There is another mode of travel. It does not require petroleum fuels nor roads of any kind.
It will arrive like a herald. Keep watching the skies.
Oil prices are not swayed by the small oil futures traders. But they are and were swayed by the major Wall St players that in invest in oil futures. And they made/make a hugh amount of money doing so. And so, by the way, do the major oil companies.
The CFTC (Commodity Future Trading Commission) cannot regulate (monitor) this type of trading, since it was stripped of its powers to do so through lobbying by the oil companies in 2000. In May of 2008, Congress introduced a bill called the Consumer-First Energy Act that would have restored the CFTC oversite powers.
This bill died in the Senate this year.
Come on, people, this country is not run by the goverment. It is run by the major corporations across all industry sectors.
Many people have known this for quite some time( past 70 years )
It is just more apparent now because greed got the better of them and technology became more sophisticated.
The price increases we see in oil because of speculation could happen with any commodity.
We need price controls on the major commodities that keep this country moving and allow its citizens to survive
Why is our own gov`t allowing this GREED to destroy the U.S.?? Are they not supposed to protect and defend the U.S. against all enemies, foreign or domestic?? What do we have in Washington,, supporters of the American citizens or enemies themselves?? High oil prices are an enemy of the U.S.,, and is controlled by nothing but GREED,, and is destroying the citizens of the U.S.A. and its economic system, and our own gov`t is allowing it. I am urging ALL CONGRESSPEOPLE, ALL SENATORS AND POTUS AND VP,, AND ALL ELECTED OFFICIALS OF EVERY PERSUASION to speak and act on this enemy of the U.S.A. before it is TOO late. CAP AND LOCK ALL OIL AND GAS PRICES BEFORE IT TOTALLY DESTROYS THE U.S.A.
We have no oil demand, and no shortage of oil to date. We just let Wall Street run the speculation and run the oil price up over 30% within two months. US government is needed to stop this wild wild west speculation just like the housing bubble that Wall Street created this global meltdown last year.
There is no law changes required, just have SEC to issue a 50% on oil trading margin instead of 5% or not allowing oil speculation within certain type of investment.
We have already seen last year that oil prices can come down from $147 to about $30 within two months when the speculation cool down due to investor cash flow problem.
People, this has NOTHING to do with speculators, OPEC, or Oil companies! Go look up “Peak Oil” and actually study it. What’s killing us is our use of Hummers, SUV’s, and massive consumption.
The rising cost of oil caused every recession since the Arab oil embargo in 1973. Even speculators should realize that. Speculators are after the fast buck, buy at 8am, sell at 3pm with only 10% payment necessary. Make them pay at least 90% so they are really gambling. If they are playing with real money, the size of the bet will decrease.
People are stupid…
Oil is going higher, because the dollar is weaker!
http://www.youtube.com/watch?v=BGrgB1mifG8&feature=channel_page
Couple that with the markets following the same decline as in 1929…
http://www.youtube.com/watch?v=UKY9mW3pXvQ
The long planned demise of GM and Chrysler and the looting of the treasury…
http://www.globalresearch.ca/index.php?context=va&aid=13911
Things start coming together.
Gas will hit 9 dollars a gallon, when you combine new taxes, and gas hitting the 100 / 150 dollar a barrel, with some added hyperinflation.
A falling exchange rate pushes up the prices of imports and can produce inflation even while unemployment remains high. The U.S., still the keeper of the world’s most popular currency, is not Argentina. But its addiction to borrowing from abroad makes it more like an emerging market than ever. A collapse in the dollar could push up oil prices (which rise when the dollar falls) and other import prices. Even if that didn’t spark inflation, it could prompt an untimely increase in interest rates. insane levels of money-supply growth (i.e. more new debt) in the U.S. and most of the rest of the world ensures that there will be a dramatic surge in prices of all assets in relatively scarce supply; With this context, the recent spike in U.S. interest rates, despite all-out efforts to manipulate these rates lower by the U.S. government (quantitative easing, lowering Key funds rate,etc) is a clear sign of inflation & depending on your understanding of inflation very hyperinflationary.
yes the american people showed them once and we can do it again, if oil goes much higher this country is done greed is going to kill it
We have cut back. But they are proving to us no matter how much we cut back they are still going to over charge us on oil. Oil is the one thing that will kill all the worlds economies, because it is used in every aspect of life. From farming to people having to drive to work,making plastic,making tires. Oil is the one thing that will destory everything. So let them keep going. They didin,t learn their lesson last year. When gas went to 1.75 a gallon that is the real breaking point, not 3 or 4 dollars. The more gas cost the more people are going to be put out of work. To me a sensable profit is better then none at all.
Gee, maybe we should wean ourselves off of our reliance on oil imports by driving more fuel-efficient vehicles, by improving public transit options, by building more compact and walkable/bikeable neighborhoods, and by reducing the unsustainable growth model of auto-dependent suburban sprawl.
Nah. That would be too logical. It’s easier to continue blaming the oil speculators, foreign governments, President Obama, baby boomers, sunspots … anything or anybody but ourselves.
Our inability to make the tough choices and investments that are necessary to build a more energy-efficient and long-term sustainble economy is pretty sad. When world oil production peaks and begins decling, in perhaps 10 years or so, what do we do then?
Only a fool thinks high oil prices are good for our economy. Look at what happened last June and July. Take oil trading off of Wall Street. Cap and Lock oil prices at $50.00 a barrel and gas at $1.50 a gallon.
OK America, please understand that we lesser income taxpayers are not in control of the price of a barrel of oil. Foreign investment is. How??? All you have to do is watch the dollar every day. When it goes up, oil goes down. When it goes down, oil goes up. It is a direct inverse relationship and has been for a very long time. Foreigners like the wealthy OPEC nations invest in oil as they have the extra cash that they received from us from the sale of oil initially. They reinvest the dollars as the dollar looses strength and they make a double killing and they also insure in the process to more solidify their second investment will only increase in value. It is a simple guarantee money making investment and so they all jump on the bandwagon.
If we had a congress that had any real care for us as Americans, they would protect us from all the vultures of the world and pass a LAW that would prohibit and purchase of oil unless you have the ability to receive it and process it. That simple act would immediately stop the money laundering game and then allow for the SUPPLY AND DEMAND process to take place. Since our legistature in Washington is mostly on the take from lobbiests roaming the halls, they would rather resign than pull ILL-GOTTEN moneys from their pockets. Therefore, we Americans will continue to put our hard earned cash into the pockets of foreign investment forever. Imagine taking oil out of the ground, selling it then buying it back and selling it again making even more profit and intentially driving the end price higher guaranteeing endpoint profits? And our elected officials continue to turn their heads. My opinion is that we should tar and feather all of congress and elect a congress who will be of the people, by the people and for the people. A congress of lesser income Americans who would rather fight for what is right than spend all their time taking money from us under the table.
