Maine Classifieds

GasBuddy News Article

votes

Glut of oil could push gasoline prices back down below $2 a

LA Times -- Energy experts say oil supply is outstripping demand. Eventually suppliers will tire of paying to store all of the surplus oil and flood the market, they predict.

A year after oil hit a record closing price, the commodity's price is way down -- and may fall significantly further as supply continues to dwarf demand.

Downward pressure on oil prices is so great that crude could trade for as little as $20 a barrel by the end of the year -- less than a third of what it traded for this week and an 86% drop from its peak last year, analysts said.

Read the Full Article

Submitted Jul 04, 2009 By: tampatim

Back To News

Category: Daily News Article Discussions > Topics	Add to favorite topics

Author	Topic: Glut of oil could push gasoline prices back down below $2 a	Topic is locked Back to Topics

REPLIES (newest first)

First

Next Last

kelsielee Champion Author Atlanta Posts:3,389 Points:672,025 Joined:Sep 2008	Message Posted: Jul 5, 2009 10:18:26 AM Ignore kelsielee Report Abuse Fun article to read - and wish that its prediction would come true. I hesitate to believe that yet, though. I agree with the person from Alaron Trading who felt that we need to see what happens in the next few weeks before believing that a price drop is in our future.
Terrapinone Champion Author Baltimore Posts:3,126 Points:1,525,795 Joined:May 2004	Message Posted: Jul 5, 2009 9:20:34 AM Ignore Terrapinone Report Abuse It's all a guess on what is really going to happen -- I think that prices will rise.
joel27nc Champion Author Raleigh Posts:8,152 Points:1,391,370 Joined:Mar 2008	Message Posted: Jul 5, 2009 2:27:20 AM Ignore joel27nc Report Abuse Here we have it folks!
alterman156 Champion Author New York Posts:5,080 Points:1,089,025 Joined:Dec 2008	Message Posted: Jul 4, 2009 10:51:51 PM Ignore alterman156 Report Abuse If oil goes down to $20 per barrel, gasoline might drop to less than $1 per gallon. However, don't waste it by driving around in a big SUV or a late 1960s - mid 1970s gas guzzler.
milespergallon Champion Author Illinois Posts:7,488 Points:1,479,065 Joined:Feb 2007	Message Posted: Jul 4, 2009 8:47:29 PM Ignore milespergallon Report Abuse This is G O O D news. Still need to CONSERVE even more. Can not let this go unnoticed. WE can not give in until they go down!
GGW Veteran Author Austin Posts:329 Points:621,980 Joined:Dec 2005	Message Posted: Jul 4, 2009 8:38:46 PM Ignore GGW Report Abuse I t would be great to see pump prices below $2.00. Don't hold your breath! If crude prices get too low it will slow if not stop the development of alternative sources of energy and also the exploration and drilling for new supplies.
2granny Champion Author Michigan Posts:7,145 Points:998,425 Joined:Apr 2009	Message Posted: Jul 4, 2009 8:17:51 PM Ignore 2granny Report Abuse I'll believe it when I see it.
the_peddler Champion Author Detroit Posts:1,304 Points:351,670 Joined:Sep 2008	Message Posted: Jul 4, 2009 8:11:25 PM Ignore the_peddler Report Abuse sounds good. wouldn't it be nice if gas prices went down with oil prices.
paulydel Champion Author Delaware Posts:6,778 Points:686,970 Joined:Jan 2008	Message Posted: Jul 4, 2009 8:00:28 PM Ignore paulydel Report Abuse The oil companies are the ones causing self inflation of oil prices to gain false profits.
