GasBuddy Blog

GasBuddy News Article

votes

Why we’ll never see a $20 barrel of oil again

The Globe and Mail -- The commodity super-cycle – in which commodity prices reach ever-higher highs, and fall only to higher lows – isn’t over. Despite the euphoria around shale gas – indeed, despite weak global growth – commodity prices have risen by as much as 150 per cent in the aftermath of the financial crisis. In the medium term, this trend will continue to pose an inflation risk and undermine living standards worldwide.

For starters, there’s the convergence argument. As China grows, its increasing wealth and urbanization will continue to stoke demand for energy, grains, minerals and other resources. The U.S., for example, consumes more than nine times as much oil as China on a per capita basis. As more of China’s population converges to Western standards of consumption, demand for commodities – and thus

Read the Full Article

Submitted Mar 18, 2013 By: Nicoalbum

Back To News

Category: Daily News Article Discussions > Topics	Add to favorite topics

Author	Topic: Why we’ll never see a $20 barrel of oil again	Post a Reply Back to Topics

REPLIES (newest first)Ignore Short Messages

First

Next Last

goldseeker Champion Author West Virginia Posts:19,537 Points:2,717,840 Joined:Sep 2005	Message Posted: Mar 19, 2013 2:47:38 AM Ignore goldseeker Report Abuse You will not likely see $40 per barrel either.
tomok Champion Author Portland Posts:32,970 Points:2,344,535 Joined:Aug 2006	Message Posted: Mar 19, 2013 2:43:45 AM Ignore tomok Report Abuse Why we’ll never see a $20 barrel of oil again? It all depends on how much money Big Oil is allowed to keep by the government in power. Big Oil has overhead and expenses but other countries and/or governments do not allow Big Oil to rape the consumers like the US does! Big Oil can set the prices at the pump by producing less fuel from the refineries and manipulate the fuel prices any which way but loose. For this country, we will never see $20 dollars a barrel again and will be much more likely at eighty dollars a barrel and up. Drive vehicles with high MPG, are very safe, reliable, have a ‘reasonable’ cost and a good ‘value’ for the money. The price of fuel at the pump is too high!
rwsb30 All-Star Author Dayton Posts:554 Points:112,280 Joined:Jul 2008	Message Posted: Mar 19, 2013 1:26:41 AM Ignore rwsb30 Report Abuse And I can remember when you could buy a new Chevrolet for $1600...I couldnt afford it I only made $1.25 per hour... A new Jaguar only cost 3 grand but beer was 25 cents any place in town...Just goes to show ya.
billy44bo Champion Author Mobile Posts:7,198 Points:1,488,940 Joined:Feb 2008	Message Posted: Mar 19, 2013 1:18:33 AM Ignore billy44bo Report Abuse Have you seen pictures from China? In twenty years or so most of them will be down with lung cancer. Bottom line is that GREED runs the oil market.
Bruno44 Champion Author Texas Posts:7,070 Points:1,767,220 Joined:Sep 2007	Message Posted: Mar 19, 2013 1:17:17 AM Ignore Bruno44 Report Abuse Good point by granitestater.
wshokie12 Champion Author Winston-Salem Posts:1,315 Points:215,435 Joined:Aug 2012	Message Posted: Mar 19, 2013 1:14:41 AM Ignore wshokie12 Report Abuse Of course.
ILVET Champion Author Illinois Posts:14,784 Points:2,924,415 Joined:Jan 2005	Message Posted: Mar 19, 2013 1:13:43 AM Ignore ILVET Report Abuse A politician is a fellow who will lay down your life for his country. ~ Texas Guinan
RENEGADEGAS Champion Author Missouri Posts:14,906 Points:1,590,250 Joined:Jul 2008	Message Posted: Mar 19, 2013 1:12:41 AM Ignore RENEGADEGAS Report Abuse granitestater ... very well said! I couldnt agree more.
