Gas prices continue to fall
Copyright © 1998 Nando Media
Copyright © 1998 The Associated Press
CAMARILLO, Calif. (November 23, 1998 02:04 a.m.
EST nandotimes.com) -- The nation's gasoline
prices have dropped more than a penny per gallon
during the past two weeks, according to an industry
analyst.
The average price of gas, including all grades and
taxes, was $1.073 per gallon on Friday, down 1.28
cents from Nov. 6, according to the Lundberg Survey
of 10,000 stations nationwide released Sunday.
nando.net
Gas prices have been falling again, I think reflecting on the drop of crude which has dropped about $3.50 a barrel in the past several weeks.
oilworld.com
Then the Energy Department's Energy Information Agency came out with a radically different forecast from last year's and I thought, that is all we need, we can't catch a break.
With the economic downturn in many Asian nations and lower expected growth in
world oil demand, world oil prices are expected to remain low over the next several years—as
much as about $5.50 a barrel lower than last year's projections in 2000.
eia.doe.gov
After thinking about that, I then decided that since that was just government at work for us, I would wait to see what Noesis would have to say this week. I wanted to see whether those guys parrot the government's party line, or do they go out and gather their own information. Well, it turns out that they haven't budged a penny from what they have been saying all along. They say this drop in prices simply reflects the traditional draw down on oil stocks which the refiners have delayed this year for some reason.
oil-gasoline.com
Keep in mind that the Noesis model depends on OPEC holding on to their discipline and keeping pumping at depressed levels.
If I was flush with a lot of cash to burn on something dumb, I might be tempted by oil futures. But that isn't something that interests me as any kind of investment. For one thing, it depends too much on OPEC and Noesis.
oilworld.com
Although the price of diesel has a direct effect on the profitability of GRNO's Charleston plant, the thing doesn't run anyway so prices don't matter, although if diesel was 75 cents a gallon it should be a lot easier to get funding to start it up. Fortunately, the strong dollar makes oil easier for us Americans to buy on the world market while foreigners like Chinese with weak currencies must still pay a higher price. China is also trying to prop up their domestic energy producing companies and using price supports to do it, including active control of smuggling. The Chinese armed forces are required to divest themselves of businesses because of the temptation to smuggle.
Charles |
