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Old 05-05-2011, 04:07 PM   #1
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Go Figure

I just heard oil dropped $9.44 a barrel today, but fuel went up, go figure?

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Old 05-05-2011, 04:53 PM   #2
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Blame the speculators that appears to be what is driving the prices.

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Old 05-05-2011, 04:59 PM   #3
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Originally Posted by Shadowcatche View Post
Blame the speculators that appears to be what is driving the prices.
I have another name for them, but I won't type it on a famliy friendly forum.
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Old 05-05-2011, 10:20 PM   #4
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Originally Posted by DRosedale View Post
I just heard oil dropped $9.44 a barrel today, but fuel went up, go figure?
No offense, but why do you think prices for crude oil futures and retail gasoline or diesel should move together? Do wheat futures and the price of a loaf of bread move together?
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Old 05-06-2011, 09:40 AM   #5
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You know that law of supply and demand.. As demand goes up so does the price, as supply goes up the price goes down..

Well, that's what is called an "Ideal" law.. Now here is the real law of supply and demand, Real laws are also called Murphy's laws because Murphy (Mrs no less) discovered them.

As Demand goes up so does the price
As supply increases to exceed the higher demand the price goes up even more to cover the cost of warehousing the excess.

How do I know Mrs Murphy discovered those laws?

Well, you know that old Irish song.


Nobody answered, because when they ladeled them out, Mrs. Murphy fainted.. She'd done it,, You see, she used the chowder pot as the laundry tub on wash day and .... Something went wrong.
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Old 05-06-2011, 09:49 AM   #6
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Where we are, (I sell retail diesel fuel in NY), the wholesale truckload price of ULSD dropped 29 cents a gallon overnight last night. Most dealers are stuck with what they previously bought as in-the-ground inventory at the higher price so you won't see much of a difference till all of that is gone. On the flip side, if it goes right back up, you won't see it change at all.
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Old 05-06-2011, 01:32 PM   #7
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I don't put any emphasis on the poor old retailer. He has to sell what he has first before he can offer the newer price. Of course, I object to raising the price of what is in the tank just because of speculation that the price is going up.

It is saddening to think that back in 1974 the people of this country go together and made the supply go up. How was that? They carpooled every day for a little over 30 days. I was in the military then, and in our unit you would see car loads of military riding with each other. In my case I alternated weeks with other drivers so that only one of us had to use our car. My demand for fuel went way down, as did many others who car pooled. It's funny that the catalyst behind this was the news media. Just about every segment of news carried a small feature of car pooling.

I wonder what has changed?

Edited: I live in a refinery town. Many of the folks living here have made there entire living working in the Refineries. Just talking to one such old timer the other day we were talking about the 1974 "crisis." He stated that at the refinery he was working at the tanks were full to the brim and they were told not to release it.

I wonder why?

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