Home Mail MemberMap Chat (0) Wallpapers
Go Back   ChiefsPlanet > The Lounge > D.C.
Reload this Page Economics Why haven't oil prices dropped like a rock?
Register FAQDonate Members List Calendar Mark Forums Read

Reply
Page 1 of 5 1 2345
 
Thread Tools Display Modes
Old 01-31-2013, 06:21 AM  
Direckshun Direckshun is offline
Black for Palestine
 
Direckshun's Avatar
 
Join Date: Oct 2006
Location: Springpatch
Casino cash: $1209023
Why haven't oil prices dropped like a rock?
So I admit I know very little when it comes to this subject. But weren't we told "drill baby drill" going back as far as the 2008 GOP convention, and that an oil surge from something like the Keystone Pipeline would drop gas prices down to something ridiculous like $2/gallon?

I never believed that rosy scenerio, but we've gotten the most promising news in energy independence this past year when it has now been projected for America to overtake Saudi Arabia in oil production.

So here we are, projected to be the global leader in oil production. Something that not even the Keystone Pipeline could have achieved, and goes beyond even its rosy projections in terms of oil generated for American usage.

Oil prices have largely held, have they not? My understanding (limited as it is) is that oil is priced based on the projection of how much we'll be able to acquire in the future:

Quote:
There are many factors that commodities traders look at when developing the bids that create oil prices:
  • Current supply in terms of output, especially the production quota set by OPEC. If traders believe supply will decline, they bid the price up. If they believe supply will increase, they willing to pay as much for oil, and the price falls.
  • Oil reserves, including what is available in U.S. refineries and what is stored at the Strategic Petroleum Reserves. These reserves can be accessed very easily, and can add to the oil supply if prices get too high. Saudi Arabia also has a large reserve capacity. If it promises to tap those reserves, traders allow oil prices to fall.
  • Oil demand, particularly from the U.S. These estimates are provided monthly by the Energy Information Agency . Demand usually rises during the summer vacation driving season. To predict summer-time demand, forecasts for travel from AAA are used to determine potential gasoline use. During the winter, weather forecasts are used to determine potential home heating oil use.
Our current supply is increasing, our reserves are or will be increasing.

So what's the story on this?

Thanks in advance.
Posts: 43,706
Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 06:25 AM   #2
KILLER_CLOWN KILLER_CLOWN is offline
Be HEALED!!!!!!!
 
KILLER_CLOWN's Avatar
 

Join Date: Feb 2002
Location: Fascist State
Casino cash: $11142616
*Profit Margin

DING DING DING DING!!!
__________________
"Not every one that saith unto me, Lord, Lord, shall enter into the kingdom of heaven; but he that doeth the will of my Father ... And then will I profess unto them, I never knew you: depart from me, ye that work iniquity."

"If the people let government decide what foods they eat and what medicines they take, their bodies will soon be in as sorry a state as are the souls of those who live under tyranny." - Thomas Jefferson
Posts: 24,192
KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 06:43 AM   #3
CoMoChief CoMoChief is offline
The Revolution Has Begun
 
CoMoChief's Avatar
 

Join Date: Mar 2005
Location: KCMO
Casino cash: $144719
Our dollar is falling
__________________
2014 Adopt-A-Chief: RT Donald Stephenson #79
Posts: 30,497
CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.CoMoChief threw an interception on a screen pass.
   Reply With Quote
Old 01-31-2013, 07:04 AM   #4
blaise blaise is online now
MVP
 

Join Date: Aug 2007
Location: Plano, TX
Casino cash: $9708878
Let's just use the same type of argument Direckshun used about Obama job numbers. The "jobs saved" approach. The price would have been twice as high without more production. Tada!
Posts: 20,110
blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.blaise is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 07:27 AM   #5
Bewbies Bewbies is offline
Where's the flag ref?
 
Bewbies's Avatar
 

Join Date: Apr 2010
Casino cash: $71537
Quote:
Originally Posted by CoMoChief View Post
Our dollar is falling
For a commodity traded in dollars you'd think this would be more obvious to people...
Posts: 6,460
Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.Bewbies is blessed with 50/50 Hindsight.
   Reply With Quote
Old 01-31-2013, 07:28 AM   #6
Direckshun Direckshun is offline
Black for Palestine
 
Direckshun's Avatar
 

Join Date: Oct 2006
Location: Springpatch
Casino cash: $1209023
Quote:
Originally Posted by CoMoChief View Post
Our dollar is falling
Not really.



The dollar is also projected to strengthen against the Euro over the next four years.
__________________
Posts: 43,706
Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.Direckshun is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 07:58 AM   #7
KILLER_CLOWN KILLER_CLOWN is offline
Be HEALED!!!!!!!
 
KILLER_CLOWN's Avatar
 

Join Date: Feb 2002
Location: Fascist State
Casino cash: $11142616
Quote:
Originally Posted by CoMoChief View Post
Our dollar is falling
True this has happened since the creation of the Federal Reserve but it doesn't explain everything here.
__________________
"Not every one that saith unto me, Lord, Lord, shall enter into the kingdom of heaven; but he that doeth the will of my Father ... And then will I profess unto them, I never knew you: depart from me, ye that work iniquity."

