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| Oil Prices Fall on Rising U.S. Supplies (Also known as "Analyst don't know crap") |
| 2005-07-20 |
| WASHINGTON - Oil prices fell by more than $1 a barrel on Wednesday after new government data showed rising U.S. supplies of diesel and heating oil and only a smaller-than-expected decline in crude oil inventories. Somehow, it still is all bushhitlerhalbertonSUV's Fault. Earlier in the day, crude futures prices moved higher on concerns about production disruptions as Hurricane Emily slammed into Mexico's northeastern coastline and after a U.S. warning of possible terrorist attacks in Saudi Arabia. More proof that the hard earned money I put into my tank is determined by someone else's daily panic attack Light sweet crude for August delivery fell $1.11 to $56.35 a barrel in afternoon trade on the New York Mercantile Exchange. September futures, which become the front-month contract beginning Thursday, traded 79 cents lower at $57.90 a barrel. Heating oil futures fell by 3.71 cents to $1.593 a gallon while gasoline dropped by less than a penny to $1.67 a gallon. In its weekly supply snapshot, the Department of Energy said stocks of distillate fuel, which include heating oil, diesel and jet fuel, grew by 2.3 million barrels to 122.7 million barrels, or 5 percent above year ago levels. 'cause it's all about the oil, baby. Uh-huh, uh-huh The nation's inventory of crude oil slipped by 900,000 barrels to 320.1 million barrels, or 7 percent above year ago levels, the agency said. Analysts said traders were expecting a decline of at least twice that size. More proof that analysts really don't know anything and just make shit up as they go. "It really was a bearish surprise to the market," said Phil Flynn, an analyst at Alaron Trading Corp. in Chicago. Flynn said that while the damage to oil production from Hurricane Emily appears to be temporary, the market will remain on edge until a clearer picture develops â and any time a big storm moves through the Gulf of Mexico. While he believes oil prices could theoretically head down toward $50 a barrel this summer, assuming no major supply snags, he maintains that traders will become jittery as the winter heating season approaches. The sky is falling! The sky is falling! Flynn gave credit to the refining industry for cranking up production of distillate fuel at a time when it must also meet the peak demand for gasoline. "They've really built up supply in a short period of time," he said. It is called capitalism and good buisness sense, dumbass... Rest at link |
| Posted by:mmurray821 |
#19 Hmmmmmm...
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| Posted by: mojo 2005-07-20 21:00 |
| #18 $2.139 in Cincinnati yesterday, but it's been dropping a few pennies each day this week. |
| Posted by: trailing wife 2005-07-20 20:55 |
| #17 I'm against doomsday scenarios but it's an undeniable fact that the world uses too much oil compared to what can be found AND exploited. We WILL need to reduce demand as supplies aren't going up anymore. If we don't we'll be in HUGE trouble before 2010. Ignore temporary fluctuations...oil prices will only go one direction in the future. At the moment some "peak oil panic" may be priced in and we may not have yet reached the point but we will. Saudi Arabia will be the tipping point when the world finds out that they can no longer deliver what they promise. SUVs on paved highways are not sustainable. |
| Posted by: True German Ally 2005-07-20 20:54 |
| #16 The higher the price of oil the fewer 2nd and 3rd world citizens can afford it, leaving more for us. |
| Posted by: Shipman 2005-07-20 20:01 |
| #15 Elvis, we have hashed the supply issue before and it is unrelated to peak oil. Bringing new oil supply online requires as much as 5 years for major projects. |
| Posted by: phil_b 2005-07-20 19:58 |
| #14 Peak oil production in 3, 2, 1. What's that Saudi Arabia? No thanks, we can get camels cheaper elsewhere. EP |
| Posted by: ElvisHasLeftTheBuilding 2005-07-20 18:55 |
| #13 $2.17 at the Pink Elephant* in Anchorage, Alaska. *Carwash |
| Posted by: Alaska Paul 2005-07-20 18:33 |
| #12 World demand for oil is growing around 2 million barells per day each year. Supply simply isn't increasing at anything like that rate. Oil will continue to increase in price until demand drops to be in line with supply increases. And that assumes supply will continue to increase. I don't know how high oil will go, but you can be sure it will go higher from here. |
| Posted by: phil_b 2005-07-20 18:17 |
| #11 Once Uncle Sam stops filling the Strategic Petroleum Reserve, look for prices to fall. When that happens, oil-producing countries are going to have to start slashing government spending. Or, better still, maybe they'll open the spigots, hoping to make up for the drop in prices by producing more, thereby dropping the prices even further. We'll get the last laugh yet. Too bad Unocal has rigged the bidding in favor of Chevron. It would be sweet to sell $1 worth of assets to CNOOC for $2. I suspect that at the current bid, Chevron will find that it has overpaid for Unocal. The thing with Chevron is that it's the perennial also-ran of the oil business. I can't believe they're buying Unocal at the top of the market. I think it's pretty cool that the Chinese and the Indians have locked up production at these prices. I'm sure Indian and Chinese consumers will appreciate paying through the nose when oil prices are much lower. |
| Posted by: Zhang Fei 2005-07-20 17:35 |
| #10 The Oil and Gas Journal. http://ogj.pennnet.com/home.cfm |
| Posted by: Anonymoose 2005-07-20 17:29 |
| #9 maybe we need this. Prices here are at an all-time high $2.20 for the cheap stuff. I certainly hope with the Chinese demand seeming to decline that oil prices will too. |
| Posted by: Deacon Blues 2005-07-20 17:27 |
| #8 Falling prices? $2.519 in SoCal.... today |
| Posted by: BigEd 2005-07-20 16:14 |
| #7 As usual Methane supplies are wasted. |
| Posted by: Shipman 2005-07-20 16:06 |
| #6 Oil prices fell by more than $1 a barrel on Wednesday after new government data showed rising U.S. supplies of diesel and heating oil and only a smaller-than-expected decline in crude oil inventories. And as is always the case, any fall in gasoline prices will come slllllooooowly.... |
| Posted by: Bomb-a-rama 2005-07-20 15:58 |
| #5 Thanks 2b. This just in from LGF, 15 killed in protests against oil price hikes: - Violent demonstrations across the country. Because the govenment is no longer subsidising the oil companies and the prices will rise 50-100% more. Get this quote: âThis is a natural reaction because the governmentâs reforms are a lie and we canât take it any more...This government is making the rich richer and the poor poorer,â said one young man in Sanaa. hmmmm.... Maybe they should give this man a job at the DNC headquarters. |
| Posted by: mmurray821 2005-07-20 15:17 |
| #4 analyst? Is that how it's spelled? I always thougth it was anal ass' |
| Posted by: 2b 2005-07-20 15:10 |
| #3 Don't worry, they'll come up with an excuse to rally the prices up. Hurricanes in the gulf, terror threats in Kenya, refinery fire in Washington state. They've got a million of em'. |
| Posted by: bigjim-ky 2005-07-20 15:04 |
| #2 Hey, at least some people are finding panic attacks to be a highly profitable business. That's food for thought, at least, if you plan on reading the Peak Oil TM forums. |
| Posted by: Phil Fraering 2005-07-20 15:01 |
| #1 funny comments mm. This one made me LOL and scare my dog - "More proof that the hard earned money I put into my tank is determined by someone else's daily panic attack" |
| Posted by: 2b 2005-07-20 14:27 |