We all recognize that the 140.00 per barrel for crude did our economy in. We also recognize that speculation is driving the cost per barrel higher as we speak. So what can we do as a country to protect ourselves from OPEC’s hunger to increase oil prices for their own benefit. China and India will take our place in the world and become the largest consumers of oil no matter what we do. They will drive the costs up and ultimately control our economic future. We will drive more efficient cars to survive and be able to pay cost of living expenses only, but the economy will be out of our control. Either we get things under control now, or we will forever be controlled. We must regulate the cost of energy and not allow energy to regulate our economic future.
The oil companies are not to blame, it is the speculators. Do you really believe that if the US was completely independent from foreign oil that prices would be cheaper? The US oil companies would still be getting the same price for a barrel of oil and a gallon of gas. If they didn’t, they would sell their product outside the US to get a higher price.
This is just like so many companies in the US that have overseas operations giving jobs to foreigners when the US unemployment rate is 9.4%. They don’t care because it is cheaper labor. Guess what, GM is closing 2/3 of their US plants but how many plants will they close outside the US…ZERO! I keep seeing and hearing this sort of stuff from corporations and it makes me sick.
It is time to regulate the price and production of oil and gas. The government regulates the price of electricity, phones, drugs and banks. Gas and oil is the life blood of our economy. We all have to have it like food and water. Every 10 cents gas increases is $40 million a day we don’t spend somewhere else in the economy.
Speculators and the price of oil was the cause of this recession and will most certainly continue it. All those suburban home values will never bounce back with gas prices increase so here we go again. When will it end?
The oil speculators are the “new” terrorists that plan to bring down our democracy. They must be stopped at any cost!!!
This is completely unacceptable. At a time when people are still losing jobs and trying to recover this will hurt big time
i hope the oil companys ruin the hopes of a recovering economy it seems they want it all no matter what the cost.
The whole concept of trading commodities is 1 of the biggest bunches of crap in this country. It is “GOOD” for the Fat Cats, and screws everyone else. Why should someone with excess funds be allowed to falsely create a demand to drive up prices. Jeez….It’s really hard to see that this will only drive more of the middle class downward. I see very little difference between this and the shameless taking of money by unworthy executives. The average person doesn’t have a chance.
The economy is going to have a false start. Expect a turndown on Wall Start by August. We can not have a 9%+ unemployment rate with raising oil prices. Companies will stop looking to hire as they face raising energy costs and the general people has to reduce overall spending to pay for gas. Whether you agree or disagree with the stimulus package, someone failed to put into check the oil speculators and the oil companies from pushing these costs up as the recovery plans were put into place. There was no doubt in my mins this was going to happen. Greed and the lack of controls arer the problems that needs to fixed quickly..
The crime here is that law makers are doing nothing about this ridiculous investor speculation that is playing havoc with people’s spending abilities. Ignoring the speculation is what got us in so deep to begin with. Fool me once, shame on you; fool me twice, shame on me. WAKE UP WASHINGTON!! Simple regulation that required investors to take delivery of 90% of oil or gasoline bought on the market would rectify this immediately. But no, instead they sit back and get fat on big oil. It’s not a Dem. or Rep. thing. It’s a WASHINGTON thing. And we get to pay for it…how convenient.
High oil prices are guarenteed to kill any chance of recovery!!! Its also not going to drive people out to the car dealerships to buy new cars from government motors.
We still have high unemployment. Workers wages are stagnent or declining. We have politicians trying to find everyway possible to raise taxes. There isn’t much excess cash in our paychecks anymore for anything but the basics. If we go back to spending $80 to $100 a fill up, even for our small cars, that means we have to give something else up which is going to translate into a declining economy. For all those GREEN FREAKS out there we all can’t start walking or riding a bicycle to work!
Greed is back! How did the banks all of a sudden have enough money to pay back their TARP monies? By speculating in oil, that how. Wake up America. We who are ignorant of history are bound to repeat it. Gas has gone up over a dollar a gallon based on absolutely nothing – no demand, excess supplies. This is pure greed and will continue as long as the governement allows speculators to ravage markets they have no right to be in. Prepare now, the revolution is coming closer.
Is Oil going up, or is the dollar going down? I think the latter. In fact, if we priced Oil in Gold instead of USD, Oil is down steadily over the past 90 days.
I can’t believe nobody wrote on here to thank the speculators and greedy oil companies for allowing the price to go down to the mid 30s while losing money, laying off many of their employees and even some going bankrupt. Wonder why they did that when they control the prices.
Seems we all agree. Oil is out of control and greed is rampent on the investing front. Most Americans are struggling to survive from the last run up of oil prices and now it goes again. I would blame them wholly but it is due in part to the decreased value of the US Dollar. When our money goes down Oil goes up. People invest where they can make the best money. It will kill our economy. Solution to the oil problem I think is to make the market more cost to produce based and not driven by speculation and greed. Without the government regulations in place, the greed is out of control. They see the American people able to Shoulder the burden of a said price of oil. Makes me laugh that they can see what I can shoulder, without paying my bills and cost to live. Must be nice to live in a bubble and see only the Orange Sunshine you pass.
It boils down to greed. When oil surged above $140 a barrel, the oil producing countries got use to the idea of sky high profits. I see where Hugo Chavez says that oil needs to be above $70 a barrel for his country to prosper. I guess so Hugo, you greedy pig. Most other countries do want us to climb out of this economic situation simply because it weakens us, both mentally and militarily. We should be drilling oil in our own country and finding other means of fueling our society, but wait we need to get rid of the EPA first.
Oil will stop the recovery. Look what sank GM, recreational vechiles, plus many others lost jobs dure to high oil prices. People only make so much money and they need fuel to survie. Now since we will be using less fuel I guess they will raise the tax per gallon to recovery the lost with people using less gas. For years we never heard of the oil compaines losing money but since gass hit $4.00 per gallon and has fell below $4.00 now they claim they are losing. If they made $80 billon last year and only made $50 billon this year they lost $30 billon, go figure.
The reason why the gas prices are sky high is because the oil exporters and the big players of oil futures are drumming up the prices. We the average Joe can make a difference.
Less demand == lower prices
Drive less and we can drive down the prices
Pass on the word!!!
The ability of speculators to attack oil prices at will from the shadows amounts to an undemocratic power to tax us all. This is tyranny because it is decoupled from real economic activity and supply and demand. The sad part is that it is likely big hedge funds in the USA that are undermining the citizenry of their own nation. They should be uncovered and tried for treason.
Oil is a dead industry, the people should move as quick as possible to switch to alternatives. Stop paying non citizens of this country to fix the roads and put it towards killing the fat oil empires. Theres enough wind and solar in this country to solve all energy issues we just need the fortitude to get it done!
