Energy Secretary says pump price may hit $3.50/gallon ("optimistic" that OPEC will rescue US)

[UpInArms]

Source: Reuters

WASHINGTON (Reuters) - Energy Secretary Sam Bodman said on Monday he is concerned that average U.S. gasoline pump prices could hit $3.50 a gallon this summer, and said he is "optimistic" that OPEC will come to the rescue of U.S. drivers.

The U.S. retail price of gasoline set a new high of $3.29 a gallon last week, and some analysts say prices could hit the $4 mark this summer as U.S. families take to the highways for vacation travel.

"I'm concerned that we could hit $3.50" per gallon, Bodman told reporters at an energy conference hosted by the Energy Information Administration. "I would like to think that we're not going to get to $4 (a gallon) but I don't make forecasts -- whatever it is, it is," Bodman said.

Soaring pump prices this summer will reduce U.S. gasoline by 85,000 barrels per day versus a year ago, according to EIA administrator Guy Caruso.

"We see a slowdown in gasoline demand," Caruso told -reporters. The EIA -- the Energy Department's statistical arm - predicts that prices could average above $3.60 a gallon this summer but will not top $4 a gallon on a nationwide basis.

Read more: http://www.reuters.com/article/businessNews/idUSN0718022920080407?feedType=RSS&feedName=businessNews&sp=true

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let us all base our future on "optimistic" stupidity

gaaaahhhh! these hacks never cease to do the wrong thing for the wrong reason

[MadMaddie]

1. OPEC has the US demise in mind. They hold the US hostage

with the manipulation of gas/oil prices.

This is the tie that needs to be cut.

[whistle]

6. Actually British Petroleum and Dutch Shell and Standard Oil are the big three

...who are behind OPEC

[MuseRider]

2. I would love to pay

$3.50/gallon again. It has been a long time since I saw that price.

Diesel is expensive, last time I filled up it was just under $4.00.

[whistle]

4. Diesel in Orlando is $3.999 but who drives diesel cars anymore

...that is primarily for commercial vehicles, pick-up trucks, etc. I thought large truck haulers got a break, but it ain't gonna get any better until Bush and Cheney and rethugs are driven out in November

[Tunkamerica]

32. I'm pretty sure VW has diesel bugs

[whistle]

3. Right now it has jumped to $3.359 in Orlando for reg up from $3.299

...last Friday. We are being raped by Big Oil companies

[Warpy]

5. ROFL!!!! What needs to be done is tap the Strategic Oil Reserve

using it the way it was meant to be used, to bring up supply and lower prices. Bonehead and Cheney intend to use it when OPEC starts an embargo over their illegal next war, though, so they will not do it no matter how much suffering there is in this country.

It's time to keep reminding people why we have the Reserve and how it should be used, not letting these evil men get away with doing what they're doing to us.

[whistle]

11. Correct

<snip>

CURRENT SPR INVENTORY AS OF April 7, 2008

Sweet: 279.9 million bbls
Sour: 421.1 million bbls *
Total: 701.0 million bbls

http://www.spr.doe.gov/dir/dir.html


http://www.fossil.energy.gov/programs/reserves/

[Tandalayo_Scheisskopf]

23. By their continuous filling of the Strategic Reserve...

They are hijacking oil off of the open market, thus adding to the upward pressure on prices. And pumping money into their Saudi friends, straight out of the treasury.

And remember: The Strategic Oil Reserve is being managed by the Koch Brothers, one of whom is married to Doro Bush. It's all very tidy.

[NickB79]

46. And when we drain that down, then what?

We have to face this problem head-on: global oil production is declining, and won't be coming back up. We've reached Peak Oil. Tapping the reserves just to drive down gas prices for a few extra months to a year won't make much difference in the long run. Unless we use the SPR VERY carefully, in concert with a massive program to transform our society into one that requires far less oil to survive, it is pretty much pointless.

[kestrel91316]

7. Um, news flash: It's BEEN $3.50 for quite a while here in SoCal.

[Skittles]

9. LOL - I was gonna say

if it's $3.25 here in TEXAS now, it's surely already passed the $3.50 mark for the good folk of California :o

[MadMaddie]

10. Also in the Seattle area..

[Peggy Day]

19. ditto in northern california, and we even have to

live close to some of the refineries. I can't imagine how it would be cheaper to ship the gasoline to Ohio for less than we pay here. I guess we have a great big KICK ME on our butt.

