Crude Futures Hit New Record High on Concern Over Tight Supplies-$57+

[NNN0LHI]

http://ap.tbo.com/ap/breaking/MGB81DNXE6E.html

LONDON (AP) - Crude futures soared above $57 a barrel Thursday after an OPEC pledge to increase output failed to assure traders worried about tight supply.

Light, sweet crude for April delivery rose 71 cents to $57.17 a barrel on the New York Mercantile Exchange by late morning in Europe, with a high on the day of $57.23. The previous intraday high, set in October, was $55.67 a barrel.

Members of the Organization of Petroleum Exporting Countries met in Iran on Wednesday and agreed to raise the group's output quota by 500,000 barrels a day, or 1.9 percent.

The market was unimpressed with that decision, because members of the oil cartel who are supposedly bound by its production quota are already exceeding the previous ceiling by about 700,000 barrels a day - meaning no extra supply will actually be added.

more

[Deja Q]

1. Reagan re-gave everybody the idiot mindset that oil comes from

a bottomless well.

Fucker.

Fuckers for believing the fucker.

What he and every prez since has acted like oil was never a problem. And I wish they all burn in hell slowly because they've murdered the rest of us with pushing their false beliefs.

Best of all: OPEC knows full well that by maxing out the supply earlier, it'll bring us to out knees earlier. When the Fuckers in power finally realize this; they won't be very happy.

[NNN0LHI]

5. "Trees cause more pollution than automobiles do." -- Ronald Reagan, 1981

:eyes:

[BlueEyedSon]

2. Bush wasted upwards of $200 billion to secure Mid East oil.

That would have paid for a lot of conservation and alt energy research & implementation.

[Wright Patman]

6. That bolsters

the argument that it was really done more to establish 'lebensraum' for Israel. It was a risky proposition to 'shock and awe' a country of battle-hardened citizens such as the Iraqis, no matter how many (literally) rosy scenarios were floated beforehand. People such as Ritter predicted what actually occurred.

At any time the U.S. and UK (the only holdouts on the Security Council) could have dropped the sanctions regime, allowed Iraq to flood the market with its previous four to five million barrels a day and crude prices would now be $35 to $40 a barrel at the most.

[leveymg]

3. How high before the MSM even notices?

Contrast this with the "Carter energy crisis" of '79-80.

Why aren't the networks and major news chains SCREAMING about gas prices this time?

Party controlled media (PCM). Maybe no one listens to it anymore.

[liberal N proud]

4. Think about it, They report nothing that would cause ill feelings

toward the chimp in chief.
If Gas prices hit $5.00/gallon, there would be no stories on TV or in print.
If Michael Jackson shows up to by gas in his pajamas, they might just bring their TV cameras to the gas station, but that would be about the only reason.

[durablend]

7. MSM is screaming that it's not high enough...

Funny how they keep dragging out the "inflation adjusted" figure (for "why gasoline is still DIRRRRRRRRRRRRRRRT CHEEEEEEEP" compared to the 1970s figure) and it keeps rising. First it was in the $70 range, then it jumped to $80, now I've heard they're using the $90-95 range.

Like everything else, the MSM is only too happy to help stick it to the American people.

[Theres-a]

9. YES! I noticed that too! They have no shame.

[leveymg]

10. The pump price should be well over $3/gal. if it tracked crude oil prices

The divergence started about a year ago. We're now beginning to see the inevitable adjustment after the election.

See: http://www.progressivetrail.org/articles/040825Levey.shtml

[djack23]

11. Not really

B.C. Much only about 50% of the price at the pump is from the price of a barrel of oil. The rest comes from taxes and marketing / tansportation etc.

As the price of a barrel rises so does the price of gasoline at the pump.

Assume at 2.00 a galloon, 50% of the price come from oil which sells at 50$ a barrel. If the price rises 50% to $75 a barrael the price of a galloon would be expected to rise only %25 tO 2.50. This is bc the price of the oil in the galloon of gasoline represents only 50% of the price (not 100%(the rest comes from taxes, transportation, marketing etc.)

David

[leveymg]

14. Yes, really. Retail domestic prices have not tracked the rise in world or

spot market prices.

The tax on a gallon of unleaded regular, .72, remains about what it was a year and a half ago, when the pump price averaged $1.33. http://www.atr.org/taxbites/gas.html

The Federal excise tax of .18 has not gone up. That's where its been since 1998. www.ncseonline.org/NLE/CRSreports/energy/ eng-35.cfm?&CFID=17552456&CFTOKEN=31899597

Some state excise taxes have gone up, but not nearly as fast as the rise in gas prices nationwide. Even so, the rise of US retail prices trail the escalation in world crude prices by a wide margin.

So, David, why do you believe that taxes would still account for fifty percent of the cost of gallon of gas, even if pump prices doubled?

[djack23]

16. I don't believe that

I don't believe that.

This is my point: (perhaps I wasn't clear enough before)

As the price of oil rises a greater percentage of the price at the pump reflects the cost of a barrel of oil.

Hence, if the price of a barrel rises 25% the price of a gallon of gas will rise a smaller percentage.

David

[Nordmadr]

8. Drip...drip...drip...

Peak oil is coming. Nervous yet?

Olaf

[cthrumatrix]

12. time to make plans .....(looking for my farmer uniform)

[Nordmadr]

13. Just started shopping for a good piece of land.

Already own a nice paid for house, but would like to build something eco-friendly that has some arable land and forest. Hopefully there will be time. If not, I am expanding my garden at my house this year, and continue to research into things like blacksmithing, gardening, sewing, hide tanning, etc. Welcome to the new Self-Service America.

Olaf

[iamjoy]

15. What About All That Oil In ANWR

That's going to take care of our supply problems, right?

<sarcasm off>