I have already slowed down on purchases. I can’t drive 85 miles to work each day and expect to spend exrta for vacations etc. Yhis was a major campaign issue and guess what up up up they go when they stop nobody knows. It will kill the economy as it did the first time. I think it was the major factor the first time. It cost me 76 dollars to fill up a Toyota Camry. I am now close to 50 again and here in WV they tax us to death on it.
Oil prices was one of the main ingrediente in turnning the economy upside down. If they keep increasing the price people will cut on spending.
No, last summer should have made it clear that the average American cannot tolerate the huge increases in gas prices that make them have to choose between getting to work, eating and paying their bills (especially the out-of-site credit card interest). The government and media would like us to believe that this depression was caused by the banks making bad mortgages, but look at who’s getting rich – EXXON. Low and middle income Americans cannot afford to support the oil companies. The government steps in to control banks & Detroit, let them put a cap on gasoline prices and a HUGE tax on those excessive profits!
I don’t think there has been any rebound to snuff out-Yes there have been certain entities rescued by Taxpayer money without Taxpayer consent-But the Taxpayer was not one of them-My decision has been that my car is sitting in the garage except when necessary regardless of gas pricing and my money in my pocket-I think “rebound” has been used incorrectly to describe the turning of a rapid freefall to collapse into a slow and painful demise – with the powers that be making sure they are not the ones jumping off buildings this time around.It is time to make a stand and the only true voice we have is to refrain from spending.Then it will become obvious what the true intentions of the “stimulus” are.
The only thing high oil prices do is exactly what the government wants, it gets the big vehicles and poor people off the road. Only ten to twenty percent of Americans can afford higher gas prices while the rest struggle or parks the car due to finances. We are no way out of this recession but, at a plateau. Americans cannot allow the gas prices to continue to climb again. If it means our government stop all importing of foreign oil and begin drilling oil here at home. We have the access and the means to stand alone, if need be. I believe it’s time to make a stand! NO MORE FOREIGN OIL!
Shameless profit taking. It is obscene how the speculators manipulate the market and future prices of oil. The extra money Joe and Jane spend to fill their tanks with gas is less money for other expenditures. It is just taking money off the table to sustain any type of economic recovery. This present administration along with the previous administration would rather take care of their “Fat Cat” friends than help and assist the everyday people who carry this nation on their backs. Enjoy your next “Date Night” Mr. President on our dime while we scramble to pay the bills.
Wake up America! Take back our country. The price of gasoline is only one issue. They (the government) are now separate from us. Oil is only a small part of this problem. Intentional blindness is the main problem. Before I moved from CT this Jan, Connecticut Light & Power (CLP) had plans in the making for a new natural gas supplemental power station to augment the grid during heavy load periods. Natural gas? Are you kidding me? Our country needs to take the bull by the horns. We are one of the most technological societies in the world. Always have been and probably always will be. It is hard to believe in 2009 we are still this dependent on a fossil fuels. We have known for years that fossil fuels are a finite resource, yet we do NOTHING to limit our usage. We have advanced nothing in the automobile industry other then niceties and a few useless government regulations. We still use the SAME basic technology developed more then 100 years ago and brought to the world with the Model T…that was in 1908. The big internal combustion engine. What do we have now? The modern, somewhat more efficient internal combustion engine. Why cant we have a non internal combustion engine? Our war ships where driven by steam, internal combustion engines and now nuclear. Why can we not advance beyond oil?
How do all of you claim it’s the oil companies fault? It is the government you elected in November that forbids oil companies from producing much of our domestic oil reserves. How WE as Americans blame the Saudis when it is our government won’t produce its own oil. Stop being hypercritical.
How do all of you claim it’s the oil companies fault? It is the government you elected in November that forbids oil companies from producing much of our domestic oil reserves. How WE as Americans blame the Saudis when it is our government won’t produce its own oil. Stop being hypercritical.
Great, here we go again as the country
and tax payers bail out the stock
market and the oil speculators raise
the price of oil by $30.00 a barrell
and nobody in this lousy gov does
anything about it, this country and
gov cares less about the american
tax payer they need to reel in these
stock market and commodities market
crooks.
Hey BK in Houston –
How can that be if oil was at $35 a barrel last quarter and Exxon reported a “disappointing” PROFIT of 4.33 BILLION DOLLARS?
Oil companies are so far beyond breaking even it ain’t even funny. With those kinds of profits, they could use a few real break even quarters and still be in the black.
Those profits may not reach the people who actually work for a living in Houston refineries, or even here in Tulsa refineries – or out in the fields – but breaking even point is way below $40-$50 bbl.
I agree with Dan in Georgia. You want to know what killed the economy, it was post Katrina gas prices. The higher the price of gas, the higher everything else got. (Food, Utilities, etc) People will pay it in order to work, but all the extra spending will be cut out just to be able to provide for your family. Everyone is losing big time except for oil companies and their shareholders. But who am I, just a little person who doesn’t really matter because I’m not padding anyones pockets in Washington.
“Renewed lending and job creation will likely outweigh any pain people may feel from paying higher gas prices.”
This quote is incorrect – I say a “fair” price is $1.50 for a gal of gas and I barrel of oil “should” sell in the $40 – $50 range. Plus, there should be great emphasis put on R & D for alternatives (solar, wind, electric, etc) – the US (and most of the industrialized world) is at the “mercy” of OPEC and their production quota (or lack there of) to maximize their profits at the cost of the global economy and/or global recession. Finally, maybe crude should be “pegged” to a different currency besides the US Dollar – compare currency exchange rates and use the currency with the smallest recent flux (to maximize price stability).
The high cost of energy is what caused the economic problems to being with, and the current rise in prices will be the thing that brings recovery to a halt! Every time gas goes up, I spend less on all other areas of life – I have to have the gas to go to and from work. No mass transit or carpools around here, you don’t drive, you don’t go anywhere! If the government is serious about an economic recovery, they need to get energy prices under control once and for all.
$3.00 here now, we are already backing off on spending. We are now putting more in gas then on retail. we both work full time but have to drive to the city for our jobs. No more eating out, no more movies, just work and buy gas. No vacation again this year.
you cannot compair buying bottled water and gas. I can get water from my house. I have a choice to go buy it for more at the store if i care to carry it around as such. Gas I need to get to work. My work needs gas for it to conduct business. If gas goes up it hurts at home and jobs.
Yes, this started with those who’s only concern was for profits. The oil industries.
3 major points:
1. American oil companies (both majors and independents) require at least a $40-$50/bbl to break even.
2. Oil/energy companies employ at least 1 million people in the US, which is supported by another 500,000 contractors, consultants, etc. Once you take away profits, which are almost always used to fund major capital projects and many operations around the US, pours money (the basis of our economy) into the economy. Locations such as GOM (Gulf of Mexico): offshore and OCS; in Colorado: Piceance, DJ Basin; in California: Long Beach, Bakersfied; in Texas: Barnett; and the list goes on.
3. Until we reach the technological tipping point where oil is no longer the primary transportation mehcanism, it is up to the American people to conserve fuel. Personally, I walk to work, unless it is raining.