[high density]

8. May?

What country is this ass living in?

[ConcernedCanuk]

12. Big deal, we're already at 5 bucks a gallon. and that's regular, premium is higher.

.
.
.

$1.20 a litre, 4.54 litres to a gallon do the math.

But actually - if we're talking about an American gallon - equal to 4 litres

Then we're only at $4.80

I don't drive much anymore

Wonder why.

[Art_from_Ark]

30. Actually, an American gallon is only 3.76 liters

so by your figures, that comes out to CDN$4.51 per American gallon.

But it's still more than in the US, and about the same price that it is here in Japan (123-125 yen per liter at self-serve places).

[Tunkamerica]

33. And with exchange rates it's $4.44 American n/t

[ConcernedCanuk]

36. Thanks - I stand corrected, but I WAS close -

.
.
.

sooooooo

you are just about to $1 a litre

When it's 3.76 a gallon, that'll be 1 buck a litre.

We're $1.13 already.

[comtec]

34. FALSE ARGUMENT!

In California the TOTAL amount of tax on fuel is around 36 CENTS per gallon. That's 36 CENTS going to roads, public transportation etc.
here in Europe 3-4 DOLLARS a gallon is going to TAX! That is public transportation, roads, etc.

CENTS vs WHOLE DOLLARS!

The amount you need to compare is how much PROFIT PER GALLON the oil companies make, and THAT is insanely higher in the US, than anywhere else.

People like to say "Oh look we aren't paying as much as Everyone else!" But that's a bullshit argument.
Per liter the rest of the world get MORE MPG, MORE power per CC, MORE PER LITER IN TAXES!

I would PREFER if that 4-5 USD per gallon we pay WAS taxes, think of it, public insurance for ALL, a balanced budget, MASSIVE amounts of money going to ROADS, TRAIN, BUSSES, ALTERNATIVE ENERGY!!!!!!

but no... we pay nearly ALL of that 4-5 USD P/G to the oil companies....

I hate admitting the Euros are right about how arrogant, and ignorant we Americans are about some things. It burns me to the core, but it's true... on some things... to an extent.

God help us, we're being eaten alive by ourselves, and paying to have ti done. We are a country of masochists!

I hate myself every day I am glad to be over here, and not there. But the reality is I have a future for my family here. There... in my beloved California, I probably don't.

[Canuckistanian]

13. Whatever happened to the 'jawbone' strategy?

Now it's "cower in the corner and HOPE that OPEC takes pity on us".

Wow. Way to take control of your destiny.

[flamingpie2500]

14. It's been $3.54 in Northern Wi. for a week.

that is for regular unleaded.

[MessiahRp]

15. Wow he's smart....

It's already $3.49 here in Milwaukee. :eyes:

Rp

[Arctic Dave]

16. $3.35 in Anchorage

My wife works across the street from our house and I work out of town for two weeks at a time so luckily we don't drive that much. I couldn't even begin to imagine having to commute everyday like some people.

[FarCenter]

17. The value of the dollar is shrinking, so all imported goods will go up

1 U.S. dollar = 0.6369 Euros

1 U.S. dollar = 102.27 Japanese yen

Since the price of oil is set in dollars, the price has to go up in order to maintain OPEC's purchasing power in other currencies.

[Diclotican]

18. UpInArms

UpInArms

Still more expensive over here in Europe... Yes it is hard to pay 3:50 pr Gallon, but here in norway, we are doing US 2,42 pr LITER, and that is rather expencive... Good I am not driving to mutch.... A gallon petrol is ca 3.9L (the british gallon are in fact 4L

But I can understand it is expensive.. But don't get ahead of your self when you are complaining.. Over here, for the most part, it is more expencive...

Diclotican


Sorry my bad english, not my native language

[junior college]

20. $3.50 a gallon? That's cheap

I'm paying 3.80 - 4.00 these days. 3.50 would be a relief.

