Gas broke the 4$ marker today!!!
06-16-08 | 06:52 AM
#34
Anything is possible as you are closer to the city, I hear that its going to be 6.50$ just to pump regular gas before summer is over!!!
We are going to need sponsors for gas to get to our future meets
lol...
We are going to need sponsors for gas to get to our future meets
lol...
06-26-08 | 03:16 PM
#35
NEW YORK (CNNMoney.com) -- Oil reached $140 a barrel for the first time ever Thursday following reports that Libya may cut production and an OPEC official said crude could hit $170 a barrel this summer.
Meanwhile, the dollar's decline against the euro added further upward price pressure.
"I think this is just a combination of all those" factors, said Mark Waggoner, president of Excel Futures in California.
Light, sweet crude for August delivery ended the trading day at a record settlement of $139.64 a barrel, up $5.09, on the New York Mercantile Exchange - the third-largest single-day jump on a dollar basis in trading history. The previous settlement mark of $138.54 was set June 6, when oil prices jumped a record of $10.75 a barrel.
Just before the close, oil spiked to an intraday record of $140.39 a barrel. The previous trading high of $139.89 was set June 16.
"This is volatility-based momentum," said Stephen Schork, publisher of energy trading newsletter The Schork Report.
A lot of bears, investors who bet that the price of oil is going to go down, started buying oil to cover their short sales because they are afraid oil will shoot up overnight, said Schork.
Short selling occurs when investors sell a borrowed security, in this case an oil contract, hoping that the price will go down so they can replace it with another one at a cheaper price. Short sellers can lose big if the price goes up.
Oil could easily fall as low as $132 again, said Waggoner. But he believes prices will eventually break through $140 to top off at around $150-$155 a barrel.
Supply worries. Ongoing concerns over supply disruptions in Africa and the Middle East were the impetus for the surge.
The largest supply concern came out of Libya, which threatened to reduce production.
According to a report by the Bloomberg news service, Shokri Ghanem, chairman of Libya's National Oil Corporation, said reductions may be made because the market is oversupplied.
Other reasons given by Ghanem: A response to sanctions against Iran, also a member of the Organization of Petroleum Exporting Countries, and a bill being discussed in Congress that could allow lawsuits against OPEC countries.
"Even if they pulled 300,000 barrels a day off the market, that would have an impact," said Tom Orr, head of research at Weeden & Co.
Speaking to France 24 television Thursday, OPEC president Chakib Khelil said oil prices could rise to between $150 and $170 a barrel during the summer. He added that he didn't think oil would hit $200 a barrel.
Earlier in the week, Chevron Corp. (CVX, Fortune 500) said workers belonging to Pengassan, a white collar union in Nigeria, had gone on strike. Strike concerns persisted Thursday, threatening to shutter oil producing facilities.
Tension between Israel and Iran was also a concern. On Wednesday, Iran's speaker of the parliament, Ali Larijani, warned that a military strike by western nations or Israel would "cost them heavily."
Fed rate hold. Some oil investors may also have been a little disappointed over the Fed's decision Wednesday to keep a key interbank lending rate at 2%, according to Phil Flynn, senior market analyst with Alaron Trading in Chicago.
On Thursday morning, the Commerce Department revised the country's gross domestic product upward to a 1% annual rate. But the GDP, along with the Fed's statement, may not have painted as positive a picture as many oil investors had hoped.
"You put the two together and it wasn't enough to... wow anybody," said Flynn.
Dollar doldrums. The dollar slipped against the euro and other major currencies on Thursday morning, a day after the Fed's announcement.
Oil is traded in dollars, so any strengthening or weakening in U.S. currency has been influencing oil prices over the past several months.
The Fed's decision was largely expected. But Flynn said some in the market hoped the Fed would have decided to raise rates, or at least have used stronger language suggesting future rate increases, which would bolster the dollar.
"It was kind of a wishy-washy statement on inflation," said Flynn.
Oil prices settled down more than $2 in the previous session, but crude has been trading in a large range recently, rising or falling about $4 a barrel daily.
Meanwhile, the dollar's decline against the euro added further upward price pressure.
"I think this is just a combination of all those" factors, said Mark Waggoner, president of Excel Futures in California.
Light, sweet crude for August delivery ended the trading day at a record settlement of $139.64 a barrel, up $5.09, on the New York Mercantile Exchange - the third-largest single-day jump on a dollar basis in trading history. The previous settlement mark of $138.54 was set June 6, when oil prices jumped a record of $10.75 a barrel.