It hurts to hear other Americans talk poorly about oil companies. We must remember that the oil industry started here in the United States. Let’s not forget that American oil companies are not the problem (except XOM; no one likes them). Cheers.
It’s over 3 bucks in Chicago already. This is gouging brought to you by big oil and speculation. These sort of entities care very little about the pain of the average consumer. They get theirs on the backs of the working class, and they’ll walk with cleats on if it makes them more money.
Yes.
I am already cutting back. IT isn’t just psychological. Any tax relief that we just got in our paychecks by the Obama administration is be eaten up by oil. Food and anything transportation related will now inflate in price.
We can’t take the strain of high gas prices. The economic downturn may show signs of slowing, but that hasn’t been proven yet. Consumer confidence may be up a bit, but some of us got tax returns.
This economy can’t take a hit at this time. If prices go higher, I think we will sink deeper into the recession again. Oh and by the way, where are all the tea party protesters? Why isn’t FOX news starting rallies against gas prices?
I used to think the laws of supply and demand made sense. No more. As demand falls and oil inventories increase, OPEC cuts production and the price goes up. As the economy suffers, but suffers the same or less, it is seen as an increase in demand and the price goes up. The sickening chorus is repeated between each now painful rise in the cost of fuel: “It’s still below the highest price that it’s ever been!” Well, that won’t be for long. What market force other than our total collapse will stop the rise? My total collapse is on the horizon. I plan to park the car and take the bike to work this summer. The 10 plus mile ride will only do me good. It will help to burn some of the fury that I feel at being pressured out of my car. This winter I expect to be pressured out of heating my home. How can you call this a recovery?
We have curbed most of our spending just to get ready for the high gas prices again. Like most people I know we have to comute to work and have no choice but to pay for gas. Therefore, all the money we used to go and buy some luxury items and eating out etc no longer happen. I think the high gas prices started the nose dive on the economy. A couple of my neighbors had to comute fairly far for work and then could not make the payment on their mortgage and foreclosed on. A lot of companies that delivered goods laid off drivers due to the fact they were getting hit with high fuel cost. Everything revolves around oil prices in the long run.
Oil companies, with their record profits, and speculators are to blame for the rise in oil prices and the reflection of that rise at the pumps. Perhaps it is time for everyone to wake up and stop giving the oil companies what they want. If people were really tired of all this they would find ways to improve their situation. But riding public transportation? No way! That’s just too much trouble. Let’s continue wasting money on single person vehicles clogging the highways of America and the waste that is inherent in that type of thinking. It’s more convenient that way isn’t it?
FIRST OF ALL IT SHOULD BE CLEAR THAT THERE IS NO SUCH THING AS AN “ECONOMIC EXPERT”. SO GOLDMAN KNOWS NOTHING, THE PAST YEAR PROVES THAT. AND THEN OF COURSE THE SPECULATORS ARE UP TO THEIR OLD TRICKS AGAIN. IT IS SUMMER IN AMERICA OF COURSE OIL AND GASOLINE ARE GOING UP…..DON’T THEY ALWAYS? BUT MOST IMPORTANTLY…THE AMERICAN CONSUMER IS ON TO THEM NOW (AS EVIDENCED JUST BY THE COMMENTS ON THIS BLOG)AND WHEN WE CUT CONSUMPTION LAST YEAR IT TOOK ALL THE AIR OUT OF THE BUBBLE THE SPECULATORS WERE CREATING. SPARE CAPACITY IS HIGH, STORAGE IS FULL AND COSUMPTION AND PRICES ARE ULTIMATELY CONTROLLED BY THE AMERICAN CONSUMER. WE NEED TO KEEP CONSUMPTION DOWN RIGHT NOW AND END THIS GAME NOW BEFORE IT GAINS ANY MORE STEAM. ONCE STORAGE IS FULL, ABOUT THREE WEEKS FROM NOW, THE PRICE IS APT TO COLLAPSE AGAIN.
WHY CAN’T A SELLER AND BUYER AGREE ON A FIXED PRICE…LIKE $60 AND BRING SOME STABILITY TO THE PRODUCERS AND CONSUMERS. IT IS A CRIME TO ALLOW SUCH UNBRIDLED SPECULATION ON SUCH A VITAL COMMODITY.
NOW IS THE TIME TO PUT THE SCREWS TO ‘EM…CONSERVE CONSERVE CONSERVE.
JUST LIKE LAST YEAR …DON’T DRIVE THAT ONE DAY,DRIVE THE SMALL CAR, COMBINE TRIPS, VACATION CLOSER TO HOME,CARPOOL, TUNE UP AND INFLATE TIRES,JUST CUT BACK SOME DRIVING, WE ARE READY FOR THEM THIS YEAR…DO IT RIGHT THIS YEAR AND MAYBE WE WON’T HAVE TO NEXT YEAR.
WHY IS GAS COSTING $3/gallon WHEN CRUDE IS ONLY AT $70… THE RATIO IS OFF IF YOU LOOK AT PAYING $4/gallon WHEN CRUDE WAS OVER $125! I AM CURRENTLY PAYING $3/gallon WHERE I LIVE AND I AM STARTING TO TIGHTEN MY BELT FURTHER. LESS TRIPS THAT ARE BETTER PLANNED OUT TO BUY NECCESSITIES ONLY! VACATION PLANS-if we keep them- HAVE BEEN MADE CLOSER TO HOME! MY ECONOMY IS NO WHERE NEAR STABLE…WHAT ABOUT YOUR?
The first time I heard about Windfall profit tax was in the 1970’s. President Nixon recomended it when we had gasoline shortages. It seems that once he did that supply icreased and gasoline prices fell. I think this time we realy have to follow up on it. A lot of people are struggling to survive today. Raising gas taxes on people who can’t even afford to feed thier families is a gross injustice. I feel the belt tightening sould fall in the hands of the people who are driving the economy deeper into recession. The government should not allow these Greedy people to allow inocent people too suffer for the sake of thier bottom lines.
I AM GLAD TO SEE OIL PRICES A 70 A BARREL AGAIN THE ECONOMY CAN HANDLE IT. GAS IS AROUND 2.50 GALLON HERE, PEPOLE COMPLAIN ABOUT THAT, BUT THINK ABOUT WHEN YOU PAY FOR A 20oz BOTTLE OF WATER AT 1.19 OR SO ALOT HIGHER THEN A GALLON OF GAS!
Recovery (and the future for our children) is directly related to keeping fuel costs manageable. The cost of gas affects everything we do. Work, play, education – everything.
I wish those TEA Party people would use their resources to organize protest rallies against the unjustified rise in crude and gas prices – instead of following a stupid political agenda. Rallies against Wall Street predatory pricing tactics and greed would get support from many millions of people – and could be truly historic. Our children and grandchildren would read about the protests in their history books.
Someone is missing a great opportunity.
I am with the one guy that said oil is what started this whole thing.when it went to 4 dollars a gallon for gas people wouldn’t touch an suv. Then the news will say “Consumer spending was up in April”…well duh??? gas was cheaper. bottom line is when gas is cheap I will take my family out to eat. and go places and spend a little more.but just like right now we are cutting back again. these crook traders are killing this country. there is not nearly enough coverage on this subject. everyone said at $2.00 a gallon gas was cheap??? cheap??? give me a break!! before Katrina what was it $1.25 ??? now why would it be $2.50 now when everyone has slowed down more than ever??? IT’S A CRIME THAT OBAMA SHOULD ADRESS!!
Take it away from the speculators and traders and our country will go back to the way it used to be!
When will this government wake up and regulate these theives?
When will the consumer, who is absolutely locked in to paying whatever ransom they want for this oil get relief from them deliberately shutting down wells?
Regulate them, make them maintain production, no matter what the price does. Only then will anyone see what the market will truly set the price of gasoline and fuel oil at. It certainly is being skewed by shutting down production to cut back supply.
Recovery in the short term is an illusion. The inflated economy was based on use of credit. The wealth based on that house of cards will not be recovered. The Boomers have been financially damaged, and will not recover–that wealth has been lost. Cheap oil and a healthy global economy will never again go hand-in-hand. Like cars, the trend of the future will be towards smaller homes–add a surplus of pseudomansions to the surplus of SUVs. Things may pick up a little, but most Americans better accept that they are going to be meeting the people of the developing nations halfway in terms of lifestyle. My wife and I have no plans to resume spending anytime soon.
Not only will this stop any recovery, high oil prices may knock us into an out and out depression. Mr. President, please stop this insanity: break up big oil (don’t buy it like you did with GM and Crysler); end speculative trading of oil futures; drill in Alaska and the Lower 48; and don’t advance the carbon credit markets (which will gouge us just as bad as big oil). IF we see $80 oil, you will see this recession turn into a depression that may last years. Somebody, stop this insanity!
OPEC just doesn’t get it. . .
They are selling an undifferentiated commodity, energy. It doesn’t matter if that energy comes from a windmill, a nuclear reactor, a solar panel, or a gallon of gas.
The form of energy consumption is somewhat inelastic, but they can’t keep asking for the premium they are placing on oil.
In the meantime, we need to be throwing everything, including the kitchen sink, at getting off their oil based energy products. The economy will never fully recover until the world is not dependent on their product.
Eliminating the use of oil is the number one priority in fixing the economy in the long run.
NO THE ECONOMY CAN’T HANDLE… OIL IS WHAT PUT US HERE. GOLDMAN SACHS AND JP MORGAN NEED TO GET OUT OF THE OIL BUSINESS… ALL THEY ARE DOING IS MAKING THE RICH RICHER AND US MIDDLE CLASS GET POORER
High oil prices make food more expensive for those in hard times. Don’t see the need to raise oil prices as demand is lower than supply, so, no reason to raise oil prices.
I’m certain this all Dubya’s fault. Guess even our new rock star prez is unable to bring any pressure on Big Oil. All this “change” certainly appears to be “the same old, same old” we taxpayers always get the short end of the stick.
Let’s say I own an oil company and invest in a hedge fund that buys oil futures. So the hedge fund buys oil futures at $80 a barrel and whadyaknow that’s how much I’m gonna charge next month. The buyer also invests in the same hedge fund so if he buys the overpriced oil then he makes money too. What’s the problem? Seems like a great system to me………
The thing that makes me maddest is having Wall Street and the oil companies manipulate the prices. I live in Colorado, and when oil prices went down, 60% of our wells stopped production. They wanted to drive prices higher.
And yet the oil companies are still yelling “drill, baby, drill,” and saying supplies are so short they need to drill offshore and in Arctic National Wildlife Refuge.
Let’s move on to a clean energy economy, and quite getting ripped off by these greedy, lying devils.
Rising oil prices will lead to a deeper recession. Oil is no longer tied to supply and demand, but tied to the speculators. As they hedge against inflation, it will stagnate the American economy. this is not good. The US provides most of the food for the world and using our food to supplement our energy needs will have a ripple effect in poorer countries. Unfortunately, many US consumers can no longer bear the burden that Washington fat-cats have placed on them. This is the first time in my life that I am truly worried that we cannot dig oursleves out of the hole that we have dug. Rising food and fuel crisis was the first sign that the economy was in trouble. We bailed companies out at pre-collapse prices. I remember the Big 3 automakers telling us that the American Consumer would be ok until it got to $5. Critical mass right now is $3. Why? the American consumer is battered, bruised. Summer is here and they have no money. Jobs are disappearing and not coming back. As much as I disagree, it might be time to increase tariffs on imported goods to shift costs to other economies that are the benefactors of the outflow of jobs from the USA. It might be too little too late. Nobody needs the USA’s economy right now. I wonder if the the new headmasters will be kinder and gentler.
I truly believe the oil companies are the reason for our recession/depression in the first place. Funny how each year they have unprecedented profits by charging the public ridiculous prices on a product that we are dependent upon. It promotes fear and limited thinking.
I am in the automotive industry and when gas prices went over $4 a gallon is when the wheels started coming off. People started fleeing the SUVs and trucks which led to a collapse of the resale market. This led to huge deficits on lease returns also which forced the automakers to pay up to $15,000 per copy on our returning leases(residual vs market value) This in turn caused the manufacturers to pull back from leasing in general to shield from future risk, which led to greatly reduced sales. I firmly believe stabilizing gas prices is one of the most crucial factors in knowing which vehicles to build in the future. If people can factor in what a vehicle will cost them, it instills confidence to buy again. But if Wall Street speculators keep bidding the price of oil up and down, the resulting instability will definately cost us all.
AMEN Mike, from California, the more we have to put in to fill our tanks the less we have to purchase food, clothing and basic necessities. The coupled with the unemployment rate, love those numbers by the way, those just account for the new claims and those still collecting, what about the millions of americans whose unemployment has run out.
The $4 a gallon price of last year and the run up was the major cause of many of the foreclosed homes. Where commuters were spending $100 a week in gas or $400 a month they could not afford the $400 a week or $1600 a month, hence it went on credit cards hoping it would blow over, well it did not. I guess wall street did not learn it’s lesson from what they did over the past two years, guess they will need to learn it again and again and again. Hopefully this time we can bankrupt the speculators so they don’t have the money to play with.
The greed of banks and investors caused a lot of the financial crisis we are in. The American people bailed them out when they were failing. Our reward from them. Let’s screw the epople and economy again. I don’t care as long as I get mine. There will be no financial recovery as long as people have to cut out purchasing goods just to buy gas to get to work. Or in this case now, to go look for work.
