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is gas gonna come down now?

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justincredible's avatar

justincredible

Nick Mangold

32,056 posts
May 6, 2011 9:57 AM
LJ;761262 wrote:Everywhere around me has dropped around $.10 at most.

I mean, what do you want them to do, take a giant loss on gas they paid for?

They'll jack the price up on gas they've already paid for. It's only fair. :)
May 6, 2011 9:57am
Websurfinbird's avatar

Websurfinbird

Chosen Person

656 posts
May 6, 2011 11:34 AM
Interestingly this also gave a boost to airline stocks

http://www.google.com/url?sa=t&source=web&cd=1&ved=0CFoQqQIwAA&url=http%3A%2F%2Fblogs.wsj.com%2Fmarketbeat%2F2011%2F05%2F06%2Flower-oil-price-fuels-airline-stocks%2F&ei=CxTETciRGMGa0QGY9bS2CA&usg=AFQjCNEuwiiQaBAtt0jVwmmUh5UsscMhLA

I'm hoping it will also lead to a drop in the cost of flying. Not knowing anything about the price of oil falling, I had noticed that tickets on AA to Argentina (where BigAppleBuckeye and I are planning to go this November) had dropped by around $200 on Thursday. They went up about $100 today, but still are a lot less than what they have been for the past month or so.
May 6, 2011 11:34am
derek bomar's avatar

derek bomar

Senior Member

3,722 posts
May 6, 2011 12:19 PM
justincredible;761277 wrote:They'll jack the price up on gas they've already paid for. It's only fair. :)

this lol
May 6, 2011 12:19pm
F

fan_from_texas

Senior Member

2,693 posts
May 6, 2011 1:44 PM
se-alum;761273 wrote:Stronger commodity exchange regulations are what we need. Wall Street controls gas prices, and until they are forced to change the way they do things, this problem will continue.

How would you like the regulation to change? The CFTC already regulates commodities futures pretty heavily.

Awhile back, futures were trading at $99.90, and one trader wanted to be the first to buy at $100. He bought up all the outstanding $99.90 and then one $100 to be the first. He was fined $14 MILLION for doing something that didn't reflect the underlying fundamentals, even though it was just a 10 cent price swing.

I don't think most people realize how heavily regulated much of this stuff already is.
May 6, 2011 1:44pm
IggyPride00's avatar

IggyPride00

Senior Member

6,482 posts
May 6, 2011 5:01 PM
How would you like the regulation to change?
Significantly increase margin requirements. To speculate in equities you have to post 50%, in commodities it is a fraction of that.

Doing so would cut most of this speculation off at the knees. Those with a legitimate commercial interest in speculating commodities would still do so anyway regardless of the margin requirement, but those hedge funds and such that are just trying to make a quick buck on momentum would think twice or avoid all together.

Better yet we could go back to the way it used to be and require that anyone wanting to speculate in commodities had to have a vested commercial interest in doing so, I.E taking delivery at the end of the month. Most of these ETF's do nothing more than create artificial demand that pumps up prices creating the illusion of demand because they have to roll over their contracts monthly because they don't ever take delivery.

Kind of like the mortgage situation from the housing bubble days. There would not have been nearly the amount of froth there was if lenders had to retain a slight piece of each mortgage they wrote instead of being able to securitize and right off the entire thing without consideration to whether it was prudent or not.

Having more financial "skin" in the game so to speak often leads to better and more prudent decision making.
May 6, 2011 5:01pm
W

WebFire

Go Bucks!

14,779 posts
May 6, 2011 8:51 PM
LJ;761262 wrote:Everywhere around me has dropped around $.10 at most.

I mean, what do you want them to do, take a giant loss on gas they paid for?

Bullshit meter is pegged! You tell us the same thing when gas goes up. That they have to raise prices for future purchase. So do they set prices on what's in the tank, or future price? Make up your mind!
May 6, 2011 8:51pm
sleeper's avatar

sleeper

Legend

27,879 posts
May 6, 2011 9:09 PM
WebFire;761656 wrote:Bullshit meter is pegged! You tell us the same thing when gas goes up. That they have to raise prices for future purchase. So do they set prices on what's in the tank, or future price? Make up your mind!

It's a combination of both. If you think you can offer a lower price to the consumer, then start your own oil and gas company and take all their business.
May 6, 2011 9:09pm
W

WebFire

Go Bucks!

14,779 posts
May 6, 2011 9:22 PM
sleeper;761661 wrote:It's a combination of both. If you think you can offer a lower price to the consumer, then start your own oil and gas company and take all their business.

You have such a simple mind.
May 6, 2011 9:22pm
sleeper's avatar

sleeper

Legend

27,879 posts
May 6, 2011 11:51 PM
WebFire;761663 wrote:You have such a simple mind.

....LOL?

Bathe in ignorance for all I care.
May 6, 2011 11:51pm
W

WebFire

Go Bucks!

14,779 posts
May 7, 2011 9:09 AM
sleeper;761699 wrote:....LOL?

Bathe in ignorance for all I care.

You were the kid in school that always had the comeback "I know you are, but what am I?"
May 7, 2011 9:09am
sleeper's avatar

sleeper

Legend

27,879 posts
May 7, 2011 9:16 AM
WebFire;761777 wrote:You were the kid in school that always had the comeback "I know you are, but what am I?"

