News Donger on Suicide Watch: Oil Nears $100 a Barrel - Page 2

Frazod · 09-02-2008, 09:54 AM

http://apnews.myway.com/article/20080902/D92UIA0G0.html

SINGAPORE (AP) - Oil prices fell below $106 a barrel Tuesday in Asia - $10 below its close Friday before the Labor Day weekend - as investors shifted their focus to slowing global demand after worries about Hurricane Gustav subsided.

Light, sweet crude for October delivery was trading at $106.03 a barrel in electronic trading on the New York Mercantile Exchange midafternoon in Singapore, and at one point dropped as low as $105.46.

On Monday, when U.S. trading was closed for Labor Day, the contract had plunged $4.34 to $111.12 a barrel in late electronic trading. On Friday, the contract settled at $115.46 a barrel.

Traders were relieved that Gustav weakened as it approached the offshore oil rigs and Louisiana refineries, and appeared to have caused less damage than expected in New Orleans and surrounding areas.

But they quickly turned their attention to slowing global economic growth, speculating that will dampen demand for crude oil, even in developing countries such as China and India.

"The market continues to be weighed down by worries of a global economic downturn and slowing oil demand in developing markets," said Victor Shum, an energy analyst with consultancy Purvin & Gertz in Singapore. "Action by OPEC and supply side concerns should put a backstop to any sharp price drop."

The Organization of Petroleum Exporting Countries is scheduled to meet Sept. 9 and has indicated it may take action to defend the $100 a barrel level.

There was some disruption to oil supplies as oil companies shut down production and evacuated facilities ahead of the storm. Altogether, about 2.4 million barrels of refining capacity had been halted, roughly 15 percent of the U.S. total, according to figures from Platts, the energy information arm of McGraw-Hill Cos. (MHP) The Gulf Coast is home to nearly half of the nation's refining capacity.

It could be a day or more before oil and natural gas companies can assess the damage to their drilling and refining installations. Louisiana Gov. Bobby Jindal said as much as 20 percent of oil and gas production that was stopped because of Gustav could be restored by this weekend, stressing that it was a rough estimate.

Traders are also keeping an eye on other storms brewing in the region.

Hurricane Hanna was predicted to come ashore in Georgia and South Carolina late in the week, and Tropical Storm Ike formed late Monday in the Atlantic Ocean and may become a hurricane in the next 36 hours as it approached the Bahamas.

"September is the peak of the Atlantic hurricane season. After Gustav, there are two more now on the radar screen. The storms are likely to provide some upside risks to the oil futures market," Shum said.

In other Nymex trading, heating oil futures fell 15.44 cents to $3.0375 a gallon, while gasoline prices lost 16.92 cents to $2.685 a gallon. Natural gas for October delivery fell 47.3 cents to $7.472 per 1,000 cubic feet. In London, October Brent crude was down $2.01 to $107.40 a barrel on the ICE Futures exchange.

**Donger** · 09-02-2008, 10:23 AM

Quote:

Originally Posted by apics1

$1.50

Why $1.50?

Goapics1 · 09-02-2008, 10:26 AM

Quote:

Originally Posted by Donger

Why $1.50?

Um, it is easier on my budget.

**Donger** · 09-02-2008, 10:27 AM

Quote:

Originally Posted by apics1

Um, it is easier on my budget.

Frazod · 09-02-2008, 10:34 AM

Quote:

Originally Posted by Donger

Well, yeah. Where do you think it should be?

I always thought anything over a $1.00 a gallon was too much - especially for something a bunch of friggin cavemen pump out of the ground.

**chasedude** · 09-02-2008, 10:35 AM

That was one HUGE bubble

Demonpenz · 09-02-2008, 10:38 AM

Is it any surprise Kiper is on vacation this week?

blueballs · 09-02-2008, 10:44 AM

The musthaves have the puddle jumpers
The havenots have the tanks on wheels
film at 11

**Donger** · 09-02-2008, 10:48 AM

Quote:

Originally Posted by frazod

I always thought anything over a $1.00 a gallon was too much - especially for something a bunch of friggin cavemen pump out of the ground.

That's just silly.

1) Pumped out of the ground, usually is rather inhospitable and remote locations.

2) Shipped around the world by sea and land.

3) Refined into usable product.

4) Transported again.

Of course, the crude has to be found to begin with.

**DeezNutz** · 09-02-2008, 10:49 AM

Quote:

Originally Posted by GoBo

Gas should be below $3/gal by election time then...

Clearly just a coincidence, just like it was in '06.

Supply/demand, speculators, etc...

Deberg_1990 · 09-02-2008, 10:51 AM

We will never see gas below $2 a gallon ever again. Maybe not even $2.50

teedubya · 09-02-2008, 10:56 AM

Im still conditioned to believe that $1.499 is too much to pay for gas.

Demonpenz · 09-02-2008, 10:57 AM

1) Pumped out of the ground, usually is rather inhospitable and remote locations.

2) Shipped around the world by sea and land.

3) Refined into usable product.

4) Transported again.

5) THEN the cavemen pump it from the ground

Of course, the crude has to be found to begin with.[/QUOTE]

**Donger** · 09-02-2008, 11:29 AM

Quote:

Originally Posted by Ari Chi3fs

Im still conditioned to believe that $1.499 is too much to pay for gas.