[Amonester]

21. anotheR idiot "optimystism"

always expect the exact opposite to be the real thing with these republicon homelanders:

so, based on this fact, expect cheney to bomb bomb bomb iran until the price is Right at...

??.??

[Demobrat]

22. Spare me.

Gas will be $5/gallon before W leaves office. Count on it.

[dogfacedboy]

24. Already over $3.50 in Chicagoland. n/t

[WinstonSmith4740]

25. Any of you guys ever see "The Manchurian Candidate"?

The original, not the remake. I only say that because I've only seen the original, and don't know if anything was changed in the remake.

Anyhow, change the word "Manchurian" to "Arabian" and we have our Idiot in Chief. Anyone who thinks the Arabs are our friends, and are willing to look out for our interest is not only totally deluded, they've also been living in a cave for the last 40 years.:tinfoilhat:

[Zoigal]

26. Paid 3.559 at Costco today (LA area) and have seen 3.999

on quite a few signs for the higher octane stuff. z

[Javaman]

27. National average will be 4 bucks by labor day. nt

[dkf]

28. $3.76 for premium in Honolulu

[LTR]

29. Hello? I pay $3.50 a gallon already!

Southeast Wisconsin.

I still remember that 5-6 years ago, I paid half as much.

[Wednesdays]

41. Half?

During Clinton's term I could get gas for 72 cents a gallon, and word was you could get it for 64 cents in some places in Missouri.

[regnaD kciN]

31. "May"...?????

:wtf:

Up here in Seattle, it's been over $3.50 for more than a month. It's currently $3.54 and above where I live (the cheapest place for gas prices in the region), and I've seen some places in the northern suburbs where the lowest price is $3.67. And this is only April...I can only imagine what it will be by July.

Hey, Iraq War supporters (and, yes, I do include the appropriate Democrats in that group -- you know who you are): Hope you're enjoying all that cheap oil you promised the "liberation of Iraq" would bring us!

:nuke:

[gasperc]

35. Detroit: Diesel $4.39, reg $3.29

the squeeze is on

[nashville_brook]

37. i paid $3.50 in miami this weekend. for regular.

[Proud Liberal Dem]

38. "May hit" $3.50???!!!

I passed some gas stations on my way to work here (Indianapolis) that were already $3.45!!! Not much further to go to get there.

[Nickster]

39. I'm so glad that we have to hope for the kindness of our Saudi friends. Not like our National

Security is being put at risk by being hostage to OPEC, no not at all.

[nichomachus]

40. Too late here

$3.75 is the norm -- it was $2.95 six weeks ago. Thank heavens inflation is only "2.3 percent." /snark

[LibertyLover]

42. This morning on the radio as I drove to the metro station

I heard an ad sponsored by the American Petroleum Institute about why gas prices were so high. The voice over was done in a woman's voice in one of those "reasonable everybody must see the light once I explain it to them" tones. It said that people should understand that 70% of the price of a gallon of gas was accounted for by the price per barrel and that those were high right now because of a weak American dollar. The implication was that oil company profits only came out of 30% of the price of a gallon, less of course business expenses, salaries for employees, exploration etc., which meant that the oil companies weren't making a lot of profit off a gallon of gas. I often wish there was interactive radio or tv so that you could ask questions or make comments and get responses back, in real time. But then this type of ad comes on and I realize that I'd probably get fined by the FCC for the comments I'd want to make.

[Zhade]

43. 3.99 and 9/10s (wtf is that about?) for premium here in L.A.

NT!

[NickB79]

44. OPEC production declining 85,000 barrels per day last month

http://www.bloomberg.com/apps/news?pid=20601072&sid=aqx8VXkLkqJk&refer=energy

Anyone who thinks OPEC will come to our rescue is smoking crack. OPEC is largely tapped out, as are most oil-producing nations. Welcome to the downward spiral of Peak Oil.

[Delphinus]

45. It *MAY*???

It's ALREADY $3.45! Where's the world he lives in?

[Tracer]

47. Maybe Massachusetts?

It's $3.19 here (up in one day from $3.11).

[KansDem]

48. "...'optimistic' that OPEC will come to the rescue of U.S. drivers."

Here they are coming to the rescue of the U.S. pResident: