Oil Prices Hit New Record $62.69 a Barrel on Supply/Geopolitical Worries

[TacticalPeek]

Crude Oil Prices Hit New Record of $62.69 a Barrel on Supply, Geopolitical Worries

By Gillian Wong Associated Press Writer
Published: Aug 7, 2005

SINGAPORE (AP) - Crude futures rose to a new high of $62.69 in Asian trading Monday as the U.S. government announced the closure of its embassy and consulates in Saudi Arabia due to security threats and on continued concerns that earlier shutdowns of U.S. oil refineries would reduce supply.

Midmorning in Singapore, light, sweet crude for September delivery on the New York Mercantile Exchange rose as high as $62.69 in Asian electronic trading before slipping back to $62.51. On Friday, crude settled at U$62.31 a barrel, a record close for crude since Nymex trading began in 1983.

That's 42 percent higher than a year ago, though crude prices would have to surpass $90 to reach the inflation-adjusted high set in 1980.

Gasoline edged up slightly to $1.8415 a gallon while heating oil rose marginally to $1.7390 a gallon.

more
http://ap.tbo.com/ap/breaking/MGBMJIB64CE.html

[Erika]

1. We paid $2.37.9 for gas

It's killing the low and middle income. I have many co-workers who sought to buy out of the area for affordable homes. With their commute, they are being hit hard.

[bluestateguy]

2. $2.19 MINIMUM in Austin

And nationally, that is considered cheap.

When I moved here in 1998, gas could be found at some places for 75 cents a gallon.

Oh, for those Clinton era gas prices.

[Heddi]

3. $2.55 for LOW-GRADE in Washington

at least where I'm at in Washington (dessert of eastern washington, about 2.5 hours east of Seattle).

Hubby has use of his work truck this weekend--old 1980's Suburban.

had to fill up the tank today--$75.00 to fill up the fucking tank.

SEVENTY
FIVE
DOLLARS

to fill the tank

Makes me very happy that our own car is a little Mazda and "only" costs $20 or so to fill up with these gas prices.

Sigh...I remember 2 years ago when we couldn't even put $15 in the car without spilling over.

sigh.

[TX-RAT]

16. I remember cheap gas also

Came with a drawback, huge numbers of oilfield related industry's shut down. Oil company's laying off people right and left, some schools in Tx had to bus to other towns, due to lack of funds. Local economy's went in the dumps, effecting most towns in Tx and 10 other states. The unemployment went through the roof, in the oil producing states. States, city's and county's had to freeze salary's, cut back,and layoff.

Yep i remember those days.

Hope we don't see them again.

[VADem11]

4. I paid $2.95

and the prices are still rising. Remember when we thought we would never hit 2 dollars a gallon?

[Rainscents]

28. Hi VADem11!!! Welcome to DU!!!

:toast: :hi:

[Maven]

5. Ahem.

http://www.democraticunderground.com/discuss/duboard.php?az=show_topics&forum=266

[Warren Stupidity]

6. About the disinfo: "prices would have to surpass $90 "

That oft-quoted $90 price was a momentary blip caused by a bit of trading panic associated with current events at the time. The current price increase has been long term, gradual, and is based on the good old laws of supply and demand, not on hysteria.

Keep the lies coming MSM, f*ing reality is going to smack us in the face no matter how unprepared we are.

[rman]

8. True, but still

For the public to be convinced there really is a problem, that record will have to be broken. I have no doubt that it will, somewhere during the next year.
People will wake up when prices then continue to rise to $100 a barrel, and beyond. Of course by then it'll be way to late to prevent serious problems.

[jus_the_facts]

13. From 1900 to 2000 gas prices stayed below $1.00...in less than 5yrs....

...the price is over 2.00...the FACTS speak for themselves eh? :nopity:

[mbperrin]

17. Actually, the $90 is just an outright lie. Here's inflation-adjusted

from DOE:(The real high is $66 in 1981 - $63 is pretty close, eh?)

