Home Mail MemberMap Chat (0) Wallpapers
Go Back   ChiefsPlanet > The GET IN MAH BELLY! Lounge

Reply
 
Thread Tools Display Modes
Old 04-23-2007, 08:40 AM  
Donger Donger is offline
"Think BOOM!"
 
Donger's Avatar
 
Join Date: Nov 2003
Location: 33.675 N 106.475 W
Casino cash: $146
Gasoline at $4 Coming to a Pump Near You, Unfazed by Rising Tab

http://www.bloomberg.com/apps/news?p...d=afOlUzd30YOo

Pretty alarmist, IMO, but possible.

April 23 (Bloomberg) -- Whether it's $50 to fill up your Prius or $130 for the Ford Expedition, $4-a-gallon gasoline is coming to a pump near you.

Fuel prices are rising at a pace not seen since Hurricanes Katrina and Rita knocked out a third of the U.S. oil refining industry in 2005. Gasoline consumption is climbing twice as fast as last year and will accelerate when summer travel begins late next month.

``What we're surprised by is the increased demand,'' said James Mulva, chief executive officer at ConocoPhillips, whose refineries from California to New Jersey produce 56 million gallons of gas a day, enough to meet 14 percent of the country's needs. ``Even though the price of gasoline is up, the demand is up,'' he said in an April 12 interview in Houston.

Population gains and U.S. economic growth are causing an increase in fuel purchases, according to Orlando, Florida-based AAA, the nation's largest organization for motorists. The U.S. economy will expand at a 2.4 percent annual pace in the second quarter, up from 1.8 percent in the first three months, according to the median estimate of 74 economists surveyed by Bloomberg. Gasoline use is rising almost 5 percent above the five-year average.

Americans are resigned to higher prices, says David Pursell, a principal with Pickering Energy Partners, a consulting firm in Houston.

``Last year, we had pump prices well over $3 for the summer and gasoline demand was up,'' Pursell said in an interview. ``Would $4 gasoline cause demand contraction? I think it will, but I also thought $3 gasoline would.''

Pump Prices

Gasoline inventories, measured by the days of demand they will cover, are at the lowest level in two decades for this time of year because of refinery fires, power failures and maintenance work oil companies failed to complete in 2006. No new U.S. refinery has been built in three decades, increasing the strain on existing plants.

Pump prices in the U.S. may increase to $4 a gallon from a nationwide average of $2.87 today, especially if hurricanes threaten Gulf of Mexico refineries, says Peter Beutel, an analyst at Cameron Hanover Inc. in Stamford, Connecticut, who helps industrial consumers manage energy costs.

``Hurricanes are always the huge wild card,'' said Beutel. ``We're all praying for a year like 2006 rather than 2005.''

The June-to-November Atlantic Ocean hurricane season may produce 17 tropical storms, with nine reaching hurricane force and four becoming major hurricanes whose winds exceed 111 miles per hour (179 kilometers per hour), London-based forecasters at Tropical Storm Risk said. Some of the storms will strike the Gulf Coast this year after a benign 2006, AccuWeather.com predicted.

Inflation Risk

Higher pump prices will make winners of refinery owners such as ConocoPhillips, San Antonio-based Valero Energy Corp. and Royal Dutch Shell Plc of The Hague. Shares of Valero and Sunoco Inc., whose only business is refining, are rebounding after a decline at the end of last summer.

The increase in fuel costs threatens to quicken inflation and restrain consumer spending in the U.S. An appreciation to $4 a gallon would add more than $10 for a driver who fills the 12- gallon tank of a Toyota Motor Corp. Prius. The owner of an Expedition, a Ford Motor Co. sport-utility vehicle with a 34- gallon capacity, faces an increase of almost $40.

Many Americans have no choice but to drive more, says Christopher Knittel, an economist who studies fuel consumption at the University of California in Davis.

More Commuters

``We live farther from our jobs than we did in the 1970s, and with the rise of dual-income households, we now have two people who drive those distances every day,'' Knittel said.

Consumers also do more driving for things such as taking children to soccer practice, which they are unlikely to quit, he said. The U.S. population has increased 1 percent a year in the past decade to 301 million in 2007, adding to demand for gasoline, economists said.

Rising fuel prices make it less likely that Federal Reserve policy makers, who have cited inflation risks for the past year, will cut interest rates to spur economic growth. Before the hurricane-induced peak in 2005, U.S. gasoline topped out at $1.42 a gallon in March 1981, or $3.21 when adjusted for inflation, according to the Energy Department.

Economies in Europe and Asia are less likely to be hurt by gasoline prices because fuel already is subject to high taxes designed to encourage conservation. A gallon of unleaded costs about 3.25 pounds a gallon ($6.49) in the U.K., and in Japan it's 130.3 yen per liter ($4.16 a gallon).