Pede Champion Author New Jersey Posts:4,157 Points:631,015 Joined:Apr 2007	Message Posted: Jul 4, 2009 8:00:21 PM Ignore Pede Report Abuse Oil Prices back to Where they belong!!!!!!
bosspark All-Star Author Boston Posts:893 Points:337,960 Joined:Aug 2008	Message Posted: Jul 4, 2009 7:58:45 PM Ignore bosspark Report Abuse not a bad thing
JustjoeWI Veteran Author Milwaukee Posts:400 Points:275,315 Joined:Sep 2008	Message Posted: Jul 4, 2009 7:55:10 PM Ignore JustjoeWI Report Abuse I sure do hope so
aarrrt Champion Author San Diego Posts:5,417 Points:1,210,215 Joined:May 2008	Message Posted: Jul 4, 2009 7:54:21 PM Ignore aarrrt Report Abuse Wouldn't it be nice.
PokerAce Champion Author Baton Rouge Posts:7,470 Points:1,453,505 Joined:Jan 2008	Message Posted: Jul 4, 2009 7:53:22 PM Ignore PokerAce Report Abuse about freaking time .... they have been manipulating the price like an expert puppetmaster .... can't wait for that oil bubble to burst BIG TIME !!!!!!!
hybridaholic Champion Author Appleton Posts:5,981 Points:1,092,465 Joined:Dec 2008	Message Posted: Jul 4, 2009 7:52:26 PM Ignore hybridaholic Report Abuse They need to get rid of the glut before they can go for $4 a gallon again. They will dump it on the market till they can control the prices once again.
Kato51 Champion Author Atlanta Posts:5,327 Points:1,770,375 Joined:Jul 2005	Message Posted: Jul 4, 2009 7:49:05 PM Ignore Kato51 Report Abuse Lets go for it. I would love to see gas at $1.50 or there about.
Dale Jr. Champion Author Illinois Posts:13,868 Points:2,770,050 Joined:May 2004	Message Posted: Jul 4, 2009 7:48:18 PM Ignore Dale Jr. Report Abuse I hope this happens soon.
DeHavilland Champion Author Toronto Posts:3,543 Points:1,443,435 Joined:Jun 2007	Message Posted: Jul 4, 2009 7:44:37 PM Ignore DeHavilland Report Abuse Maybe so, but refineries can be shut down to keep the pump price high.
Mr.Dirt Champion Author Albany Posts:6,757 Points:2,165,210 Joined:Mar 2004	Message Posted: Jul 4, 2009 7:44:17 PM Ignore Mr.Dirt Report Abuse if they were not so greedy then it might not drop and go so high all the time
Bonanza Champion Author Boston Posts:9,282 Points:2,084,005 Joined:Jun 2004	Message Posted: Jul 4, 2009 7:43:57 PM Ignore Bonanza Report Abuse I hope it does. We need the relief.
mach1lives Veteran Author Riverside Posts:254 Points:879,035 Joined:Jun 2006	Message Posted: Jul 4, 2009 7:42:53 PM Ignore mach1lives Report Abuse Sounds good to me, let's see if it actually happens.
hartman Champion Author Lansing Posts:1,128 Points:520,330 Joined:Jul 2007	Message Posted: Jul 4, 2009 7:31:54 PM Ignore hartman Report Abuse sounds good but thats what the so called experts are saying so it probably wont happen like they say it will [Edited by: hartman at 7/4/2009 7:32:23 PM EST]
camel1 Champion Author Minnesota Posts:6,040 Points:1,814,465 Joined:Jul 2006	Message Posted: Jul 4, 2009 7:30:46 PM Ignore camel1 Report Abuse Could be nice but it will not happen
mike911 Champion Author Detroit Posts:6,304 Points:1,690,055 Joined:Jan 2007	Message Posted: Jul 4, 2009 7:30:11 PM Ignore mike911 Report Abuse sounds good to me!
mmene Champion Author Houston Posts:4,347 Points:938,970 Joined:May 2008	Message Posted: Jul 4, 2009 7:22:48 PM Ignore mmene Report Abuse That is exactly what they are saying - we will see lower prices. People don't seem to understand that speculators can drive prices higher if they bet right and lower if they bet wrong. Speculators have incorrectly predicted an economic recovery and bet on gas prices are wrong and their incorrect bet will have them taking losses and depressing gas prices. Another casualty of the current inept financial policies, but one that is to our benefit.