Yes, they will hinder our recovery. As my weekly fill-up goes from 10 to 14 to 18 dollars, I’ll spend less on eating out, entertainment, etc. And as it continues to rise, it will impact my vacation travel plans.
Why can’t the politicians get a backbone and do something about oil speculation and gas price gouging? The reason is because the lobbyists for the oil and gas companies are paying our”elected” politicians too much money for them to find their spine. So much for “by the people, for the people”. Our leaders in Washington are beyond caring for the people when it comes to oil and gas.
One more thought – One way in which the rise in oil prices affects the recovery is that retailers (like Walmart) will raise their prices a certain percentage so as not to affect their own bottom line. Other services, etc will do the same.
The problem with this is that after oil and subsequently gas prices go back down – the retailers continue with their jacked-up prices. Last year a package of generic Walmart-brand frozen waffles was at $1.00. It is now $1.35. Even after gas prices stabilized, Walmart kept the higher price. Greed rules in Bentonville as much as on Wall Street. Both are preying on us.
Perhaps someone needs to investigate this practice. It is immoral, it is predatory – and it is working AGAINST recovery! These fat cats don’t realize that a 35% increase in goods is significant to many Americans. Now – they’ll be justified raising prices even more – and keeping those prices at the higher level.
$70 a barrel definitely slows recovery. Here in SoCal, prices are already $3/gal., and that is being driven by speculators on Wall Street. The winner is the oil companies and the greedy SOB’s on Wall Street that would bet or sell their own mothers to continue filling their pockets. The day traders and speculators should be outlawed and allow supply and demand dictte the price.
These oil companies will never learn, last time they drove up the price of oil spending went down, people stopped buying new cars…heck, I just put the kibosh on buying a new SUV myself afraid of oil prices going higher, I also canceled my summer vacations for the year and even backed out of buying a house due to heating cost that could come this winter. Oil prices are going to drive down the economy even further….85% of people are cutting back due to current prices; demand for oil is going to diminish quickly. If they don’t wake up newer technologies are going to be deployed driving demand down so far that OPEC will need bailout money to stay afloat. I say let them suffer and go out of business…remember, WE ARE THE CUSTOMER!! WE CAN TAKE OUR BUSINESS ELSEWHERE!!
I’m in sales and have to drive 36 K miles per year my company pays $500 per month for my gas and car upkeep. LOL, yes it hurts I must sell more in a down economy as many of my customers use less and I’ve had to deal with several customers plants shutting down. While I have added new customers my pay is down by 1/3. The gas prices hurt!
Here’s the irony of current gas prices..we are currently in a situation where we have more crude than we have had in amlost 20 years and the price of a barrel is $70 per? The same situiation is occuring as last year, call it deja vu or just flat our greed, but the speculators are up to their old tricks again. That is what killed the barrel price last. People WAKE UP!
As many here have said, this is just another unjust and greedy form of profiteering. The numbers just don’t add up. All the justification in the world doesn’t help when Mobil/Exxon releases their numbers every quarter, “Record Profits…Again.”
Amazing, you can’t buy a Cuban cigar without becoming an enemy of the State, but we continue to send BILLIONS every day to our true enemies by buying their oil. (Venezuela, Saudi Arabia, etc)
I too wonder how many lawmakers have oil stock. We are being fleeced, pillaged and raped. The “American Anger” this time will be more than when gas was $4 a gallon – because we know what is going on now!
We are not helpless – our politicians obviously don’t want to tick off the oil companies. A day will come when we won’t take it anymore.
Of course it does! Didn’t we learn our lesson the first go around?
The stimilus money I received from Federal was immediately taken back by new California State taxes. Now the gas prices are going back up again. What burns is that it is pure profit for the oil companies. They’re laughing all the way to the bank.
Here we go again, have not learned the lesson from last year, which was a significant contributor, or at least interlaced, to the rest of the downfall in the economy. This does not bode well for recovery in any terms. The average consumer reaps no benefit, we just fuel the fat cats. We could even forgo driving for one day, and there would be no impact. This commodity should be removed from the speculation books until more solid ground is achieved, besides there is still gold, platinum and the like. It only goes to show greed has no boundary or conscience. Come on Mr President, step up to the plate, put a stop to this insanity, or your plans are doomed.
$70 a barrel is less than half of last summer’s prices. However gas almost two-thirds last summer’s prices. Oil prices are not slowing the ecomonic recovery, oil company greed is.
I believe they will hamper a recovery. I also believe that oil prices was a major contributor to the current recession. Some people were paying more for gas every month than their car payments! Other things lost priority to ensure transportation to work. Like consumer spending! Oil companies are thieves plain and simple. Almost as bad as banks and insurance companies.
Absolutely destructive to a recovery. Most of us are right at the edge, and when something so basic and necessary goes up in price, the money has to be taken from something else. Any hope of “discretionary” spending goes out the window.
With unemployment benifits running out for people that lost there jobs last summer, this is only going to bring more hardship and less spending. I know that I am not driving any more than I have to and spending only what is required for my family to get by on. I am darwing unemployment and working part time and with no releif in sight at this time, I do not know when I will return to normal spending levels.
When is our gov’t going to get a handle on these traders? When is $200+ billion not enough for these rotten oil companies?
$85 by year’s end…that’s too low. It’ll be at least a hundred a barrel. What little has been saved in the past few months will be spent at the pump!
Oil prices effect everyone. Anything that takes money out of hurting consumers pockets and puts it in the treasury of BIG Business and especially OIL SPECULATORS will hurt. I truly wish that the FEDS would ban any type of OIL SPECULATORS. That will balance out the playing field!
As with other current US government interventions within the Auto and Financial industries, perhaps Oil based trading (including Derivative products based on Oil contracts) should be temporarily limited to avoid recurring global economic collapse. Meanwhile, limits and controls could be explored for future application within that specific market to curtail volatility.
The key to a healthy economy is stability in energy prices. Price spikes and wild fluctuations always result in global recession, as was so well demonstrated in the 1970s. The disastrous runup in oil prices last year had as much of an impact on the current financial situation as the housing market collapse. In fact, these two events are very closely linked. This is why it is imperative that we seize the moment and diversify our energy sources now. Unless we are free from the monopoly of the oil cartels and the speculators we will never be able to achieve sustainable long term growth in our economy.
wait until they spike the tax rates thru the roof. Noting and no one ever helps the people. nothing surprises anymore. and no i have no extra money to spend frivoulsly and it does not matter what the price of oil is.
Oil will definitely have a negative impact on recovery, consumer spending and transportation of goods and services will decline tremendously.
As soon as gas topped $2.75 a gallon I went back to limiting my driving. I will only spend a fixed amount on gas and that is it. If you want the economy to grow the oil prices must come down!
Here, in the New England area, we’re very much dependent upon oil for heat in winter. Now, our heating season is OVER. Why is oil going up when it typically and traditionally goes down at the end of any given heating season?
