OPEC Powerless to Stem Oil Price Surge

[RamboLiberal]

http://www.reuters.com/printerFriendlyPopup.jhtml?type=businessNews&storyID=5121836

Oil prices burst to new 13-year highs above $40 a barrel on Wednesday on concern that OPEC may not pump enough oil to meet rapidly accelerating world oil demand.

A fresh fall in U.S. gasoline stocks reinforced concern that U.S. refiners will not be able to make enough of new gasoline grades for peak summer holiday driving demand.

U.S. light crude (CLc1: Quote, Profile, Research) hit a peak at $40.77 a barrel, less than 40 cents off the $41.15 all-time high for New York crude futures, reached in October 1990 after Iraq invaded Kuwait. London Brent crude (LCOc1: Quote, Profile, Research) was up 36 cents at $37.72 a barrel.

Importing nations are increasingly worried about the economic fallout of higher energy costs. The price spike has come during the second quarter, when world oil demand is at its lowest seasonal ebb, raising concerns about prices later in the year as demand rises again.

Tight U.S. fuel inventories have driven oil's long rally. The U.S. Energy Information Administration said on Wednesday gasoline stocks dropped 1.5 million barrels last week to 202.5 million, nearly 4 percent below the five-year average.

[MSgt213]

1. They are powerless because there is NO OIL shortages. The problems are

coming from these companies being run by greedy bastards who have a man in the White House doing everything he can to ensure their gleeful runs to the bank are not interupted.

[GainesT1958]

2. Remember when Rupert Murdoch's son said...

That it would be great when oil prices (driven--in his mind--by the "liberation" of Iraq) dropped to $20 a barrel?:eyes:

Well, here comes inflation again, and on Dub's watch. Of all the things his father allowed the economy to do when it tanked in 1990, rampant inflation was not one of them. If Dub allows inflation to come back...well, then, Tom Delay & Co. had better batten down the hatches, because even their House majority is no longer safe!:mad:

B-)

[jpak]

3. Will it be $50 a barrel by November?

Stagflation here we come....

[WVhill]

4. I doubt it.

We're coming out of the time of year when refineries were still geared to producing heating oil. The move to produce more gasoline rather than heating oil plus the high prices that should spike some of the demand for the summer means supplies will build and traders won't have that as an incentive to bid prices up.

Besides you know Bush has the fix in to drop prices a month or so before the election.

[Ruby Romaine]

5. this is repuke BS/ the prices will drop in October 50c to $1.00 &

all will hail * since he brought us cheap gas

[KareBear]

7. For some reason that reminds me of

The little green guys in Toy Story that are in the claw machine. I just can't help but see all these Bush supporters as those little green guys, their eyes full of wonder and absolute faith in their one symbol of salvation. Never knowing that the claw was taking them away to some fate worse than their little comfortable lives.

"OOOO the Claw! I have been chosen!"

[thethinker]

6. Does someone remember

Does someone remember how much we were paying at the pump when oil was $40 a barrel before???? (Oct. 90)

I do not remember pump prices this high ever before. Am I just not remembering correctly? Or are these pump prices higher than they should be in relationship to the price of a barrel of oil?

What were we paying at the pump when Bush was elected??