MUSTANGSRUS Champion Author Ontario Posts:7,373 Points:1,506,045 Joined:Sep 2006	Message Posted: Jul 4, 2009 7:14:20 PM Ignore MUSTANGSRUS Report Abuse Cool. But will we see any lower prices?
mustangmcc Rookie Author Orange County Posts:1 Points:4,345 Joined:Apr 2008	Message Posted: Jul 4, 2009 7:04:27 PM Ignore mustangmcc Report Abuse I agree that we'll have to see it first
FordF2502001 Champion Author Mississippi Posts:5,673 Points:1,153,745 Joined:Sep 2008	Message Posted: Jul 4, 2009 6:12:32 PM Ignore FordF2502001 Report Abuse will have to see it first
ChiefDrake All-Star Author Dallas Posts:673 Points:226,290 Joined:Aug 2008	Message Posted: Jul 4, 2009 5:00:41 PM Ignore ChiefDrake Report Abuse We as Americans deserve this!!!!
Tucker1961 Champion Author Seattle Posts:1,497 Points:230,260 Joined:Jun 2009	Message Posted: Jul 4, 2009 4:03:05 PM Ignore Tucker1961 Report Abuse Good, something is only worth what someone will pay for it today. Not much
RoadKing95 Champion Author San Jose Posts:17,815 Points:3,136,240 Joined:May 2003	Message Posted: Jul 4, 2009 3:46:29 PM Ignore RoadKing95 Report Abuse MalibuGordie has a good point. >>$20 a barrel ould be too low, I think. All exploration would stop, then we'd be sitting ducks for the next "crisis" << We need to continue conserving so that they have to continue storing that oil hoping for a rise. It would be good if we could slowly buy up some of the oil as the prices fall to put into our reserves. Seems to me that with the last administration they would release a little to let the citizens think they were helping us, but then turn around and buy it back at peak prices to help their big oil buddys pad their bank accounts.
hibsaw Champion Author Mississippi Posts:5,666 Points:1,213,990 Joined:Feb 2008	Message Posted: Jul 4, 2009 3:42:38 PM Ignore hibsaw Report Abuse We need to hit a happy medium somewhere. The last thing we need right now is to stop exploration for oil and natural gas.
RoadKing95 Champion Author San Jose Posts:17,815 Points:3,136,240 Joined:May 2003	Message Posted: Jul 4, 2009 3:37:50 PM Ignore RoadKing95 Report Abuse Seems DVGas has his own agenda.
Woodbankgasguy Champion Author Alabama Posts:2,309 Points:121,960 Joined:Nov 2008	Message Posted: Jul 4, 2009 3:27:07 PM Ignore Woodbankgasguy Report Abuse DVGas in Seattle wrote <The "price is way down" is not correct...it is still high historically.> since April 2007 the USA average gas price has been higher than it is today with the exception of the 6 months Nov 08-May 09. So in 21 of the past 27 months the average price was higher than it is today. The last time that the price on July 4th was lower than today's average is July 4th, 2005.
Minster Champion Author Wichita Posts:2,236 Points:841,965 Joined:Oct 2007	Message Posted: Jul 4, 2009 3:14:15 PM Ignore Minster Report Abuse sounds like a fairy tail. will have to see it to belive it.
MalibuGordie Champion Author California Posts:5,078 Points:1,052,310 Joined:Sep 2008	Message Posted: Jul 4, 2009 3:02:31 PM Ignore MalibuGordie Report Abuse $20 a barrel ould be too low, I think. All exploration would stop, then we'd be sitting ducks for the next "crisis"