$4 Barrier

U.S. consumers will get little relief on gasoline prices from Europe this year, unlike 2005, when oil companies shipped more across the Atlantic after the hurricanes. Europe's gasoline inventories in February were 114.2 million barrels, down 11 percent from two years earlier, according to the International Energy Agency in Paris. The drop in Europe was almost twice the 5.7 percent decline in U.S. supplies in that time.

``Just as we used to think $3 a gallon was an impenetrable barrier, now it's $4,'' said Peter Morici, a professor at the University of Maryland School of Business in College Park and former chief economist for the U.S. International Trade Commission. Gasoline at $3.50 is likely, Morici said, and a conflict with Iran or any event that disrupts crude supplies may push it to $4.

Pump prices rose 33 percent in the past 11 weeks, the fastest rate of gain since a six-week, 34 percent rally to the record $3.069 in September 2005, Energy Department data show.

Bodman's `Worry'

U.S. Energy Secretary Samuel Bodman in an interview last week said the national average pump price could break the record this summer. While his agency's official forecast is for gasoline to peak next month at about where it is today, hurricanes, refinery closures or crude oil supply cuts may send prices higher, he said.

Higher prices are ``a legitimate worry,'' Bodman said. ``We have trouble spots all over the world'' that could boost crude oil prices. ``We're in a very tight situation.''

Spending on fuel in the U.S. consumes half as much household income as in the early 1980s, which means gasoline would need to reach almost $6 a gallon to have the same effect on the economy as in 1981, according to the Federal Reserve Bank of Dallas.

Storage tanks at U.S. refineries, terminals and ports hold enough gasoline to cover almost 22 days of domestic demand, 8.2 percent less than the five-year average and the lowest for this time of year since the 1980s, Energy Department figures show.

Shortages

Valero-owned filling stations in Denver and Colorado Springs, Colorado, ran dry after a Feb. 16 explosion and fire shut the company's McKee refinery in Sunray, Texas. A day earlier, a blaze at an Exxon Mobil Corp. plant in Nanticoke, Ontario, slashed output, resulting in shortages and higher prices across eastern Canada.

The McKee shutdown strained supplies so much that ConocoPhillips postponed maintenance at its Borger, Texas, refinery north of Amarillo to prevent shortages in the region.

``Refineries are becoming more complex,'' Mulva said in the Houston interview. ``What we're finding is it's more difficult keeping reliability up with more sophisticated pieces of equipment that are highly integrated.''

Tesoro Corp. of San Antonio, the second-largest refiner in the western U.S., said first-quarter refinery use dropped because oil companies delayed until this year maintenance that could have been done in 2006. The portion of U.S. refining capacity that was in operation in the first quarter declined to 87.3 percent from 88.9 percent a year earlier, according to Energy Department data.

`Refineries Blow Up'

``Prices will depend entirely on whether we have a couple of refineries blow up,'' said Philip K. Verleger, an economist who runs a consulting firm in Newport Beach, California. ``It's almost impossible we'll get to $4 a gallon if all the refineries run well this summer. But if something happens and there are problems, then anything's possible.''

The average share gain for Valero, Tesoro and six other oil-refining companies is 26 percent this year, outperforming the 4.1 percent gain for Exxon Mobil and a 4.7 percent increase for the Standard & Poor's 500 index.

The shares will continue to rally, said Paul Carlson, who helps manage $3 billion at HGK Asset Management in Jersey City, New Jersey.

``Refiners are doing very well these days,'' said Carlson, whose holdings include ConocoPhillips, the second-biggest U.S. refiner. ``There will be lots of demand for any new refining stocks.''

`Back in Favor'

As recently as August, investors were selling oil refiners on concern an economic slowdown would slash fuel demand in the U.S., the world's largest energy market. During seven weeks last August and September, Valero shares fell 29 percent, wiping out $12 billion in market value.

``Refining is very much back in favor,'' said Douglas Ober, who helps oversee $2.3 billion at Baltimore-based Adams Express Co. ``Even with higher prices, we haven't seen any substantial cutback in demand. They're cranking out as much of this stuff as they can, and we're throwing it in our tanks as fast as we can.''

The margin earned from processing crude oil into fuels rose to $24.68 a barrel on April 11, the highest since right after the hurricanes in September 2005. The margin has since retreated to $22.12 a barrel, still about double the five-year average.

``It'll be a fairly tight gasoline market all through the summer,'' said Robert Hinckley, an analyst at Rochdale Securities in New York.
Posts: 74,854
Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.
  Reply With Quote
Old 08-07-2012, 06:04 PM   #3676
Donger Donger is offline
"Think BOOM!"
 
