Gas prices

[MeDeMax]

Anyone know why gas prices have been steadily dropping for the past 2 weeks ?

- Last I checked India & China are still thirsty for more gas than is available

- Tensions are still high with Iran

- Venuzuela & President Chavez dont much care for *

- BP shut down a major pipeline for repairs

- Gulf coast's refineries are still recovering

Yet the gas prices mysteriously dropped from around $ 3.33 to around $ 2.22

This election season pandering is such an insult to families that have been
struggling with energy prices for the last two years...It is DISGRACEFUL.

Does anyone actually believe these prices will stay down after the election ?

[NEOBuckeye]

1. Of course not

The moment the GOP loses control of both houses of Congress, the oil companies will jack the prices WAY up, and the Republicans/NeoCons will blame the Dems for causing it somehow, as they usually do. :eyes:

[Schmajo]

2. They'll go back up after the election

no matter who wins

[MGD]

3. I think it has to do with the recent reports of a huge new oil field

in the gulf of Mexico. The hint that the supply might be drastically increasing is affecting the supply/demand relationship at the NYSE. I have no evidence to support this though, It's just a guess.

edit typos

[seriousstan]

4. Oil prices are controlled by speculation in the market.

The same way lumber and grain is.

[MeDeMax]

5. easy mistake to make

gas prices are down, not oil prices.

Oil was $75 when gas was $3.33, oil is still around $70 but gas is down to $2.22

Yes oil market is speculative, but why are gas prices tumbling ?

[TheFarseer]

6. Did they release some of the petroleum reserve?

Or some other government gas stocks? Someone said that at work but I haven't seen that anywhere else.

[MeDeMax]

7. there was speculation that Clinton that too...

during Monica gate, flood the market with gas and/or oil reserves, that is.

I dont care if Bill or * did manipulate the energy markets, as long as the
energy prices stay down.

A few years ago people in our community could lock in the rate for home
heating gas at around 50 cents per CCF, today you are hard pressed to find
anyone offering it for less than a dollar.

Unlike oil, India & China are not siphoning natural gas out of our market,
the population of the United States hasn't doubled in the last few years,
the sources of natural gas haven't disappeared.

So how does a commodity double in price when supply & demand have remained
relatively the same ?

[Kolesar]

8. A growing state like Florida gets 40% of its electricity from natural gas

As does Colorado (from an article I saw last winter). Electricity generation has driven demand for natural gas way up.

[MeDeMax]

9. I didn't know that ...

I guess that explains, atleast a part of, the price escalation.