Gasoline hits a new low...!
- Thread starter Philbert
- Start date
ChefChiTown
The secret ingredient? MY BALLS
Back in your day, didn't a gallon of gas only cost you a straw penny?
:rim shot:
Nah, nah. I kid, I kid.
This isn't true for Diesel though because it's the same as heating oil and demand goes up in winter.This raises the price .
It shouldn't be called Diesel as the true inventor was Stuart Ackroyd.
It is notoriously difficult to predict unleaded gas prices from crude oil prices because of variables like transportation costs and refinery supply. However, here's the basic formula:
3/2*(crude oil price)/42=(regular unleaded price)
This is derived from the fact that you get 2 gallons of unleaded out of every 3 gallons of crude oil, and there are 42 gallons in a barrel.
At the moment, the formula works quite well:
3/2*($68/barrel)/42=$2.43/gallon
Gasbuddy.com is listing the US average unleaded price at $2.46... a 98.8% match.
So, assuming it will work this well in the future, $37 crude oil would yield...
3/2*($37/barrel)/42=$1.32/gallon
Nice... :nanner:
What Dan Aykroyd invented diesel? :nanner: (messing with you)
Listen people it's allright over here at $2.46 a gallon in Colorado, but it was going low back in the winter of 2006-2007 and the OPEC drove it back up, all it was a about five cuts in oil production, (talk about artificially reducing the supply and demand).
So don't go know driving all crazy all over the place because that would give them a reason to raise the prices up again, not that I want to piss on anyone's wheaties. After election if Barrack Obama wins he is going after Big Oil and of course they will pass the price tag along to us because they are not making any money.
:glugglug: so cheers
http://news.yahoo.com/s/ap/20081103/ap_on_bi_ge/oil_prices
Oil rises above $68, lifted by firm stock markets
KUALA LUMPUR, Malaysia – Oil prices rose above $68 a barrel in Asia Monday, rising in tandem with advancing regional equity markets but traders predicted gains may be capped by lingering worries over the health of the global economy.
Firm stock markets?? really whatever happened to OPEC cutting production?
Oil rises above $68, lifted by firm stock markets
KUALA LUMPUR, Malaysia – Oil prices rose above $68 a barrel in Asia Monday, rising in tandem with advancing regional equity markets but traders predicted gains may be capped by lingering worries over the health of the global economy.
Firm stock markets?? really whatever happened to OPEC cutting production?
If you are going to try to analyze every daily move your head will explode. Oil Drops Nearly 6% On Slumping Demand.
I don't see why there is much reason this formula should work. They don't refine gasoline from crude oil and throw the rest away. The rest is made up of diesel and other oil products. ALL of it is used in one way or another. There is very little waste. So any process for determining the price of gasoline from the price of crude oil would have to include mechanisms for factoring in the value of all the other products of crude oil in addition to gasoline.
This site is a kids' site, but it is a US Department of Energy site, and I like how they show break down the barrel of oil into refined products.
http://www.eia.doe.gov/kids/energyfacts/sources/non-renewable/oil.html
The "3/2" in your formula probably more accurately reflects the value of the multiplier produced by the refiner and seller's mark-ups.
Ahem...can you please clarify wich of the towo heads please? I do think with both you know...
ChefChiTown
The secret ingredient? MY BALLS
Wow, I never knew it was that simple!!!
Republicans in office = LOW gas prices
Democrats in office = HIGH gas prices
And all this time, I was thinking it had to do with supply and demand. Geez, I feel like a MORON!!!
