Former oil exec: $5-a-gallon gas on the way

[Ohene]

I said this on here weeks ago and ppl said I was dumb.

Sure supply/demand is partially responsible for the low gas prices, but the real thing is the auto-industry. They're gonna make ppl think it's safe to buy big trucks/SUV's again, then they're gonna spike the prices on them.

this isnt a country's telecom industry or something. oil industry has too many players world wide for collusion to be present. Perfect competition --> supply and demand solely.

Oversupply will drive down the price until it meets demand at an equilibrium which for now is relatively stagnant / set. It aint just auto manufactures that might see a small benefit. There are airlines, freight / delivery companies, pipeline and oil transport companies etc etc...too many players really.

 

[chkmeout]

IMO, you can listen to whatever "they" tell you as the reason why, and there might be a scientific/logical explanation, but there's also a common sense reason as well. Pick whichever one you want to believe.

A quick Google search will show you new news articles about the increase in people buying SUV's/trucks as of late. Obviously that's a by product of cheaper gas prices, but you can't say that it's not by design either.



common sense. I'll let you go on though w/ all ur fancy-schmancy knowledge.

so they aint making fuel efficient trucks n suvs?? automakers are dropping big engines for turbo/SC smaller motors... isnt the Govt, implementing regulations for better fuel efficient vehicles...



stop it slime

 

[No1]

I said this on here weeks ago and ppl said I was dumb.

Sure supply/demand is partially responsible for the low gas prices, but the real thing is the auto-industry. They're gonna make ppl think it's safe to buy big trucks/SUV's again, then they're gonna spike the prices on them.

That is not possible with the regulations put in place by the Obama administration for new vehicles.

 

[无名的]

IMO, you can listen to whatever "they" tell you as the reason why, and there might be a scientific/logical explanation, but there's also a common sense reason as well. Pick whichever one you want to believe.

A quick Google search will show you new news articles about the increase in people buying SUV's/trucks as of late. Obviously that's a by product of cheaper gas prices, but you can't say that it's not by design either.



common sense. I'll let you go on though w/ all ur fancy-schmancy knowledge.

Common sense would be asking yourself what a 17% increase in SUV sales equates to in profit relative to the money being drained from OPEC country coffers and shale producers that will end up with significantly reduced bottom lines, junk bond defaults, and bankruptcies.

I'll give you a hint. The latter is much, much more money.

Entire hedge funds have already gone belly up from the decline in oil prices, probably losing more money than the profit on 17% increased SUV sales.



The auto industry has zero leverage in this game. Zero. Zero? Zero.

 

[Strapped]

it's true

 

[TLR Is Mental Poison]

Common sense would be asking yourself what a 17% increase in SUV sales equates to in profit relative to the money being drained from OPEC country coffers and shale producers that will end up with significantly reduced bottom lines, junk bond defaults, and bankruptcies.

I'll give you a hint. The latter is much, much more money.

Entire hedge funds have already gone belly up from the decline in oil prices, probably losing more money than the profit on 17% increased SUV sales.



The auto industry has zero leverage in this game. Zero. Zero? Zero.

"They" are still winning tho.

 

[Piff Perkins]

US oil execs shook and trying to stir shyt up? Priceless.

Gas won't go up anytime soon, or at least until Saudi Arabia stops trying to
1) fukk Russia's economy
2) combat US shale/oil supply

Texas and South Dakota are about to have a rude awakening when that oil industry goes down. Meanwhile everyone else will be doing fine with low gas.

 

[K-Deini]

1.83 a gallon by me