Domestic Crude Oil Prices
1949-Present
U.S. Average
(in $/bbl.)
Year Average Nominal Inflation Adjusted 2004
1949 2.54 20.21
1950 2.51 19.73
1951 2.53 18.43
1952 2.53 18.08
1953 2.68 19.01
1954 2.78 19.57
1955 2.77 19.58
1956 2.79 19.43
1957 3.09 20.83
1958 3.01 19.73
1959 2.90 18.87
1960 2.88 18.43
1961 2.89 18.31
1962 2.90 18.19
1963 2.89 17.89
1964 2.88 17.60
1965 2.86 17.20
1966 2.88 16.84
1967 2.92 16.56
1968 2.94 16.00
1969 3.09 15.95
1970 3.18 15.52
1971 3.39 15.85
1972 3.39 15.36
1973 3.89 16.59
1974 6.87 26.39
1975 7.67 27.00
1976 8.19 27.26
1977 8.57 26.78
1978 9.00 26.14
1979 12.64 32.98
1980 21.59 49.63
1981 31.77 66.20
1982 28.52 55.98
1983 26.19 49.80
1984 25.88 47.18
1985 24.09 42.40
1986 12.51 21.62
1987 15.40 25.68
1988 12.58 20.14
1989 15.86 24.22
1990 20.03 29.03
1991 16.54 23.00
1992 15.99 21.59
1993 14.25 18.68
1994 13.19 16.86
1995 14.62 18.17
1996 18.46 22.40
1997 17.23 20.39
1998 10.87 12.66
1999 15.56 17.78
2000 26.72 29.54
2001 21.84 23.39
2002 22.51 23.78
2003 27.54 28.42
2004 37.66 37.66
2005 43.26 43.26
Source US DOE/ www.economagic.com and
www.ioga.com

[Warren Stupidity]

25. I aint arguing with those numbers

It drives me nuts when every report on the MSM - NPR included - predicates the news that oil passed 63 and almost went to 64 with the nonsense that this is nothing compared to 81 or 90 or whatever bullshit number the rw talking points are spewing. The f*ing lockstep lying is getting to be baghdad bob comic.

I'd love to know what their actual 'plan' is. It seems, on the surface, that the plan is to occupy the ME and shoot everyone else who tries to get at the oil. Great plan.

[Roland99]

7. Record highs in Louisville ($2.39 - $2.46) for 87 octane.

[Donailin]

9. Is someone logging this biweekly excuses

I'm so damned sick of the bullshit.

[emad]

10. Saudi fears send oil prices soaring

Mark Tran
Monday August 8, 2005

Oil prices rose to a new high today as security concerns in Saudi Arabia and problems at US refineries unsettled markets.

US light sweet crude was up 56 cents to $62.87 (£35) a barrel, having gone as high as $62.90 - past Wednesday's peak figure - while London Brent crude rose 60 cents to $61.67 a barrel.

The latest jump in oil prices came after the US decided to close its embassy and consulates in Saudi Arabia, the world's most important oil producer, because of security threats.

Britain and Australia also issued warnings about the possibility of attacks, and Australian citizens were told to avoid travel to the kingdom because of fears over possible attacks on housing compounds. "We have received credible reports that terrorists are planning attacks in Saudi Arabia in the near future," the Australian department of foreign affairs said on its website.
Britain's Foreign and Commonwealth Office also said there were "credible reports" that militants were planning attacks in the near future. It said British citizens in Saudi should maintain "the highest level" of vigilance.
http://www.guardian.co.uk/saudi/story/0,11599,1544910,00.html

[acmavm]

11. And as the Middle East unravels even faster, American oil companies

can 'bank' on the fact that they'll be making even more profits off everybody else's tragedy.

[ixion]

12. saw a headline over the weekend: Saudi Relations couldn't be better

I guess that wasn't the case? :shrug: :eyes: :sarcasm:

[Mari333]

14. Quit my job, because of gas prices

working closer to home, for less pay, but it evens out. When my boss, who begged me to stay on at my last job because they cannot find people like me (overqualified, literate, hard working), asked me why I was leaving, I basically informed him I cannot afford the gas to drive 35 miles to work anymore. Then I mentioned that his boss, a really wealthy individual,had donated to the Bush campaign in 2000, according to public integrity website..ergo, they lost one hell of a good worker, me, because they helped out their little boy king. Let them find another worker who works as hard as I do..they wont.

[rman]

15. there you go

it has already started.


Btw, good to see you still hang around these parts.