Donger's Avatar
 

Join Date: Nov 2003
Location: 33.675 N 106.475 W
Casino cash: $146
Quote:
Originally Posted by frazod View Post
What point? That you're an obtuse douche? In other shocking news, water is wet and women have secrets.
That the motivation for intentionally or unintentionally inaccurately reporting the rise in local gasoline prices might be to justify having a mouth-breathing and foaming rant.

I realize that you in particular don't require this, but others may.
__________________
I think the young people enjoy it when I "get down," verbally, don't you?
Posts: 74,854
Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.
  Reply With Quote
Old 08-07-2012, 06:07 PM   #3677
Mr. Flopnuts Mr. Flopnuts is offline
The People's Mod
 
Mr. Flopnuts's Avatar
 

Join Date: Mar 2005
Location: The Capital
Casino cash: $113764595
Christ.
Posts: 44,055
Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.Mr. Flopnuts is obviously part of the inner Circle.
  Reply With Quote
Old 08-07-2012, 06:08 PM   #3678
Frazod Frazod is offline
Banned
 
Frazod's Avatar
 

Join Date: Aug 2000
Location: my own personal pig hell
Casino cash: $1001187
Quote:
Originally Posted by Donger View Post
That the motivation for intentionally or unintentionally inaccurately reporting the rise in local gasoline prices might be to justify having a mouth-breathing and foaming rant.

I realize that you in particular don't require this, but others may.
Comparing you to Gochiefs was an insult to Gochiefs. Frankly, you're moving into Wickedson territory at this point.
Posts: 91,143
Frazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < Cassel
  Reply With Quote
Old 08-07-2012, 06:10 PM   #3679
Donger Donger is offline
"Think BOOM!"
 
Donger's Avatar
 

Join Date: Nov 2003
Location: 33.675 N 106.475 W
Casino cash: $146
Quote:
Originally Posted by frazod View Post
Comparing you to Gochiefs was an insult to Gochiefs. Frankly, you're moving into Wickedson territory at this point.
I don't know what that means, nor do I really care.
__________________
I think the young people enjoy it when I "get down," verbally, don't you?
Posts: 74,854
Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.
  Reply With Quote
Old 08-07-2012, 06:17 PM   #3680
Frazod Frazod is offline
Banned
 
Frazod's Avatar
 

Join Date: Aug 2000
Location: my own personal pig hell
Casino cash: $1001187
Actually, I paid more than $4.15 per gallon on Saturday. I just checked my AMEX statement. I got half a tank - when gas gets this high, I don't get a full tank, hoping that the price will drop soon. At a Gas Mart in Aurora I paid $33.61. Divided by 8, that comes out to $4.20.

Now, that was Aurora, the next town over, which typically has a bit higher prices. So I don't know where they were two weeks prior.

I assume Dongerson disputes the findings of the calculator program and/or the amount on my credit card statement.
Posts: 91,143
Frazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < Cassel
  Reply With Quote
Old 08-07-2012, 06:20 PM   #3681
Guru Guru is offline
Supporter
 
Guru's Avatar
 

Join Date: Sep 2002
Location: Middle of the USA
Casino cash: $55119806
Donger, I like your input on here a lot but you did this to me a few months back too when we had an increase at our gas station. Even though I knew what I paid prior and what I paid that day you said I was incorrect. That app is not 100% accurate and you know that.

I don't know how many times since I have checked that app and driven by the station and they didn't match at all.
Posts: 52,762
Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.Guru is obviously part of the inner Circle.
  Reply With Quote
Old 08-07-2012, 06:20 PM   #3682
notorious notorious is offline
I Lay Wood for a Living
 
notorious's Avatar
 

Join Date: May 2005
Location: Who knows?
Casino cash: $1279
Did somebody piss in your Cheerios this morning?
Posts: 30,148
notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.
  Reply With Quote
Old 08-07-2012, 06:20 PM   #3683
Donger Donger is offline
"Think BOOM!"
 
Donger's Avatar
 

Join Date: Nov 2003
Location: 33.675 N 106.475 W
Casino cash: $146
Quote:
Originally Posted by frazod View Post
Actually, I paid more than $4.15 per gallon on Saturday. I just checked my AMEX statement. I got half a tank - when gas gets this high, I don't get a full tank, hoping that the price will drop soon. At a Gas Mart in Aurora I paid $33.61. Divided by 8, that comes out to $4.20.

Now, that was Aurora, the next town over, which typically has a bit higher prices. So I don't know where they were two weeks prior.

I assume Dongerson disputes the findings of the calculator program and/or the amount on my credit card statement.
I don't doubt your ability to do basic mathematics.
__________________
I think the young people enjoy it when I "get down," verbally, don't you?
Posts: 74,854
Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.
  Reply With Quote
Old 08-07-2012, 06:21 PM   #3684
Donger Donger is offline
"Think BOOM!"
 
