Oil Prices Steady Below $128 a Barrel

camaro5 · 05-28-2008, 03:33 AM

This is a start...

Oil prices steady below $128 a barrel after dropping more than $3 in previous session.

Tuesday's drop was oil's biggest one-day decline since March 31. The front-month contract is now more than $6 off its all-time peak of $135.09 a barrel reached last Thursday.

The decline came in the face of supply problems in Mexico and Nigeria that could have driven oil prices higher. That's an indication that demand concerns are weighing on the market and giving investors reason to pull back from the record high oil prices, analysts said.

"If present trends continue, we could be heading for the first annual drop in gasoline consumption in some 17 years," said Edward Meir, an analyst at MF Global UK Ltd., in a research note.

Oil prices were also pressured Tuesday by the dollar, which gained ground against the euro. Investors who buy commodities such as oil as a hedge against inflation when the dollar falls tend to sell when the greenback strengthens. Also, a rising dollar makes oil more expensive to overseas investors.

Investors shrugged off a number of events that could have sent oil prices higher, including news that crude oil production in Mexico fell 13 percent in April compared to the previous year, the temporary shutdown of a North Sea oil platform and the latest in a spate of oil-pipeline bombings in Nigeria.

Investors also ignored continued strength in heating oil futures, which have over the last month helped send crude oil smashing through a string of new record highs. Distillate supplies worldwide are seen as strained due to strong demand for diesel from Europe and Asia.

SOURCE:http://hosted.ap.org/dynamic/stories...MPLATE=DEFAULT

*Mindz* · 05-28-2008, 04:54 AM

Was listening about this today. It's a good thing too. Gas here is almost 5 dollars a gallon. That's crazy for how little I make...

*DGthe3* · 05-28-2008, 10:37 AM

Hopefully it keeps coming down and then levels off. Even if its at 115/barrel at least you will know that the price of gas tomorrow will be about the same as it is today.

*GTAHVIT* · 05-28-2008, 11:35 AM

The Department of Energy predicted that this would be the first year in the U.S. that we actually consumed less gas. Nice to see they might be right.

*TAG UR IT* · 05-28-2008, 12:07 PM

Hopefully it'll come down and stay down. I'm sick of seeing $70 per fill up at the pump....and we really don't drive all that much. I remember paying $32 to fill up the SS. It's now getting up to $54. Rediculous.

Like someone else was saying....they are now paying more in gas per year than they are actually paying for the truck. THAT is pathetic!!! gas shouldn't be that much....

The_Stache · 05-28-2008, 01:39 PM

Quote:

Originally Posted by TAG UR IT

Like someone else was saying....they are now paying more in gas per year than they are actually paying for the truck. THAT is pathetic!!! gas shouldn't be that much....

Hmm

I'm estimated at $2685.00/year for gas at $3.99
My car note a year = $5868.00 ($489.00/mo)

Gas would have to hit $8.70 for me to surpass my annual car payments.. People should really not finance stuff for that long...

That in and of itself is the problem with the US economy, everyone is on credit until 2020 and still spending money like water.. the people who are the best off right now are those who don't have credit debts, or that didn't buy a house they can't afford with an adjustable rate mortgage...

05-28-2008, 03:33 AM	#1
camaro5 Drives: X-15 Velocipede Join Date: Mar 2008 Location: SW Florida Posts: 4,630	Oil Prices Steady Below $128 a Barrel This is a start... Oil prices steady below $128 a barrel after dropping more than $3 in previous session. Tuesday's drop was oil's biggest one-day decline since March 31. The front-month contract is now more than $6 off its all-time peak of $135.09 a barrel reached last Thursday. The decline came in the face of supply problems in Mexico and Nigeria that could have driven oil prices higher. That's an indication that demand concerns are weighing on the market and giving investors reason to pull back from the record high oil prices, analysts said. "If present trends continue, we could be heading for the first annual drop in gasoline consumption in some 17 years," said Edward Meir, an analyst at MF Global UK Ltd., in a research note. Oil prices were also pressured Tuesday by the dollar, which gained ground against the euro. Investors who buy commodities such as oil as a hedge against inflation when the dollar falls tend to sell when the greenback strengthens. Also, a rising dollar makes oil more expensive to overseas investors. Investors shrugged off a number of events that could have sent oil prices higher, including news that crude oil production in Mexico fell 13 percent in April compared to the previous year, the temporary shutdown of a North Sea oil platform and the latest in a spate of oil-pipeline bombings in Nigeria. Investors also ignored continued strength in heating oil futures, which have over the last month helped send crude oil smashing through a string of new record highs. Distillate supplies worldwide are seen as strained due to strong demand for diesel from Europe and Asia. SOURCE:http://hosted.ap.org/dynamic/stories...MPLATE=DEFAULT __________________ Go from the presence of a foolish man, when thou perceivest not in him the lips of knowledge General Motors ASEP, A.S. Automotive Technology, Telecommunications Specialist, CISCO Network Engineer STANDARD DISCLAIMER camaro5 is furnishing this information "as is". camaro5 does not provide any warranty of the information whatsoever, whether express, implied, or statutory, including, but not limited to, any warranty of merchantability or fitness for a particular purpose or any warranty that the contents of the information will be error-free.

05-28-2008, 04:54 AM	#2
Mindz E.B.A.H. Drives: you wild... Join Date: Mar 2007 Location: In the happy padded room wearing a jacket that makes me hug myself... Posts: 18,420	Was listening about this today. It's a good thing too. Gas here is almost 5 dollars a gallon. That's crazy for how little I make... __________________ Blue Rush, 2010 SS [Car of the Week 3/22/2010] Traded in on...ZLZBUBB, 2013 ZL1

05-28-2008, 10:37 AM	#3
DGthe3 Moderator.ca Drives: 05 Grand Am GT Join Date: Jul 2007 Location: Niagara, Canada Posts: 25,366	Hopefully it keeps coming down and then levels off. Even if its at 115/barrel at least you will know that the price of gas tomorrow will be about the same as it is today. __________________ Note, if I've gotten any facts wrong in the above, just ignore any points I made with them __________________ Originally Posted by FbodFather My sister's dentist's brother's cousin's housekeeper's dog-breeder's nephew sells coffee filters to the company that provides coffee to General Motors...... ........and HE WOULD KNOW!!!! __________________ Camaro Fest sub-forum

05-28-2008, 11:35 AM	#4
GTAHVIT Blessed Drives: 2013 Sonic RS MT Join Date: Dec 2007 Location: Saint Augustine FL Posts: 28,441 View My Garage	The Department of Energy predicted that this would be the first year in the U.S. that we actually consumed less gas. Nice to see they might be right. __________________ Click image to see build thread. PQ - "the love of cars. It's a boys first step toward manhood and a mans last hold on boyhood." Fbodfather - "We do not want to use the Z28 moniker on a car that does not deserve this hallowed name." The_Blur - "Let's not confuse competitors with equals."

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05-28-2008, 12:07 PM	#5
TAG UR IT www.Camaro5store.com Drives: 2014 ZL1 #705 Join Date: Jul 2006 Location: SA, Texas Posts: 26,544 View My Garage	Hopefully it'll come down and stay down. I'm sick of seeing $70 per fill up at the pump....and we really don't drive all that much. I remember paying $32 to fill up the SS. It's now getting up to $54. Rediculous. Like someone else was saying....they are now paying more in gas per year than they are actually paying for the truck. THAT is pathetic!!! gas shouldn't be that much....