[bpilgrim]

18. bloomberg: Oil Rises to a Record, Exceeds $63, on Saudi Supply Concern

Oil for September delivery surged $1.09, or 1.8 percent, to $63.40 a barrel at 10:16 a.m. on the New York Mercantile Exchange. The futures earlier touched $63.60 a barrel, the highest intraday price since the contract debuted in 1983, and surpassing the previous record of $62.50 on Aug. 3.

http://quote.bloomberg.com/apps/news?pid=10000006&sid=a.UKtZXyayXU&refer=home

peace

[bpilgrim]

24. bloomberg: Oil Rises to a Record $64 a Barrel on Saudi Supply Concern

" Oil for September delivery surged $1.63, or 2.6 percent, to close at a record $63.94 a barrel on the New York Mercantile Exchange. Today's intraday high of $64 was the highest since the contract debuted in 1983. Prices are up 45 percent from a year ago."

http://quote.bloomberg.com/apps/news?pid=10000006&sid=aFfho2fKdUpE&refer=home

peace

[dejaboutique]

19. Oil hits record $63.99 on security threat

uh oh

http://cnn.netscape.cnn.com/ns/news/story.jsp?id=2005080812450002000745&dt=20050808124500&w=RTR&coview=

[Roland99]

20. FUD. Oil companies' profit forecasts must have been slipping

And the billions in tax breaks in the new "energy" bill aren't enough to help either.

[puerco-bellies]

21. January's crude contract is trading at $66.+

Winter is going to be very cold to those that can't by their heating oil now.

[girl gone mad]

22. Crude at new record near $64

Futures and retail gasoline prices at all-time highs

SAN FRANCISCO (MarketWatch) - The benchmark contract for crude-oil futures neared $64 a barrel Monday for the first time ever as the closure of a U.S. embassy in Saudi Arabia sparked concerns that more trouble may be brewing in the oil-rich Middle East.

The closing of the U.S. embassy in Saudi Arabia fueled a climb in crude "because of threats reminds the market that maybe a pipeline is on the list of thing to attack in the future," said James Williams, an economist at WTRG Economics.

Crude for September delivery traded as high as $63.99 a barrel on the New York Mercantile Exchange. It was last at $63.80, up $1.49, or 2.4%.

On Sunday, the U.S. embassy in Riyadh said it was closing until Wednesday amid an unspecified security threat. See full story.

The gains in oil are "tied to a 'heightened state of alert' as opposed to an actual supply shortage," said Tim Evans, a senior analyst at IFR Markets.

"This gives the markets an opportunity to blast to new highs in the near term, although the ongoing flow of ample production means that a major downside risk for this market remains," he said in a note to clients.

At the same time, "Iran's resumption of nuclear fuel conversion" added to the strength in oil, said John Kilduff, an analyst at Fimat USA.

http://www.marketwatch.com/news/story.asp?siteid=bigcharts&dist=bigcharts&guid=%7B85CE5828-F4DA-42D4-A8F6-89FEC27CAFFD%7D

[MISSDem]

23. Demand is on the rise along with the higher prices.

So why is anyone complaining? Until we stop buying it will keep going up.

[Warren Stupidity]

27. 'We' can't stop buying oil.

Every day there are more 'wes' out there, each one of which needs a certain amount of crude oil just to avoid croaking. Our local 'we' as in the people of the US could certainly do a lot more to reduce our wasteful use of oil - but the last time we did that we had a government that was actually trying to work at solving problems. Nowadays we seem to have a bunch of wreckers and nihilists in charge who are, perhaps for religious reasons, hell-bent (pun intended) on seeing just how bad they can make things.

"Bring it on" screeched the insane chimpinator.

[Rainscents]

26. I just paid 2.49 here in Washington state yesterday!

When is this shit is going to STOP!!! :mad:

[sintax]

29. That's Old News- Oil Now at $64/Barrel, Soon to Be....

Oil hits $64 a barrel and sends petrol prices soaring

US shuts all its missions in Saudi Arabia

Ashley Seager
Tuesday August 9, 2005
The Guardian

Oil prices set new records on both sides of the Atlantic yesterday after the United States shut its embassy in Saudi Arabia in response to fears of an attack.

The kingdom is crucial to oil supplies since it is the world's largest exporter, pumping 10m barrels a day of crude, or one in every seven barrels consumed globally.

The effect of high prices also pushed petrol to a record high. Last week the AA said the price of a litre of unleaded was more than the £1 mark in some areas and warned there was little chance of prices coming down. The average is now near 90p.

US light crude futures jumped a dollar and a half on the New York Mercantile Exchange to a new all-time high of $64 a barrel. It settled back only slightly down at $63.94. In London, Brent crude hit $62.76 for the first time and settled at $62.70. Oil prices have more than doubled since last spring, driven in part by demand from the US and China and in part by worries that global supply could not keep up.

http://www.guardian.co.uk/business/story/0,3604,1545255,00.html