up prices again and have full control. Something to remember though. US production has increased on private and state land. Federal drilling is most likely at an all time low. That's the fault of the liberals.

[Mugwump]

OPEC is the one allowing the lower price. They've got the money to break the US oil production. Fracking is expensive. Below about $40/barrel it is a losing venture. Some fields have already been shut down. OPEC can take the hit. When the US production is cut back far enough they jack up prices again and have full control. Something to remember though. US production has increased on private and state land. Federal drilling is most likely at an all time low. That's the fault of the liberals.

I believe the US is flooding Europe with the fracked oil too....to drive down the demand for the Russian oil..........screwing Putin   

[GraphicGr8s]

I've got my doubts on that Jon. I think the oil we produce is not the oil we are allowed to use here but is legal overseas. Brent light sweet crude is a low sulfur oil from the North Sea. WTI is a bit sweeter though. Not really sure why we actually export oil at all instead of minimizing our imports.

[Mugwump]

I've got my doubts on that Jon. I think the oil we produce is not the oil we are allowed to use here but is legal overseas. Brent light sweet crude is a low sulfur oil from the North Sea. WTI is a bit sweeter though. Not really sure why we actually export oil at all instead of minimizing our imports.

Exactly....that's probably why they can increase the European quotas to help with the mini embargo on the use of Soviet oil....??....but who knows......can't find where I read it...

[GraphicGr8s]

There's a bunch of theories on why it's down. Some talk about less usage but really given things going on I doubt it.
From my understanding we don't actually export crude only refined product.

[Mugwump]

There's a bunch of theories on why it's down. Some talk about less usage but really given things going on I doubt it.
From my understanding we don't actually export crude only refined product.

Refined would do the trick...allowing for what crude they do get to be used to offset their heating, etc needs...but you're right, we may never know or understand what's happening there for years...??

[GraphicGr8s]

From the research I've done it's pointing to the OPEC deal.

Yes Jon politics and world affairs runs tied with fish.

[Mugwump]

By this article, the OPEC decision to fight fracking has paid off in dropping Russia's currency ...the increased European fracking, along with the US fracking are significant contributors to this too...amazing stuff when you find the right info, etc.. the price per barrel of oil from fracking has dropped too, both here and in Europe...but still the US has become a major player in barrels produced....

http://www.newyorker.com/news/john-cassidy/opecs-holiday-present-helps-everyone-except-frackers

[GraphicGr8s]

One article I read was claiming that with the drop in prices OPEC could no longer dictate and hold prices high. That they were pretty much irrelevant and going down. Still trying to figure out where this guy put his brain. While OPEC can take the loss the US frackers can't stay in business too long losing money. OPEC has deeper pockets.

[Mugwump]

One article I read was claiming that with the drop in prices OPEC could no longer dictate and hold prices high. That they were pretty much irrelevant and going down. Still trying to figure out where this guy put his brain. While OPEC can take the loss the US frackers can't stay in business too long losing money. OPEC has deeper pockets.

I'm wondering too, that if OPEC decides to reverse itself, can they get all their 'old' market base back? The US  (North America ) are producing a vast amount of crude oil now and selling big time. Sure losing money isn't good, but the market share increase is invaluable.....and Europe too is growing away from the OPEC influence.......as bad as the 'pipeline' idea is..it would help introduce massive additional oil on the world market....the differences in the type oil produced tho will be a factor as the market shakes out in the future...each has it's place...

[Ron Sower]

Thanks for that article, Mugs!

[GraphicGr8s]

One article I read was claiming that with the drop in prices OPEC could no longer dictate and hold prices high. That they were pretty much irrelevant and going down. Still trying to figure out where this guy put his brain. While OPEC can take the loss the US frackers can't stay in business too long losing money. OPEC has deeper pockets.

I'm wondering too, that if OPEC decides to reverse itself, can they get all their 'old' market base back? The US  (North America ) are producing a vast amount of crude oil now and selling big time. Sure losing money isn't good, but the market share increase is invaluable.....and Europe too is growing away from the OPEC influence.......as bad as the 'pipeline' idea is..it would help introduce massive additional oil on the world market....the differences in the type oil produced tho will be a factor as the market shakes out in the future...each has it's place...

Followed to its logical conclusion they would be the only place to buy oil. Remember OPEC isn't just the Mideast. Get rid of US production first since fracking is so expensive. Russia is about the same time maybe sooner and who's left?  BTW we get the majority of our oil from Canada and mexico.