Getslow Posted January 21, 2016 Share Posted January 21, 2016 By the way, I read yesterday that if the cost of crude was $0/barrel the price of gas would still be over $1.00/gallon. Presumably even if they pulled it out of the ground at a loss, it would still have to be sent to a refinery, refined, and then shipped to consumers, right? Is that what the article suggested? That the base line of what all those things come to is about a dollar? Link to comment Share on other sites More sharing options...
John Anthony Posted January 21, 2016 Share Posted January 21, 2016 Presumably even if they pulled it out of the ground at a loss' date=' it would still have to be sent to a refinery, refined, and then shipped to consumers, right? Is that what the article suggested? That the base line of what all those things come to is about a dollar?[/quote'] Also taxed. Link to comment Share on other sites More sharing options...
Clyde Posted January 21, 2016 Share Posted January 21, 2016 Presumably even if they pulled it out of the ground at a loss, it would still have to be sent to a refinery, refined, and then shipped to consumers, right? Is that what the article suggested? That the base line of what all those things come to is about a dollar? Corect. It was actually over a dollar but I can't remember the number. Link to comment Share on other sites More sharing options...
Clyde Posted January 21, 2016 Share Posted January 21, 2016 Also taxed. I think the figure I saw was without tax. Link to comment Share on other sites More sharing options...
BigVMan23 Posted January 21, 2016 Author Share Posted January 21, 2016 By the way, I read yesterday that if the cost of crude was $0/barrel the price of gas would still be over $1.00/gallon. Sure, I believe that. I have spent more than a few days in Cattletsburg at the Marathon plant, I know a little about how much it costs to process the crude into a useable product and the crazy costs associated with the infrastructure. Link to comment Share on other sites More sharing options...
John Anthony Posted January 21, 2016 Share Posted January 21, 2016 I think the figure I saw was without tax. You're a wise investor, why can't Wall Street see we have a heavy supply now, why are they letting that crash the market, essentially punishing us? Link to comment Share on other sites More sharing options...
mcpapa Posted January 21, 2016 Share Posted January 21, 2016 $1.57 here today. I blame Obama. Link to comment Share on other sites More sharing options...
NKY Bandit Posted January 21, 2016 Share Posted January 21, 2016 Auto manufacturers must be happy. Can't seem to keep trucks or large SUV's on the lot with fuel prices low. Link to comment Share on other sites More sharing options...
Voice of Reason Posted January 21, 2016 Share Posted January 21, 2016 $1.57 here today. I blame Obama. Obama has nothing to do with getting oil prices low. However, all those jobs lost in the oil and fracking industry are 100% Obama's fault. Link to comment Share on other sites More sharing options...
Clyde Posted January 21, 2016 Share Posted January 21, 2016 Obama has nothing to do with getting oil prices low. However, all those jobs lost in the oil and fracking industry are 100% Obama's fault. How so? Link to comment Share on other sites More sharing options...
woodsrider Posted January 21, 2016 Share Posted January 21, 2016 With transportation prices down, one of my customers still wants to raise their direct import freight rate and wants us to hold the ELC!! We have held the FOB but they cannot justify the higher rate other than it being a profit center for them. The ocean freight companies were able to increase container rates end of 2014/early 2015 with the west cost port issues and they aren't quick to give back those increases. Link to comment Share on other sites More sharing options...
LIPTON BASH Posted January 21, 2016 Share Posted January 21, 2016 I don't think you can make a direct link between price of oil being good or bad for the overall economy. It MAY be a sign of the economy vs it influencing the economy. I would say like any other product their is an equilibrium . The same product can be to low or to high and hurt the economy. There will be winners and losers on each end. Link to comment Share on other sites More sharing options...
Voice of Reason Posted January 21, 2016 Share Posted January 21, 2016 How so? Sarcasm ... haven't figured out how to get those emojis into a post when using my phone. Link to comment Share on other sites More sharing options...
LIPTON BASH Posted January 21, 2016 Share Posted January 21, 2016 You're a wise investor, why can't Wall Street see we have a heavy supply now, why are they letting that crash the market, essentially punishing us? I'm not trying to come off as a jerk. But I don't think you understand how the market works. There are different markets at play such as futures , stock in a whole hosts of companies affected by this price drop., and much more. Large investors who influence the market aren't about punishing anyone , it's about making money. Period. A lot of blue chip companies on S&P and Dow are impacted in a negative fashion by low oil pricing. Obviously the drop in oil is good on the average joe in the short term. But like I said every product has its equilibrium and right now this products equilibrium it out of sorts and causing strain on the economy. The same thing happened on the opposite end a few years ago. Link to comment Share on other sites More sharing options...
John Anthony Posted January 21, 2016 Share Posted January 21, 2016 I'm not trying to come off as a jerk. But I don't think you understand how the market works. There are different markets at play such as futures ' date=' stock in a whole hosts of companies affected by this price drop., and much more. Large investors who influence the market aren't about punishing anyone , it's about making money. Period. A lot of blue chip companies on S&P and Dow are impacted in a negative fashion by low oil pricing. Obviously the drop in oil is good on the average joe in the short term. But like I said every product has its equilibrium and right now this products equilibrium it out of sorts and causing strain on the economy. The same thing happened on the opposite end a few years ago.[/quote'] Oil has been the leading cause of the stock crash with China. When it got to $100 a barrel we started fracking and we are now a major oil power. Factor that with Irans production coming on board and you have a TON of oil. But inventors instead want to play the waning demand card? You can't have it both ways, no supply and $100 oil and too much supply and $30 oil. Supply and demand is still real. Link to comment Share on other sites More sharing options...
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