musicreporter All-Star Author San Antonio Posts:620 Points:133,015 Joined:Dec 2012	Message Posted: Mar 19, 2013 1:10:13 AM Ignore musicreporter Report Abuse ok
TBONE3 Champion Author Pennsylvania Posts:8,741 Points:1,975,675 Joined:Mar 2005	Message Posted: Mar 19, 2013 1:10:00 AM Ignore TBONE3 Report Abuse The statement is right on BUT many other products will do the same.
musicreporter All-Star Author San Antonio Posts:620 Points:133,015 Joined:Dec 2012	Message Posted: Mar 19, 2013 1:08:45 AM Ignore musicreporter Report Abuse ok
Pmgr Veteran Author San Antonio Posts:479 Points:126,230 Joined:Jan 2013	Message Posted: Mar 19, 2013 1:05:19 AM Ignore Pmgr Report Abuse ok
Pmgr Veteran Author San Antonio Posts:479 Points:126,230 Joined:Jan 2013	Message Posted: Mar 19, 2013 1:04:56 AM Ignore Pmgr Report Abuse yes
BigBearHug Champion Author Amarillo Posts:2,214 Points:486,455 Joined:Dec 2011	Message Posted: Mar 19, 2013 1:04:19 AM Ignore BigBearHug Report Abuse greed by any other color
greshams Champion Author Cincinnati Posts:2,004 Points:374,650 Joined:Nov 2011	Message Posted: Mar 19, 2013 1:02:40 AM Ignore greshams Report Abuse greed will destroy the oil business, then a barrel of will worthless. [Edited by: greshams at 3/19/2013 1:03:16 AM EST]
Z51Corvette Champion Author Austin Posts:8,475 Points:1,669,245 Joined:Jan 2008	Message Posted: Mar 19, 2013 1:00:18 AM Ignore Z51Corvette Report Abuse It's all due to GREED!!! lol!
mcbrownie220 Sophomore Author Toledo Posts:225 Points:152,875 Joined:Jun 2012	Message Posted: Mar 19, 2013 12:59:42 AM Ignore mcbrownie220 Report Abuse ok
Z51Corvette Champion Author Austin Posts:8,475 Points:1,669,245 Joined:Jan 2008	Message Posted: Mar 19, 2013 12:59:32 AM Ignore Z51Corvette Report Abuse so positive
sjhman Veteran Author Atlanta Posts:409 Points:275,225 Joined:Sep 2008	Message Posted: Mar 19, 2013 12:59:15 AM Ignore sjhman Report Abuse yikes
unicornpmb Champion Author Buffalo Posts:8,481 Points:1,627,565 Joined:Sep 2005	Message Posted: Mar 19, 2013 12:58:36 AM Ignore unicornpmb Report Abuse Pipe dream.
DrGasPain Veteran Author Dallas Posts:362 Points:457,450 Joined:Mar 2011	Message Posted: Mar 19, 2013 12:56:37 AM Ignore DrGasPain Report Abuse Duh!
Doomsday64 All-Star Author Austin Posts:854 Points:335,055 Joined:Apr 2011	Message Posted: Mar 19, 2013 12:55:53 AM Ignore Doomsday64 Report Abuse ok
Cableman66 Champion Author North Carolina Posts:2,105 Points:488,970 Joined:May 2011	Message Posted: Mar 19, 2013 12:55:52 AM Ignore Cableman66 Report Abuse Old news.
Buddy2264 Champion Author Tampa Posts:11,649 Points:2,358,995 Joined:Oct 2005	Message Posted: Mar 19, 2013 12:52:12 AM Ignore Buddy2264 Report Abuse Not as long as oil is the primary fuel for gasoline.
F34RL3SSNIT3 Veteran Author Austin Posts:353 Points:71,085 Joined:Mar 2013	Message Posted: Mar 19, 2013 12:52:01 AM Ignore F34RL3SSNIT3 Report Abuse ok
quasar502 Champion Author Lansing Posts:3,573 Points:800,150 Joined:Jan 2011	Message Posted: Mar 19, 2013 12:49:20 AM Ignore quasar502 Report Abuse There's a large world population playing catch up right now. Fuel IS in demand.
boatfloyd Champion Author Jacksonville Posts:1,713 Points:387,000 Joined:Mar 2012	Message Posted: Mar 19, 2013 12:48:56 AM Ignore boatfloyd Report Abuse Very True. Inflation.
granitestater Champion Author New Hampshire Posts:8,817 Points:1,429,775 Joined:Oct 2008	Message Posted: Mar 19, 2013 12:46:20 AM Ignore granitestater Report Abuse Oil is the cheapest fuel. Along with coal, natgas and any other fossil fuel. Alternative or "green" fuels are way more expensive than any fossil fuel.
