Turn Off Ads?
Results 1 to 8 of 8

Thread: Oil Prices Fall, Pump Prices Seen Dropping

  1. #1
    Maple SERP savafan's Avatar
    Join Date
    Jun 2000
    Location
    Cincinnati, Ohio
    Posts
    17,564

    Oil Prices Fall, Pump Prices Seen Dropping

    http://home.peoplepc.com/psp/newssto...09061758783707

    NEW YORK - Oil futures fell Tuesday as some Gulf Coast petroleum operations hobbled by Hurricane Katrina slowly recovered and analysts predicted that pump prices, now averaging more than $3 a gallon, would also begin to decline.

    But another financial pinch shaping up for U.S. consumers and businesses in the months ahead is the high price of natural gas, analysts said. And with oil prices still trading above $66 a barrel, European and Asian economic leaders warned Tuesday that their own growth was likely to slow.

    In New York, light sweet crude for October delivery was down $1.12 to $66.45 a barrel in morning trading on the New York Mercantile Exchange, which was closed Monday for Labor Day. Crude futures also fell on Friday, when industrialized nations announced plans to supply the market with 2 million barrels per day of crude oil and motor fuels, including gasoline and diesel.

    Gasoline futures declined by 3.77 cents to $2.1460 a gallon on Nymex, but that still leaves them up 16 percent from a month ago.

    "We'll go below $3 a gallon, but not by much" said oil analyst John Kilduff at Fimat USA in New York.

    While oil pipelines, import terminals and refineries have restarted operations, four damaged Gulf Coast refineries look likely to remain shut for weeks or even months, analysts said, taking with them more than 5 percent of U.S. capacity. The emergency supply of refined products coming from Europe will help, analysts said, but it will be more than a week before shipments begin arriving and inventories of gasoline and heating oil are likely to be tight for months.

    Another knotty problem, Kilduff said, is the potentially long-term loss of natural gas production in the Gulf of Mexico. The U.S. does not have an emergency stockpile of natural gas, as it does for crude oil, and the country's capacity for importing liquefied natural gas is limited.

    "Natural gas is the one commodity here that I have very little to say about in the way of good news," Kilduff said. On Tuesday, natural gas futures were down 7.1 cents at $11.62 per 1,000 cubic feet, but they are roughly double year-ago levels.

    Kilduff said his company's forecasting models show the potential for natural gas futures to climb to $15 per 1,000 cubic feet in a matter of weeks, depending on how bad the damage is to underwater pipelines in the Gulf of Mexico.

    Concerns about high energy prices are not limited to the U.S.

    The chief economist of the Organization for Economic Cooperation and Development said the financial pain high energy prices have inflicted on consumers and businesses is far from over.

    "There is a major shock, and there is no evidence it has reached its conclusion," Jean-Philippe Cotis said during a news conference in Paris.

    The European Commission said high energy prices threaten the continent's already faltering bid at far-reaching reforms to become a more dynamic economy in the years ahead.

    "The present very high oil prices are without doubt of concern to the European Union," EU Energy Commissioner Andris Piebals said in Brussels. He said the EU's executive European Commission was concerned about an impact not only on the well-being of "EU citizens but also regarding their effect on economic growth."

    In London, Brent crude futures climbed 46 cents to $65.31 per barrel on the International Petroleum Exchange.

    Meantime, Pacific Rim finance ministers are concerned about the impact of high oil prices and will emphasize the need to bolster both production and refining capacity when the 21-member Asia-Pacific Economic Cooperation forum meets this week, according a draft version of their joint statement.

    "We discussed the risks of sustained high energy prices to economic growth and ongoing development in the APEC economies," said the draft, obtained by The Associated Press.

    While half of the refineries shut down by Hurricane Katrina are restarting their operations, almost 70 percent of normal oil production and half of the natural gas output remains shut down, according to the U.S. Minerals Management Service, which says activity is slowly recovering.

    Eight major refineries that produce gasoline, diesel, jet fuel and heating oil were knocked out of commission and the output at two others was cut by last week's killer hurricane and the flooding that followed. That cut overall U.S. refining capacity by more than 10 percent and contributed to a surge in retail gasoline prices and spot shortages around the country.

    Major pipelines that carry fuel from the Gulf Coast to markets up and down the East Coast, which had been shut down for days due to power outages, are now back in action.