Oil futures and hedge funders. Hoarding/buying low until the price goes up – then sell BIG. THe trouble is, as we ALL witnessed last year, $4-$5/gallon gasoline does not foster economic growth. It quickly foster economic decline.
So, unless you are a wealthy oil futures tycoon, or, even better, own a congressman/woman, you’re **** outta luck. Bring on the “Everybody for Themselves” Great Depression II”.
Median Anmerican yearly salary?: $30,000. Oh yeah, we’re livin’ large.
“Say goodnight economy.” “Goodnight.”
We ALL know that Exxon breaks record after record for profits for any U.S. company since the dawn of time. They know and we know that electric cars are on their way. Are they trying to break us all in search of the almighty dollar (as if they don’t have enough dollars already!). With increase in oil comes increase in transportation and farming to produce food. If the oil companies refuse to regulate themselves, can anyone tell me why the goverment won’t regulate them? As I see it, natural gas, electricity and water is regulated. NOW is the time for oil companies to be added to that “distinguished” list.
The “GREEDY” oil “monopoly” is determined to “financially RAPE” the world at any cost.
YES! Rising oil prices put the world back in critical condition if not in the E.R.!
Our government could do LOTS and LOTS more but are simply unwilling due to payoffs and the fact that fat cats in congress are lining their pockets at our expense.
The oil community’s montra is “I’ve got mine, to hell with everyone else”.
I’m just another overpaid lazy teacher. What do I know?
Jamie
$140 oil was the capstone on a failing economy driven to the brink by out of control spending and speculation. No matter how many analysts worried about the dizzying heights of the crazy speculation in the economy; Wall Street Brokers and their minions did not believe there would be an end. Well, we saw the end and now here they go again, playing with other’s money with no reguard to the consumers ability to pay at the pump.
Were any of us actually buying the “economic recovery” line as it was?
So this comes as no surprise, because OPEC knows our situations better than our average citizen does. They have projections on the number of barrels per day they will sell given our unemployment rate, and the price of oil. They have years of data to work with.
There is simply a more profitable operating level for them than the $70 per barrel level things are at now.
They could care less how much it destroys our economy, infact they probably are ejoying it…
It isn’t like we’ve make friends in the middle east over the years.
There is no other way out! The Price of Oil definitely has an adverse affect on our economy. The only recourse is, for us Americans to collectively change our way of living to become less dependent on fossil fuels. Are we going to be smart about it? Or, are we just going to continue with our present behavior of not giving a damn?
It’s inflation dummy. The OPEC nubs are pushing for high prices because crude is priced on the dollar peg….
WHICH HAD AN AMAZING 10% DROP IN THE PAST 2-WEEKS….
When you need more of something to get the same thing, this is called inflation, especially with a fiat currency like the dollar.
With more hyperinflation around the corner, sure, oil WILL BE $90 by the end of this year, not a doubt in my mind.
It’s not an economic recovery we need. It’s the elimination of the Federal Reserve which has been stealing our nation, currency and people blind since they forced themselves into power.
Yes, it will have a negative impact on the economy, but wait until milk is $7.25 per gallon and a bag of Doritos is $5.89 (I remember when a bag was $.99 cents) back in the late 90’s and eggs are $6.00 per dozen. Just wait.
Categorically! This is more a matter of investors/speculators trying to see how hard they can push to make more money. They were a significant part of the collapse in the Fall and are back at it again. These folks are very, very dangerous.
You bet! I drive a 30+ mpg car, and I CAN afford higher oil and gas, but you know what? If I have to pay more for fuel and utilities, I’m not going to go out to dinner, buy unnecessaries, and go Spartan.
Supply and demand isn’t in play here. Its’ 100% speculation, and I for one wish we as American would just tell the oil producing nations to take a hike.
So that greedy, oil coated gluttons can get richer, the average guy on the street has to shoulder the burden.
Most people are living paycheck to paycheck. If what little extra they have goes to oil and gas, how is a consumer driven economy like ours get going again?
Answer: It’s not.
Oil is NOT rising due to inflation. The dollar has only lost about 12% vs the basket of other currencies since December. How does that explain the price doubling?
When will they learn. Speculators, hey were going to make a killing ! There goes my $8/week stimulus right to the oil companies.
The higher oil/gas getm the worse it will be for the economy. This is what caused the recession in the first place. People couldn’t pay their mortgage beacuse gas went through the roof. Depending on who you listen to, there are between 100 and 300 million barrels of oil just sitting in off-shore tankers being stored! There is a glut of oil and we are being raped. Refiners are operating at only 80-85% capacity – another type of market manipulation. Speculation = Greed. Oil needs to be taken off the of commodities market. The market has lost all touch with reality. Demand is down, supply is up and the retail price of gas has DOUBLED since December(at least here in Ohio, from 1.39-2.85).
Goldman what the heck do they know? Their last prediction was a bust. They do this just to grab headlines for free advertising.
Oil prices are rising because of inflation. Inflation is caused by the Fed printing money. It was done while Bush was President, and now Obama’s spending and money-printing is going to make Bush pale by comparison.
SOS: Stop Obama’s Spending!
(Note: I was against Bush’s spending too, but Obama’s in the chair now, so he gets the flak.)
It would logically have a negative impact on the economy. The price at the pump is just a one increase on the consumer. You cannot ignore the impact on food prices, plastics, shipping, transportation and and a host of other products and services. All of these factors hit the wallets of consumers and many for a long run. I’m sure most people can still find fuel surcharges from outrageous oil on some of their invoices.
These prices are so unreal. I can’t afford to pay more money to the oil companys. They are killing the country again for pure profit. WHERE IS THE GOVERNMENT NOW???
Damn Right It Will! Especially when most educated consumers know that it is just a game waged by the greedy commodity brokers!! If there is to be ANY “federalization” by the PA Ave cronnies oil should be the focus. If not MANY biz fatalities in already mortally wounded industries…aka boating, travel and motorized recreation will go belly-up.
Wasn’t it Goldman that predicted that oil would hit $200 a barrel by the end of last year? How did that work out? Yet now they predict prices and oil goes up because of speculation. Also with the glut of oil still in storage why are gas prices rising daily? Isn’t it still lower cost crude that is still in the pipeline?
Oil prices rising are not a good thing for this economy. Gas prices have hit $3 a gallon here in Sacramento yet this state is laying off and furloughing state government workers as well as proposing an additional pay cut and private industry is cutting jobs every day. I have personally cut my driving to the minimum I need to get by with. Higher gas prices will undermine every attempt for this city to get back on it’s feet. All industries will feel the pain as consumers cannot afford anything but necessities as they have to save to pay the rising prices at the gas pump
Yes, I believe it will hamper a recovery. I also think that it is a one of the main factors of the mess we are in now. When people have to put more money in their gas tanks just to get to work, it makes it hard to have money to do anything else.