And you must of been one of the special ones. LOL
May 7, 2011 9:16am
W

WebFire

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14,779 posts
May 7, 2011 10:03 AM
sleeper;761781 wrote:And you must of been one of the special ones. LOL

Rest my case.
May 7, 2011 10:03am
dwccrew's avatar

dwccrew

Not Banned

7,817 posts
May 7, 2011 10:18 AM
coyotes22;761275 wrote:LOL. OK!!

As long as the Dems have their heads up the EPA's ass, gas will continue to rise.

I think Majorspark was being sarcastic.
May 7, 2011 10:18am
LJ's avatar

LJ

Senior Member

16,351 posts
May 7, 2011 1:53 PM
WebFire;761656 wrote:Bullshit meter is pegged! You tell us the same thing when gas goes up. That they have to raise prices for future purchase. So do they set prices on what's in the tank, or future price? Make up your mind!


I've explained it all I can, you refuse to believe it and keep calling "bullshit". If you want to continue to be ignorant on how these things work, it's not really my problem.
May 7, 2011 1:53pm
W

WebFire

Go Bucks!

14,779 posts
May 7, 2011 3:12 PM
LJ;761915 wrote:I've explained it all I can, you refuse to believe it and keep calling "bullshit". If you want to continue to be ignorant on how these things work, it's not really my problem.

You explained that gas prices go up immediately because they have to buy future gas. Now you are saying they don't lower the price because they paid for the gas in the ground. So if that is how it works, that is a ripoff.

Care to explain further?
May 7, 2011 3:12pm
LJ's avatar

LJ

Senior Member

16,351 posts
May 7, 2011 3:16 PM
WebFire;761943 wrote:You explained that gas prices go up immediately because they have to buy future gas. Now you are saying they don't lower the price because they paid for the gas in the ground. So if that is how it works, that is a ripoff.

Care to explain further?
How is a gas station finally making some money a ripoff? You realize they typically break even to lose money on gas right?

I've already explained this before as well.
May 7, 2011 3:16pm
W

WebFire

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14,779 posts
May 7, 2011 3:26 PM
LJ;761947 wrote:How is a gas station finally making some money a ripoff? You realize they typically break even to lose money on gas right?

I've already explained this before as well.

It's one thing to make money. But giving us a reason why a price goes up when it doesn't work in reverse doesn't really fly, does it?

If gas stations aren't making money, why do they open one on every corner? They seem to be doing fine.
May 7, 2011 3:26pm
LJ's avatar

LJ

Senior Member

16,351 posts
May 7, 2011 3:33 PM
WebFire;761961 wrote:It's one thing to make money. But giving us a reason why a price goes up when it doesn't work in reverse doesn't really fly, does it?

If gas stations aren't making money, why do they open one on every corner? They seem to be doing fine.

They make money from store sales. Gas is a loss leader.
May 7, 2011 3:33pm
W

WebFire

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14,779 posts
May 7, 2011 3:34 PM
LJ;761968 wrote:They make money from store sales. Gas is a loss leader.

So they are selling gas for less than they buy it?
May 7, 2011 3:34pm
LJ's avatar

LJ

Senior Member

16,351 posts
May 7, 2011 3:40 PM
WebFire;761970 wrote:So they are selling gas for less than they buy it?

Typically they make little to no money on it and sometimes lose money yes. How many times do I have to explain this to you? Either hate the way they do it and move on or be ok with it. Harping on the same thing over and over won't change anything.
May 7, 2011 3:40pm
W

WebFire

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14,779 posts
May 7, 2011 3:43 PM
LJ;761978 wrote:Typically they make little to no money on it and sometimes lose money yes. How many times do I have to explain this to you? Either hate the way they do it and move on or be ok with it. Harping on the same thing over and over won't change anything.

That is all fine with me. What I don't like is that you insist on a reason why gas prices go up immediately when oil rises, but when oil prices go down and prices don't, you explain just the opposite.

Sorry, that sounds like a scam to me. Margins or not.
May 7, 2011 3:43pm
LJ's avatar

LJ

Senior Member

16,351 posts
May 7, 2011 3:49 PM
WebFire;761980 wrote:That is all fine with me. What I don't like is that you insist on a reason why gas prices go up immediately when oil rises, but when oil prices go down and prices don't, you explain just the opposite.

Sorry, that sounds like a scam to me. Margins or not.

It's reality, just move on or buy your own station and change it.
May 7, 2011 3:49pm
W

WebFire

Go Bucks!

14,779 posts
May 7, 2011 5:21 PM
Ok Sleeper.
May 7, 2011 5:21pm
LJ's avatar

LJ

Senior Member

16,351 posts
May 7, 2011 6:39 PM
WebFire;762029 wrote:Ok Sleeper.

Deal with it or do something about it. Quit whining and trying to call bullshit on reality
May 7, 2011 6:39pm
W

WebFire

Go Bucks!

14,779 posts
May 7, 2011 6:50 PM
LJ;762062 wrote:Deal with it or do something about it. Quit whining and trying to call bullshit on reality

Ok wise guy. You must either be a very happy guy that never complains or voices a concern, or you are a very busy man.
May 7, 2011 6:50pm