    ----

    Associated Press Writers George Jahn in Vienna, Austria, and Kelly Olsen in Seogwipo, South Korea, contributed to this report.
    My dad got to enjoy 3 Reds World Championships by the time he was my age. So far, I've only gotten to enjoy one. Step it up Redlegs!

  2. Turn Off Ads?
  3. #2
    Where's my chair? REDREAD's Avatar
    Join Date
    Apr 2000
    Posts
    20,981

    Re: Oil Prices Fall, Pump Prices Seen Dropping

    Well, they've dropped to $2.99 now .. yippee

    Now that the oil companies have seen us pay $3/gallon, I wonder if we'll ever see below $2/gallon ever again.

    Not really excited about seeing that natural gas is going to be even more expensive this winter.
    Thank you Walt and Bob for going for it in 2010-2014!

    Nov. 13, 2007: One of the greatest days in Reds history: John Allen gets the boot!

  4. #3
    Member cumberlandreds's Avatar
    Join Date
    May 2003
    Location
    Sterling VA
    Posts
    9,194

    Re: Oil Prices Fall, Pump Prices Seen Dropping

    It dropped here in STerling Va yesterday from $3.35 to $2.99. I doubt we will see it ever below $2.50 again.
    Reds Fan Since 1971

  5. #4
    CELEBRATION TIME RBA's Avatar
    Join Date
    Apr 2000
    Location
    San Marcos, CA
    Posts
    13,984

    Re: Oil Prices Fall, Pump Prices Seen Dropping

    I think we will see $2.00 gas sometime around November 2006. But seriously, I think we'll see 2.00 gas within the next 6 months. I'm not saying they won't go back up.

  6. #5
    Maple SERP savafan's Avatar
    Join Date
    Jun 2000
    Location
    Cincinnati, Ohio
    Posts
    17,564

    Re: Oil Prices Fall, Pump Prices Seen Dropping

    I spotted a station in Dayton today on Needmore Road for $2.79/gallon!
    My dad got to enjoy 3 Reds World Championships by the time he was my age. So far, I've only gotten to enjoy one. Step it up Redlegs!

  7. #6
    This one's for you Edd Heath's Avatar
    Join Date
    May 2005
    Location
    Dayton Area
    Posts
    8,471

    Re: Oil Prices Fall, Pump Prices Seen Dropping

    Quote Originally Posted by savafan
    I spotted a station in Dayton today on Needmore Road for $2.79/gallon!
    Sava - isn't Needmore Road a little out of your territory???

    BTW - still 2.99 in my neck of Dayton.
    Some people play baseball. Baseball plays Jay Bruce.

  8. #7
    Maple SERP savafan's Avatar
    Join Date
    Jun 2000
    Location
    Cincinnati, Ohio
    Posts
    17,564

    Re: Oil Prices Fall, Pump Prices Seen Dropping

    Quote Originally Posted by Heath
    Sava - isn't Needmore Road a little out of your territory???

    BTW - still 2.99 in my neck of Dayton.
    Yeah, I was working.
    My dad got to enjoy 3 Reds World Championships by the time he was my age. So far, I've only gotten to enjoy one. Step it up Redlegs!

  9. #8
    Member
    Join Date
    Apr 2000
    Location
    Westerville, OH
    Posts
    10,803

    Re: Oil Prices Fall, Pump Prices Seen Dropping

    $2.96 in Westerville.


Turn Off Ads?

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  

Board Moderators may, at their discretion and judgment, delete and/or edit any messages that violate any of the following guidelines: 1. Explicit references to alleged illegal or unlawful acts. 2. Graphic sexual descriptions. 3. Racial or ethnic slurs. 4. Use of edgy language (including masked profanity). 5. Direct personal attacks, flames, fights, trolling, baiting, name-calling, general nuisance, excessive player criticism or anything along those lines. 6. Posting spam. 7. Each person may have only one user account. It is fine to be critical here - that's what this board is for. But let's not beat a subject or a player to death, please.

Thank you, and most importantly, enjoy yourselves!


RedsZone.com is a privately owned website and is not affiliated with the Cincinnati Reds or Major League Baseball


Contact us: Boss | GIK | BCubb2003 | dabvu2498 | Gallen5862 | LexRedsFan | Plus Plus | RedlegJake | redsfan1995 | The Operator | Tommyjohn25