Misc This Means WAR

[NCSNOW]

Im in the housing market, during the covid boom builders made record margins on product. They had a reason and ran with it. Zero moral guidance to protect the average homebuyer. Which is fine, not really their burden I suppose.
I have to believe this is exactly what the oil companies are doing right now. All this negativity is their dream. Every media outlet, message board, coffee shop talk is about the state of gas/oil/diesel, they are actively egging this on because my god I can’t imagine the margins that are being accrued right now.

Bingo!

The AI / Big Tech is doing the same thing.

 

[GaWx]

Crude oil down to $93.00 per Barrell this morning

93.13-2.95(-3.07%)

It’s still near $93. Of course, many gas stations take their sweet old time in brining prices down after crude futures fall although there are some that don’t waste time and aim to be the lowest.

 

[Shaggy]

It’s still near $93. Of course, many gas stations take their sweet old time in brining prices down after crude futures fall although there are some that don’t waste time and aim to be the lowest.

Here's what ii don't understand. The prices go up immediately when oil futures rise but the gas is already in the ground. The gas you bought yesterday was not refined from oil that was above $100 yet they charged you as if it was.

 

[Arcc]

Well that didn't take long.

 

[howboutthemdawgs]

Well that didn't take long.

Interesting, the doom and gloom X accounts all said this would take many many months.

 

[ChrisAMB]

It’s still near $93. Of course, many gas stations take their sweet old time in brining prices down after crude futures fall although there are some that don’t waste time and aim to be the lowest.

In this period we're in the price of oil has less bearing on retail gas/diesel prices than at any point since deregulation decades ago. The paper price is just a future price. Spot prices are still around $130 for actual physical oil deliveries to the refinery. Increasingly due to releases of reserves and other financial meddling it's divorced quite a bit from the price of real oil you get delivered. Crack spread also factors in to this. It's primarily a gauge of refining utilization but also gives a window into the real price of oil.




Side note if you really want to destroy the market, let the politicians go ahead with restricting exports of diesel. We import a ton of oil more suitable to refine into diesel than our stuff extracted here. Those places often get refined product returned to them at a slightly lower price than they'd otherwise pay. Some folks refer to this as "trade." Shut off exports and the price wont decrease, it'll increase because the refineries will pump out more gasoline and less diesel.

 

[YetAnotherRDUGuy]

The price was below $60 in January only 9 months ago, and now we're debating if below/above 90 is good or bad.

 

[Rain Cold]

The price was below $60 in January only 9 months ago, and now we're debating if below/above 90 is good or bad.

Always perspective.

I remember when going over $2 was bad. And now we'd give anything for that.

 

[YetAnotherRDUGuy]

Always perspective.

I remember when going over $2 was bad. And now we'd give anything for that.

Sigh. Man I remember that too. Doesn't seem that long ago, but it kinda was in some ways.

 

[Snowfan]

 

[Snowfan]