Just before the close, oil spiked to an intraday record of $140.39 a barrel. The previous trading high of $139.89 was set June 16.
"This is volatility-based momentum," said Stephen Schork, publisher of energy trading newsletter The Schork Report.
A lot of bears, investors who bet that the price of oil is going to go down, started buying oil to cover their short sales because they are afraid oil will shoot up overnight, said Schork.
Short selling occurs when investors sell a borrowed security, in this case an oil contract, hoping that the price will go down so they can replace it with another one at a cheaper price. Short sellers can lose big if the price goes up.
Oil could easily fall as low as $132 again, said Waggoner. But he believes prices will eventually break through $140 to top off at around $150-$155 a barrel.
Supply worries. Ongoing concerns over supply disruptions in Africa and the Middle East were the impetus for the surge.
The largest supply concern came out of Libya, which threatened to reduce production.
According to a report by the Bloomberg news service, Shokri Ghanem, chairman of Libya's National Oil Corporation, said reductions may be made because the market is oversupplied.
Other reasons given by Ghanem: A response to sanctions against Iran, also a member of the Organization of Petroleum Exporting Countries, and a bill being discussed in Congress that could allow lawsuits against OPEC countries.
"Even if they pulled 300,000 barrels a day off the market, that would have an impact," said Tom Orr, head of research at Weeden & Co.
Speaking to France 24 television Thursday, OPEC president Chakib Khelil said oil prices could rise to between $150 and $170 a barrel during the summer. He added that he didn't think oil would hit $200 a barrel.
Earlier in the week, Chevron Corp. (CVX, Fortune 500) said workers belonging to Pengassan, a white collar union in Nigeria, had gone on strike. Strike concerns persisted Thursday, threatening to shutter oil producing facilities.
Tension between Israel and Iran was also a concern. On Wednesday, Iran's speaker of the parliament, Ali Larijani, warned that a military strike by western nations or Israel would "cost them heavily."
Fed rate hold. Some oil investors may also have been a little disappointed over the Fed's decision Wednesday to keep a key interbank lending rate at 2%, according to Phil Flynn, senior market analyst with Alaron Trading in Chicago.
On Thursday morning, the Commerce Department revised the country's gross domestic product upward to a 1% annual rate. But the GDP, along with the Fed's statement, may not have painted as positive a picture as many oil investors had hoped.
"You put the two together and it wasn't enough to... wow anybody," said Flynn.
Dollar doldrums. The dollar slipped against the euro and other major currencies on Thursday morning, a day after the Fed's announcement.
Oil is traded in dollars, so any strengthening or weakening in U.S. currency has been influencing oil prices over the past several months.
The Fed's decision was largely expected. But Flynn said some in the market hoped the Fed would have decided to raise rates, or at least have used stronger language suggesting future rate increases, which would bolster the dollar.
"It was kind of a wishy-washy statement on inflation," said Flynn.
Oil prices settled down more than $2 in the previous session, but crude has been trading in a large range recently, rising or falling about $4 a barrel daily.
07-02-08 | 01:14 PM
#36
Light Crude (NYM)
August 08 ($US per bbl.) 143.57 +2.60
143.25 140.90 143.57 7/2 2:25pm
What is going on in this world today. When Bush took office gas was a $1.46 per gallon
August 08 ($US per bbl.) 143.57 +2.60
143.25 140.90 143.57 7/2 2:25pm What is going on in this world today. When Bush took office gas was a $1.46 per gallon
07-02-08 | 01:57 PM
#37
Might be a good idea.
Do you think gasoline prices will keep climbing? Want to bet on it?
With gasoline prices gyrating on a daily basis, a Florida man has launched a company that lets consumers buy fuel ahead of time and lock in a price.
The company, MyGallons, charges members an annual fee of $29.95 or $39.95. Members buy gasoline gallons via a web site (www.mygallons.com) at a predetermined average price for the area were they live. The gallons are loaded onto a debit card that the company says is accepted at more than 95 percent of the nation's fueling stations.
It's a bit of a gamble--a "hedge" strategy similar to that used by businesses such as airlines, which try to lock in fuel prices for the future. With MyGallons, consumers are betting that today's prices will be lower than the pump price when they need to refuel.
Company founder Steve Verona says MyGallons takes some of the unpredictable nature out of fuel prices.
"I was frustrated with the idea gas prices kept fluctuating up and down, and it seemed pretty random," he says.