"If the people let government decide what foods they eat and what medicines they take, their bodies will soon be in as sorry a state as are the souls of those who live under tyranny." - Thomas Jefferson
Posts: 24,192
KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 08:54 AM   #8
Stewie Stewie is online now
Supporter
 
Stewie's Avatar
 

Join Date: Oct 2006
Location: West of the Equator
Casino cash: $1716
Oil production increases mean nothing when refinery capacity isn't allowed grow.
Posts: 10,760
Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.Stewie wants to die in a aids tree fire.
   Reply With Quote
Old 01-31-2013, 08:56 AM   #9
Frazod Frazod is offline
Banned
 
Frazod's Avatar
 

Join Date: Aug 2000
Location: my own personal pig hell
Casino cash: $1001187
Gas has gone up about 50 cents a gallon in the past month. Seems like the price has gone up every time I pass the nearest station.

Haven't heard a word about it in the media, though. I guess they're too busy reporting on Dan Marino's bastard baby.
Posts: 91,125
Frazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < Cassel
   Reply With Quote
Old 01-31-2013, 08:58 AM   #10
KILLER_CLOWN KILLER_CLOWN is offline
Be HEALED!!!!!!!
 
KILLER_CLOWN's Avatar
 

Join Date: Feb 2002
Location: Fascist State
Casino cash: $11142616
Quote:
Originally Posted by frazod View Post
Gas has gone up about 50 cents a gallon in the past month. Seems like the price has gone up every time I pass the nearest station.

Haven't heard a word about it in the media, though. I guess they're too busy reporting on Dan Marino's bastard baby.
Yup, complete ****ing bullshit if you ask me. It happens every election cycle though no matter who the incumbent sides with. Bush had gas prices drop drastically in 08 from $4 to about $1.19 and it rose steadily over a 6 month period(if i'm not mistaken on that timeframe) and Obama had the same thing happen this time around. I knew it couldn't last.
__________________
"Not every one that saith unto me, Lord, Lord, shall enter into the kingdom of heaven; but he that doeth the will of my Father ... And then will I profess unto them, I never knew you: depart from me, ye that work iniquity."

"If the people let government decide what foods they eat and what medicines they take, their bodies will soon be in as sorry a state as are the souls of those who live under tyranny." - Thomas Jefferson
Posts: 24,192
KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.KILLER_CLOWN is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 09:13 AM   #11
petegz28 petegz28 is offline
Supporter
 
petegz28's Avatar
 

Join Date: Feb 2005
Location: Olathe, Ks
Casino cash: $260887
I have said this time and time again ...

weak $ = high oil and commodity prices
__________________
"Finally, anyone who uses the terms, irregardless, a whole nother, or all of a sudden shall be sentenced to a work camp."

Stewie Griffin
Posts: 64,839
petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 09:14 AM   #12
petegz28 petegz28 is offline
Supporter
 
petegz28's Avatar
 

Join Date: Feb 2005
Location: Olathe, Ks
Casino cash: $260887
Quote:
Originally Posted by Direckshun View Post
Not really.



The dollar is also projected to strengthen against the Euro over the next four years.


We just hit a 14 month low against the Euro, Professor
__________________
"Finally, anyone who uses the terms, irregardless, a whole nother, or all of a sudden shall be sentenced to a work camp."

Stewie Griffin
Posts: 64,839
petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 09:18 AM   #13
petegz28 petegz28 is offline
Supporter
 
petegz28's Avatar
 

Join Date: Feb 2005
Location: Olathe, Ks
Casino cash: $260887
Quote:
Originally Posted by Bewbies View Post
For a commodity traded in dollars you'd think this would be more obvious to people...
The painfully obvious escapes people like Mrs. Direkshun.

If you listened to his hero during the debates, it was implied that gas prices are high because the economy is doing good.
__________________
"Finally, anyone who uses the terms, irregardless, a whole nother, or all of a sudden shall be sentenced to a work camp."

Stewie Griffin
Posts: 64,839
petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 09:22 AM   #14
petegz28 petegz28 is offline
Supporter
 
petegz28's Avatar
 

Join Date: Feb 2005
Location: Olathe, Ks
Casino cash: $260887
It's almost like clockwork
Attached Thumbnails
Click image for larger version Name: Macrotrends.org_US_Dollar_Index_Gold_and_Oil_Chart_Last_Five_Years.jpg Views: 99 Size: 37.8 KB ID: 103505  
__________________
"Finally, anyone who uses the terms, irregardless, a whole nother, or all of a sudden shall be sentenced to a work camp."

Stewie Griffin
Posts: 64,839
petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.petegz28 is obviously part of the inner Circle.
   Reply With Quote
Old 01-31-2013, 09:30 AM   #15
RNR RNR is offline
Ok which door do I leave from
 
RNR's Avatar
 

Join Date: Sep 2001
Location: Close to the big pond~
Casino cash: $34863
Quote:
Originally Posted by petegz28 View Post
The painfully obvious escapes people like Mrs. Direkshun.

If you listened to his hero during the debates, it was implied that gas prices are high because the economy is doing good.
And Mitt did not even call him on it. These shitbags were taking photo ops in front of gas signs when Bush was in office claiming to be outraged by the high prices. Not a peep from them now
__________________

"If it’s true that our species is alone in the universe, then I’d have to say that the universe aimed rather low and settled for very little"
George Carlin~
Posts: 23,891
RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.RNR is obviously part of the inner Circle.
   Reply With Quote
Reply
Page 1 of 5 1 2345

« Previous Thread | > The Lounge > D.C. < | Next Thread »
Thread Tools
Display Modes
Linear Mode Linear Mode

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts
BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump


All times are GMT -6. The time now is 11:44 AM.

Contact Us - ChiefsPlanet - Archive - Top

Powered by vBulletin® Version 3.8.0
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.