Speedy1W1 All-Star Author Madison Posts:578 Points:150,740 Joined:Mar 2009	Message Posted: Jul 4, 2009 3:02:20 PM Ignore Speedy1W1 Report Abuse WOULDN'T IT BE NICE.
REKEY Champion Author South Carolina Posts:6,201 Points:1,232,505 Joined:May 2008	Message Posted: Jul 4, 2009 3:01:37 PM Ignore REKEY Report Abuse LIARS! These writers do not know any more than I do about predicting price of gasoline. Besides, you know OPEC will cut demand to keep prices up or Exxon will shutdown a refinery for repairs or a hurricane will hit and a pipeline will be in danger. ETC, ETC, ETC!
mooneagle Champion Author Oklahoma City Posts:7,087 Points:1,292,560 Joined:Jun 2008	Message Posted: Jul 4, 2009 2:53:42 PM Ignore mooneagle Report Abuse every penny helps the working class
ItisAJeepThing Champion Author Tucson Posts:15,379 Points:1,683,585 Joined:Oct 2006	Message Posted: Jul 4, 2009 2:51:00 PM Ignore ItisAJeepThing Report Abuse Gasoline prices have declined lately.
eagleeye2008 Champion Author Wisconsin Posts:6,634 Points:1,270,415 Joined:Jul 2008	Message Posted: Jul 4, 2009 2:49:17 PM Ignore eagleeye2008 Report Abuse WHAT IS THE PROPER WAY TO SPELL,,,,,"GREED,GREED,GREED" !!!!
altonb1 Champion Author Pennsylvania Posts:6,890 Points:1,053,570 Joined:Jul 2005	Message Posted: Jul 4, 2009 2:42:23 PM Ignore altonb1 Report Abuse Oil is in abundance and should have never passed $2/gallon in the 1st place. Everyone saying "at least it isn't $4..." has been brain-washed into accepting inflated gas prices.
roadkillGA Champion Author Georgia Posts:3,382 Points:485,950 Joined:Jun 2008	Message Posted: Jul 4, 2009 2:41:43 PM Ignore roadkillGA Report Abuse Dump OPEC and use our resources!!!!
Trogg Rookie Author Spokane Posts:57 Points:366,490 Joined:Jan 2007	Message Posted: Jul 4, 2009 2:41:26 PM Ignore Trogg Report Abuse And pigs fly too !! The oil companies aren't going to let the prices go down that far. Watch them drop to around 2.50 and then climb back to just under 3.00 a gal.
Retowered Champion Author Colorado Posts:6,203 Points:2,217,460 Joined:May 2004	Message Posted: Jul 4, 2009 2:41:00 PM Ignore Retowered Report Abuse $20. dollars a barrel that would be nice. But the pump price would still be $2.79.9 greed and more GREED.
srchr Champion Author San Jose Posts:4,869 Points:1,160,825 Joined:Apr 2008	Message Posted: Jul 4, 2009 2:40:46 PM Ignore srchr Report Abuse I thought they said we were going to run out of oil!
skippypa Champion Author Hawaii Posts:6,095 Points:1,272,955 Joined:Jun 2008	Message Posted: Jul 4, 2009 2:38:49 PM Ignore skippypa Report Abuse That would be nice to see. Keep the prices high and the consumer will conserve more and more leading to a surplus in oil inventories.
micpie Veteran Author Oregon Posts:465 Points:117,115 Joined:Jun 2009	Message Posted: Jul 4, 2009 2:36:06 PM Ignore micpie Report Abuse On the other hand, I am happy where oil/gas prices are today compared to last year at this time. Fuel was around $ 4.25/gallon.
REVLAW Champion Author San Antonio Posts:8,022 Points:1,539,190 Joined:Jul 2007	Message Posted: Jul 4, 2009 2:34:43 PM Ignore REVLAW Report Abuse Here we have it folks! Let the trumpets sound heralding in "another opinion".
micpie Veteran Author Oregon Posts:465 Points:117,115 Joined:Jun 2009	Message Posted: Jul 4, 2009 2:34:31 PM Ignore micpie Report Abuse This story out of the LA Times is bogus! $ 20/barrel by the end of the year is not possible w/ speculators marking their terrritory w/ buy crude one day and sell it off the next.