Biden’s Gas Crisis

[Kobe Bryant]

[CountValentine]

We knew this was coming.
https://www.msn.com/en-us/money/markets/biden-demands-faster-drop-in-gas-prices-as-oil-tumbles/ar-AAV8jy9?ocid=uxbndlbing&msclkid=5499e50ba53611ec95240da978dbabdb

[CountValentine]

Oil down 28% and gas prices down a penny or two.
Probably because of Keystone XL or Bidens policies!!!
When are people going to wake up?

[avromie7]

Oil down 28% and gas prices down a penny or two.
Probably because of Keystone XL or Bidens policies!!!
When are people going to wake up?

Gas is down more than a couple of pennies, but not nearly as much as oil is down. This is the way the market moves, gas prices can move up quickly, but the move down is much slower. I think it's because of all the expensive oil stuck in the supply chain. The gasoline coming out of the refineries is still made from oil that they paid top dollar for.

[yeshivabucher]

Gas is down more than a couple of pennies, but not nearly as much as oil is down. This is the way the market moves, gas prices can move up quickly, but the move down is much slower. I think it's because of all the expensive oil stuck in the supply chain. The gasoline coming out of the refineries is still made from oil that they paid top dollar for.

it wasnt cheaper when the price was going up and the cheap oil was in the supply chain

[CountValentine]

Gas is down more than a couple of pennies, but not nearly as much as oil is down. This is the way the market moves, gas prices can move up quickly, but the move down is much slower. I think it's because of all the expensive oil stuck in the supply chain. The gasoline coming out of the refineries is still made from oil that they paid top dollar for.

100% partisan BS!!!

it wasnt cheaper when the price was going up and the cheap oil was in the supply chain

...and we have a winner!

[avromie7]

it wasnt cheaper when the price was going up and the cheap oil was in the supply chain

I think we discussed this in the hyperinflation thread regarding supermarket pricing.

100% partisan BS!!!...and we have a winner!

Rude.

[CountValentine]

I think we discussed this in the hyperinflation thread regarding supermarket pricing.
 Rude.

Yes it was rude and it was discussed. I believe it was @aygart that explained it is priced at todays price. You don't get to say when it goes up it is todays price but when it don't go down it isn't todays price. The frustration with the one-sidedness provoked the rude remark. Still should not have made it and do apologize.

[aygart]

Yes it was rude and it was discussed. I believe it was @aygart that explained it is priced at todays price. You don't get to say when it goes up it is todays price but when it don't go down it isn't todays price. The frustration with the one-sidedness provoked the rude remark. Still should not have made it and do apologize.

Correct. Pricing at today's price should mean that it goes down with it too. The real answer is that gasoline in cars is not the same product as crude and is its own commodity trading independent of crude. There are factors in crude not present in the refined products and there are factors in the refined products not in crude. I didn't check the numbers, but I would not be surprised if gasoline did not rise as much as crude.

[CountValentine]

Correct. Pricing at today's price should mean that it goes down with it too. The real answer is that gasoline in cars is not the same product as crude and is its own commodity trading independent of crude. There are factors in crude not present in the refined products and there are factors in the refined products not in crude. I didn't check the numbers, but I would not be surprised if gasoline did not rise as much as crude.

Over a $1 by me. Down .15-.20 as of today from the high.

[avromie7]

Correct. Pricing at today's price should mean that it goes down with it too. The real answer is that gasoline in cars is not the same product as crude and is its own commodity trading independent of crude. There are factors in crude not present in the refined products and there are factors in the refined products not in crude. I didn't check the numbers, but I would not be surprised if gasoline did not rise as much as crude.

NJ gas prices over the past month had a low of $3.59 and a high of $4.38, that's a spread of $0.79. Multiplied by 42 gallons in a barrel you get $33.18. The price of WTI crude oil over the past month had a low of $90.04 and a high of $123.70, that's a spread of $33.66. Almost exact.

[CountValentine]

and a high of $4.38,

Thats it?

[aygart]

NJ gas prices over the past month had a low of $3.59 and a high of $4.38, that's a spread of $0.79. Multiplied by 42 gallons in a barrel you get $33.18. The price of WTI crude oil over the past month had a low of $90.04 and a high of $123.70, that's a spread of $33.66. Almost exact.

How many gallons of gasoline are produced?

[avromie7]

How many gallons of gasoline are produced?

FWIU, a single barrel of oil produces many different products. While only 19-20 gallons of gasoline are produced, it's not like the remainder goes to waste. The increase is spread among all the different products.

[aygart]

FWIU, a single barrel of oil produces many different products. While only 19-20 gallons of gasoline are produced, it's not like the remainder goes to waste. The increase is spread among all the different products.

Each one traded on its own with its own supply and demand dynamics. Some are more volatile than others.

[yelped]

Thats it?

I saw 4.69-4.79 in most places last week, and one $4.89. Today more are down to $4.19-$4.39.

[CountValentine]

I saw 4.69-4.79 in most places last week, and one $4.89. Today more are down to $4.19-$4.39.

That's a pretty good drop.

[A3]

That's a pretty good drop.

Glad Putin finally came to his senses and dropped our prices.

[CountValentine]

Glad Putin finally came to his senses and dropped our prices.

Only fair to give him credit for going down since he is the reason they went up. 

[aygart]

Only fair to give him credit for going down since he is the reason they went up. 

Then we need to figure out the rest of the move up from before February.