Donger's Avatar
 

Join Date: Nov 2003
Location: 33.675 N 106.475 W
Casino cash: $146
Quote:
Originally Posted by Guru View Post
Donger, I like your input on here a lot but you did this to me a few months back too when we had an increase at our gas station. Even though I knew what I paid prior and what I paid that day you said I was incorrect. That app is not 100% accurate and you know that.

I don't know how many times since I have checked that app and driven by the station and they didn't match at all.
No, I did? Really?
__________________
I think the young people enjoy it when I "get down," verbally, don't you?
Posts: 74,854
Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.Donger is obviously part of the inner Circle.
  Reply With Quote
Old 08-07-2012, 06:23 PM   #3685
Frazod Frazod is offline
Banned
 
Frazod's Avatar
 

Join Date: Aug 2000
Location: my own personal pig hell
Casino cash: $1001187
Quote:
Originally Posted by notorious View Post
Did somebody piss in your Cheerios this morning?
Had Dongerson pissed in my Cheerios, he would have charged me $4.00 a gallon.
Posts: 91,143
Frazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < Cassel
  Reply With Quote
Old 08-07-2012, 06:23 PM   #3686
kstater kstater is offline
Custom User Title
 
kstater's Avatar
 

Join Date: Jan 2007
Casino cash: $10477749
Quote:
Originally Posted by frazod View Post
Actually, I paid more than $4.15 per gallon on Saturday. I just checked my AMEX statement. I got half a tank - when gas gets this high, I don't get a full tank, hoping that the price will drop soon. At a Gas Mart in Aurora I paid $33.61. Divided by 8, that comes out to $4.20.
Sure you didn't get a couple dozen ding-dongs while there?
Posts: 32,665
kstater is too fat/Omaha.kstater is too fat/Omaha.kstater is too fat/Omaha.kstater is too fat/Omaha.kstater is too fat/Omaha.kstater is too fat/Omaha.kstater is too fat/Omaha.kstater is too fat/Omaha.kstater is too fat/Omaha.kstater is too fat/Omaha.kstater is too fat/Omaha.
  Reply With Quote
Old 08-07-2012, 06:25 PM   #3687
notorious notorious is offline
I Lay Wood for a Living
 
notorious's Avatar
 

Join Date: May 2005
Location: Who knows?
Casino cash: $1279
Quote:
Originally Posted by frazod View Post
Had Dongerson pissed in my Cheerios, he would have charged me $4.00 a gallon.
And piss would only be at $83 a barrel.
Posts: 30,148
notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.notorious is obviously part of the inner Circle.
  Reply With Quote
Old 08-07-2012, 06:26 PM   #3688
Frazod Frazod is offline
Banned
 
Frazod's Avatar
 

Join Date: Aug 2000
Location: my own personal pig hell
Casino cash: $1001187
Quote:
Originally Posted by kstater View Post
Sure you didn't get a couple dozen ding-dongs while there?
I think sucking on ding-dongs at the gas station is probably more your area of expertise, isn't it?
Posts: 91,143
Frazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < CasselFrazod < Cassel
  Reply With Quote
Old 08-07-2012, 06:33 PM   #3689
Backwards Masking Backwards Masking is offline
Bustle in your hedgerow?
 

Join Date: May 2011
Location: NOT Missouri
Casino cash: $19247
Quote:
Originally Posted by Donger View Post
That the motivation for intentionally or unintentionally inaccurately reporting the rise in local gasoline prices might be to justify having a mouth-breathing and foaming rant.
only $$$ drives prices and where there's $$$ there's ALWAYS inaccurate information. so ALL reports of rising local gasoline prices are inaccurate in some way.

which means (by Your definition above) every single thing you've said in this entire thread is a you, justifying (to yourself) your own giant mouthbreaking and foaming rant. (by your definition above)

it's about time you came around to realizing what all of Chiefsplanet figured out and have been trying to tell you this whole time
Posts: 2,418
Backwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking about
  Reply With Quote
Old 08-07-2012, 06:35 PM   #3690
Backwards Masking Backwards Masking is offline
Bustle in your hedgerow?
 

Join Date: May 2011
Location: NOT Missouri
Casino cash: $19247
Quote:
Originally Posted by notorious View Post
And piss would only be at $83 a barrel.
its a good thing Bush had the foresight to invade Iraq after 911 or it'd be up to $197 and terrorists would be hiding in our toolsheds/Donger
Posts: 2,418
Backwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking aboutBackwards Masking is the dumbass Milkman is always talking about
  Reply With Quote
Reply

Thread Tools
Display Modes

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 05:19 AM.


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