June, 2008, oil was $160 barrel and regular gas was $4.00+ per gallon. June, 2009, oil is $70/barrel and regular gas is $3.00/gallon. Oil is less than half of what it was. Some 85% of the pump price is determined by the price of oil, so why isn’t gas less than half what it was 12 months ago with oil at less than half of what it was 12 months ago? There is no shortage. In fact there is a surplus. Commodity speculators and oil companies, through pure unadulterated greed, are driving up the price of oil and gasoline to return to their obscene profits even if it means the collapse of the economic recovery. Where is Congress or the Senate when you need them? At resorts owned by the oil companies?
The new economic paradigm “only oil producing countries and oil related industries are allowed to earn a profit.” When wil oil producing countries, Exxon/Mobil, and refiners realize that the glory days are over?
I am in the candy business and I cannot tell my customers “I am okay with $5.00 pieces of chocolate because I obtain a $4.50 margin and you will pay it and you will like it.” However, a Saudi King can tell us that he is okay with us (poor slobs) paying $85 / barrell…
Now doubt about it, $70 barrels of oil(or more – who knows where it all ends) will destroy the economic recovery. I started cutting my purchases when gasoline crossed $2.00 / gallon.
Chris
This is completely driven by greed, just like it was last year. There was no justification then and there is no justification now. OPEC wants at least $70 a barrel to balance their national budgets, but who cares what Saudi Arabia needs when a household budget can’t afford to buy food or necessities because of higher oil and gas prices? Greedy investors only what to make a buck off everyone and don’t care who they hurt to do it.
Congress and this president person we have should open the windows on their stomachs so they can see what is going on around them…
Higher oil is a huge issue and problem for the entire World Economy at this time. Yes, it is an even more dramatic issue in the United States of America. Just listen to T.Boone Pickens and others that say our debit to the Oil CARTEL in the middle east will be are undoing in the future.
President Obama is working to free up scientists in this country working on alternatives to fossil fuel energy that drive out autos, trucks and other forms of transportation.
The sooner we get to all electric/ plug-in electrical vehicles or hydrogen fuel cell cars the better. Then the Oil Cartels of the World will lose there strangle hold on our country.
Thank you Toyota, Honda, Mercedes-Benz and now (late entry FORD Motor Company) for your continuing research and building cars that are fuel efficient and not just building cars that are profitable.
Henry Ford paid his workers a wage that would allow them to buy the cars they produced. It was true then and it is true today.
The Iceman from Northern California
Excellent post Phil! You hit the bullseye…I mean you nailed it! Higher gas prices will all but destroy any sustained economic recovery.
So who is making money on oil speculation? Well, the top 5 hedge-fund managers in 2007 took home a combined $12 billion dollars. To put in perspective just how much that is, the combined income of the top 5 for ONE HOUR, is $1,369,863.00
Have a nice day.
Thats odd when oil was $140.00 it had nothing to do with the economic downturn now $70.00 is the end of the recovery? What recovery? Nothing has gotten better, just worsre a a slightly slower rate. This all sounds like an excuse for goofy recovery plan that is slowly revealing itself as one of the most disasterous mistakes in US history.
Of course the higher oil prices will kill the economy. It is what I believe killed it to begin with. Wages were not being updated and people were having to spend more and more of each of their dollars on energy costs to sustain their lives. When we are spending .30 cents more out of every dollar to heat/cool our homes, drive to work, etc, that is .30cents less to spend elsewhere. It is not rocket science, and it is amazing that none of our “leaders” will openly blame energy costs for the economy collapse. In CT this past winter, we had a choice, heat our house with heating oil at the tune of 900.00 bucks a month, or electricity at 900.00 a month. It isnt hard to figure this out, but thus far, it is cast aside. The more we pay for energy, the less we can buy other things, oh like cars and what have you.
The is no recovery, nascent or otherwise. Oil and gas prices are higher because it is clear that the Obama Administration will do just as little as GW to punish the oil companies and refiners for gouging. Expect yet another round of record profit announcements and a bunch of hot air from Congressional Dems. I suggest CNN cease referring to a “recovery” until there is some actual positive economic news, such as growing employment or GDP.
Fuel and Gas prices are the root of our economy. If gas goes over 3 dollars a gallon all goods and services are effected. We need gas price stablization laws to protect Americans from Milk, eggs and diapers going sky high again!
Higher oil prices are bad for the recovering economy. It takes money out of the consumers pocketHigher oil prices are bad for the recovering economy. It takes money out of the consumer’s pockets. It also will have a negative sociological effect on consumers as gas prices start approaching $3 a gallon and higher. I don’t think there is any doubt that $4 a gallon gas is what pushed this economy over the edge. The answer is that oil should be taken down as a commodity. The government should control the import of oil thereby eliminating the speculation.
Yes higher oil prices will hamper what ever growth we are anticipating. We are at a 9.4% jobless rate how are people expected to pay for these higher prices. If they get a job will they be able to afford higher fuel prices? Money out of peoples pocket is money not put back into our lagging economy. The only ones that benefit from higher oil prices are the oil barrons and oil companies in the US.
You bet it’s going to kill the recovery! Greed drives everything, summer is here and Wall Street will take full advantage of us consumers.
I can not say for certain that it will hinder the economic recovery. I still think that investors have way too much power on Wall Street. The abuse of this power is the reason for the rise in oil prices. We have a surplus of oil currently. It simply does not add up. Just because some investment report predicts prices rising everyone decides to purchase oil. Oil is now ignoring all other economic factors. Someone needs to stop this.
I cut back on everything at 50 and at 70 I don’t spend for anything except necessities. Things to live.
high oil prices are not a good thing! there goes Goldman again predicting $85 prices, i am sure they own long oil contracts they did the same thing a few year’s ago when oil had it’s nice run up!
Who in their right/ mind believes higher oil prices signal an economic recovery? If anything, higher prices at the pump with the threat of still higher prices as the summer continues will destroy whatever consumer confidence there is and crush any hope of increased consumer spending by those who are still employed. While the actual dollars spent on energy may rise, true consumer spending will not, for things like refrigerators and cars, and houses. Our economy is not recovering, and Wall Street is back to doing what they do best: making money for themselves at our expense. Our lesson from the last two years has already been forgotten. Gordon Gecko was wrong: Greed is NOT good.
The Oil Companies and OPEC didn’t learn their lesson last year…Rising gas prices will kill this economy. In Chicago, taxi fares just went up due to an automatic gas-related price increase. Already cash-strapped consumers are just trying to make ends meet while trying to adjust to wide-spread salary cuts and layoffs.
Businesses are cutting budgets while trying to preserve profitablilty and these price increases is will just make their job impossible.
The fuel price increases, completely un-realted to demand, are a total sham and will destroy any chance of recovery!
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oil is not rising cause of economy recovering it is not recovering oil is up cause the thieves stored it off shore in tankers so land storage tanks are empting then government says oh supply is down prices go up then tankers unload millions more in profit