The MyGallons concept is similar to Chrysler's current program that promotes a set $2.99 a gallon for fuel for three years. Chrysler's program limits the guaranteed fuel price to the equivalent of 12,000 miles per year, whereas MyGallons members can buy as much fuel as they need. But MyGallons members have to watch for price swings to maximize their deal.
Miami-based MyGallons counts a membership of more than 4000 and has offices in Philadelphia and Columbus, Ohio. It launched a pilot program in April. Verona estimates that the testers paid about $3.10 a gallon for gas, saving roughly a dollar over today's prices.
The debit card system measures consumers' accounts in gallons of regular unleaded fuel. Pumping premium fuel or diesel debits more gallons, but if you find a station with fuel that's cheaper than your purchased price, your account is credited with additional gallons.
Still, there are some potential pitfalls, including the obvious question: What happens if gasoline prices go back down? MyGallons' suggestion is to stock up; buy low and use it later if prices increase, though it remains to be seen if consumers would adapt to that kind of purchasing behavior.
For the moment, the company's business model appears to be on solid footing, as regular unleaded gasoline is more than a dollar higher than it was a year ago, according to AAA's www.fuelgaugereport.com., and crude oil prices are in the $140-a-barrel range.
MyGallons has been in the works for about three years, says Verona, a self-described inventor.
The 39-year-old native Detroiter is also a bit of a car guy. As a child he dreamed of becoming an Indy car driver. He created and sold his first concept, a suspension design for radio-controlled race cars, at age 16.
Verona gave up a tech consulting gig to pursue MyGallons. Ultimately, he expects mainstream use of alternative powertrains and fuel would make his concept obsolete, though for now he's feeling fairly secure.
"Nothing's going to make me happier when we're put out of business by electric cars or hydrogen cars or whatever technology comes down the pike," he says. "But unfortunately, that's many years away."
Do you think gasoline prices will keep climbing? Want to bet on it?
With gasoline prices gyrating on a daily basis, a Florida man has launched a company that lets consumers buy fuel ahead of time and lock in a price.
The company, MyGallons, charges members an annual fee of $29.95 or $39.95. Members buy gasoline gallons via a web site (www.mygallons.com) at a predetermined average price for the area were they live. The gallons are loaded onto a debit card that the company says is accepted at more than 95 percent of the nation's fueling stations.
It's a bit of a gamble--a "hedge" strategy similar to that used by businesses such as airlines, which try to lock in fuel prices for the future. With MyGallons, consumers are betting that today's prices will be lower than the pump price when they need to refuel.
Company founder Steve Verona says MyGallons takes some of the unpredictable nature out of fuel prices.
"I was frustrated with the idea gas prices kept fluctuating up and down, and it seemed pretty random," he says.
The MyGallons concept is similar to Chrysler's current program that promotes a set $2.99 a gallon for fuel for three years. Chrysler's program limits the guaranteed fuel price to the equivalent of 12,000 miles per year, whereas MyGallons members can buy as much fuel as they need. But MyGallons members have to watch for price swings to maximize their deal.
Miami-based MyGallons counts a membership of more than 4000 and has offices in Philadelphia and Columbus, Ohio. It launched a pilot program in April. Verona estimates that the testers paid about $3.10 a gallon for gas, saving roughly a dollar over today's prices.
The debit card system measures consumers' accounts in gallons of regular unleaded fuel. Pumping premium fuel or diesel debits more gallons, but if you find a station with fuel that's cheaper than your purchased price, your account is credited with additional gallons.
Still, there are some potential pitfalls, including the obvious question: What happens if gasoline prices go back down? MyGallons' suggestion is to stock up; buy low and use it later if prices increase, though it remains to be seen if consumers would adapt to that kind of purchasing behavior.
For the moment, the company's business model appears to be on solid footing, as regular unleaded gasoline is more than a dollar higher than it was a year ago, according to AAA's www.fuelgaugereport.com., and crude oil prices are in the $140-a-barrel range.
MyGallons has been in the works for about three years, says Verona, a self-described inventor.
The 39-year-old native Detroiter is also a bit of a car guy. As a child he dreamed of becoming an Indy car driver. He created and sold his first concept, a suspension design for radio-controlled race cars, at age 16.
Verona gave up a tech consulting gig to pursue MyGallons. Ultimately, he expects mainstream use of alternative powertrains and fuel would make his concept obsolete, though for now he's feeling fairly secure.
"Nothing's going to make me happier when we're put out of business by electric cars or hydrogen cars or whatever technology comes down the pike," he says. "But unfortunately, that's many years away."
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