Sounds like a personal problem!

Reerun_KC · 09-02-2008, 11:34 AM

Quote:

Originally Posted by Skip Towne

I spent $180 on gasoline last week.

I thought Rascal Scooters ran off electricity?

Reerun_KC · 09-02-2008, 11:36 AM

$2.50 would be nice on the budget....

09-02-2008, 09:54 AM
Frazod Did you hear what I said? Join Date: Aug 2000 Casino cash: $-826615	Donger on Suicide Watch: Oil Nears $100 a Barrel http://apnews.myway.com/article/20080902/D92UIA0G0.html SINGAPORE (AP) - Oil prices fell below $106 a barrel Tuesday in Asia - $10 below its close Friday before the Labor Day weekend - as investors shifted their focus to slowing global demand after worries about Hurricane Gustav subsided. Light, sweet crude for October delivery was trading at $106.03 a barrel in electronic trading on the New York Mercantile Exchange midafternoon in Singapore, and at one point dropped as low as $105.46. On Monday, when U.S. trading was closed for Labor Day, the contract had plunged $4.34 to $111.12 a barrel in late electronic trading. On Friday, the contract settled at $115.46 a barrel. Traders were relieved that Gustav weakened as it approached the offshore oil rigs and Louisiana refineries, and appeared to have caused less damage than expected in New Orleans and surrounding areas. But they quickly turned their attention to slowing global economic growth, speculating that will dampen demand for crude oil, even in developing countries such as China and India. "The market continues to be weighed down by worries of a global economic downturn and slowing oil demand in developing markets," said Victor Shum, an energy analyst with consultancy Purvin & Gertz in Singapore. "Action by OPEC and supply side concerns should put a backstop to any sharp price drop." The Organization of Petroleum Exporting Countries is scheduled to meet Sept. 9 and has indicated it may take action to defend the $100 a barrel level. There was some disruption to oil supplies as oil companies shut down production and evacuated facilities ahead of the storm. Altogether, about 2.4 million barrels of refining capacity had been halted, roughly 15 percent of the U.S. total, according to figures from Platts, the energy information arm of McGraw-Hill Cos. (MHP) The Gulf Coast is home to nearly half of the nation's refining capacity. It could be a day or more before oil and natural gas companies can assess the damage to their drilling and refining installations. Louisiana Gov. Bobby Jindal said as much as 20 percent of oil and gas production that was stopped because of Gustav could be restored by this weekend, stressing that it was a rough estimate. Traders are also keeping an eye on other storms brewing in the region. Hurricane Hanna was predicted to come ashore in Georgia and South Carolina late in the week, and Tropical Storm Ike formed late Monday in the Atlantic Ocean and may become a hurricane in the next 36 hours as it approached the Bahamas. "September is the peak of the Atlantic hurricane season. After Gustav, there are two more now on the radar screen. The storms are likely to provide some upside risks to the oil futures market," Shum said. In other Nymex trading, heating oil futures fell 15.44 cents to $3.0375 a gallon, while gasoline prices lost 16.92 cents to $2.685 a gallon. Natural gas for October delivery fell 47.3 cents to $7.472 per 1,000 cubic feet. In London, October Brent crude was down $2.01 to $107.40 a barrel on the ICE Futures exchange.
Posts: 121,791

09-02-2008, 10:35 AM	#20
chasedude Supporter Join Date: Sep 2005 Location: St. Joe Casino cash: $9994900	That was one HUGE bubble
Posts: 36,287

09-02-2008, 10:38 AM	#21
Demonpenz Woman should only make babies Join Date: Nov 2003 Location: Apartment "G UNIT!" Casino cash: $-423864	Is it any surprise Kiper is on vacation this week? __________________
Posts: 54,959

09-02-2008, 10:44 AM	#22
blueballs Banned Join Date: Feb 2006 Casino cash: $10004900	The musthaves have the puddle jumpers The havenots have the tanks on wheels film at 11
Posts: 14,233

09-02-2008, 10:51 AM	#25
Deberg_1990 In Search of a Life Join Date: Jan 2004 Location: San Antonio Tx. Casino cash: $64454	We will never see gas below $2 a gallon ever again. Maybe not even $2.50 __________________ Originally Posted by Cassel's Reckoning: Matt once made a very nice play in Seattle where he spun away from a pass rusher and hit Bowe off his back foot for a first down. One of the best plays Matt has ever made.
Posts: 68,713

09-02-2008, 10:56 AM	#26
teedubya Most Valuable Poster Join Date: Oct 2003 Casino cash: $8993042	Im still conditioned to believe that $1.499 is too much to pay for gas.
Posts: 36,832

09-02-2008, 10:57 AM	#27
Demonpenz Woman should only make babies Join Date: Nov 2003 Location: Apartment "G UNIT!" Casino cash: $-423864	1) Pumped out of the ground, usually is rather inhospitable and remote locations. 2) Shipped around the world by sea and land. 3) Refined into usable product. 4) Transported again. 5) THEN the cavemen pump it from the ground Of course, the crude has to be found to begin with.[/QUOTE] __________________
Posts: 54,959

09-02-2008, 11:36 AM	#30
Reerun_KC Banned Join Date: Aug 2005 Casino cash: $7231160	$2.50 would be nice on the budget....
Posts: 1,529