Fuel Prices - Contractor Talk - Professional Construction and Remodeling Forum

Stevelsc8721 · 03-14-2008, 07:37 AM

So is anyone else pissed about the fuel prices or is it me? Out here in NY
Diesel $ 4.50

You want to know why it,s high, the stock market bastards are playing the puts and call games. This is the only reason its going up, there is plenty of fuel. These guys are all laughing going to the bank.

One of my clients is a trader and is waiting for $ 6.50 for diesel in the summer.

Where is hillboma to stop this madness?

The boating industry is done, it will replenish the fish stock, but as far as business there will be none.

The feds need to cap this fast

Anyone else have anything to say on this subject

kevjob · 03-14-2008, 12:46 PM

welcome to corporate america.

SelfContract · 03-14-2008, 12:48 PM

You're welcome!... and welcome to capitalist country!..

kevjob · 03-14-2008, 12:56 PM

concretemasonry · 03-14-2008, 02:42 PM

Steve -

Your client is probably wating for $6.50 diesel because he bought futures at $6.00 and hope he can find someone to buy them at a profit from him. Then that guy has to find someone..... No one is paying that price unless the demand pushes it up.

We do not have enough crude oil supply now and import from Canada, Mexico and Venezuala. When we buy crude, we are competing with the Europeans, Japanese, Indians and Chinese, who all have prices many $s per gallon that we pay. As long as they will pay the price, the cost of crude oil will go up because those markets are growing. - Diesel in Turkey os $9.78 per gallon in a town of 12,000,000. Foreign markets are huge, us a lot and are very advanced. Iran even inports gasoline.

European diesel is different and also much better than what you see in the U.S. - Just look at the 200+ mph Audi diesels than rule the world of 24 hour road races and run the wheels off the Corvettes and other so-so cars.

gregj · 03-14-2008, 03:43 PM

It boils down to a limited world supply of oil and the fact that even at these outrageous prices people are not cutting back their useage so demand is still high. Add to that the free trade agreements that are causing 3rd world country economies to boom which adds more demand for oil. And the final nail is the dropping value of the dollar because our politicians (dems and repubs alike) are buying votes by giving us tax cuts and rebates without decreasing federal spending to balance the budget and the federal reserve is keeping interest rates too low so they can bail out irresponsible people (borrowers and lenders) who made stupid financial decisions which is causing responsible people to pay for it all through higher prices.

kevjob · 03-14-2008, 05:31 PM

reports are actuslly stating that the demand is down and we have been adding to the surplus so in theory prices should drop with less demand and more surplus.

concretemasonry · 03-14-2008, 05:37 PM

Kevin -

We have fixed refining capacity since the refiners do not see the profit to go into long term expansion. Little increase in years because of the push for conservation. We are not increasing like the rest of the world.

DecksEtc · 03-14-2008, 05:55 PM

It's still a LOT cheaper for you guys south of the 49th parallel!