rosyLI Champion Author Long Island Posts:5,630 Points:1,066,880 Joined:Apr 2010	Message Posted: Mar 19, 2013 12:46:12 AM Ignore rosyLI Report Abuse I agree, $20 a barrel is history.
granitestater Champion Author New Hampshire Posts:8,817 Points:1,429,775 Joined:Oct 2008	Message Posted: Mar 19, 2013 12:43:52 AM Ignore granitestater Report Abuse Four times our population at our rate of consumption will drain the planet of oil... [Edited by: granitestater at 3/19/2013 12:44:40 AM EST]
Packman3231 All-Star Author Oregon Posts:627 Points:1,850,115 Joined:Jun 2004	Message Posted: Mar 19, 2013 12:43:30 AM Ignore Packman3231 Report Abuse one can only hope for cheaper fuel to be developed which will solve the problems of oil usage.
sehonda Champion Author Honolulu Posts:2,033 Points:915,035 Joined:May 2009	Message Posted: Mar 19, 2013 12:41:09 AM Ignore sehonda Report Abuse alternative energy will lessen demand in the future
danreino Champion Author Twin Cities Posts:8,343 Points:1,538,780 Joined:Mar 2008	Message Posted: Mar 19, 2013 12:36:43 AM Ignore danreino Report Abuse I know a famous Kenyan that promised: "under My Leadership, your energy costs will skyrocket".....At least he wasn't lying huh...
10k Champion Author North Carolina Posts:21,240 Points:2,253,045 Joined:May 2006	Message Posted: Mar 19, 2013 12:34:36 AM Ignore 10k Report Abuse when i stopped being a weekend pizzadude in the summer of 2004, it cost $17-$18 to fill the 15.5 gallon tank on my grand prix..now my car laughs at $17-$18 worth of gas..
madison8359 Champion Author Cleveland Posts:9,003 Points:1,591,345 Joined:Apr 2008	Message Posted: Mar 19, 2013 12:34:02 AM Ignore madison8359 Report Abuse We don't care just give us the oil.
RussianAnya All-Star Author Dallas Posts:635 Points:131,900 Joined:Jan 2013	Message Posted: Mar 19, 2013 12:33:27 AM Ignore RussianAnya Report Abuse Ok
sjambok Champion Author Nashville Posts:10,262 Points:2,109,550 Joined:Apr 2006	Message Posted: Mar 19, 2013 12:33:14 AM Ignore sjambok Report Abuse ...one day later... "a Barrel of Oil might hit $20 again". No one in this economy knows which way is up or down. The reason it might hit that low again is when this country ends up in another Depression.
RussianAnya All-Star Author Dallas Posts:635 Points:131,900 Joined:Jan 2013	Message Posted: Mar 19, 2013 12:33:13 AM Ignore RussianAnya Report Abuse Ok
RussianAnya All-Star Author Dallas Posts:635 Points:131,900 Joined:Jan 2013	Message Posted: Mar 19, 2013 12:33:02 AM Ignore RussianAnya Report Abuse Ok
RussianAnya All-Star Author Dallas Posts:635 Points:131,900 Joined:Jan 2013	Message Posted: Mar 19, 2013 12:32:46 AM Ignore RussianAnya Report Abuse Ok
RussianAnya All-Star Author Dallas Posts:635 Points:131,900 Joined:Jan 2013	Message Posted: Mar 19, 2013 12:32:31 AM Ignore RussianAnya Report Abuse Ok
DanMtz Champion Author Oakland Posts:3,345 Points:1,241,375 Joined:Oct 2009	Message Posted: Mar 19, 2013 12:32:23 AM Ignore DanMtz Report Abuse Worldwide demand will never be as low as it used to be.
NoGas714 All-Star Author Indiana Posts:738 Points:749,485 Joined:May 2005	Message Posted: Mar 19, 2013 12:32:21 AM Ignore NoGas714 Report Abuse Well duh!
Packman3231 All-Star Author Oregon Posts:627 Points:1,850,115 Joined:Jun 2004	Message Posted: Mar 19, 2013 12:32:00 AM Ignore Packman3231 Report Abuse Nice to think about, but with the reasons mentioned in the artical it will not probably happen. In addition to the economic disruption, world pollution is going to be a problem with the increased use of petroleum.
HEBster Champion Author Kentucky Posts:8,778 Points:2,372,075 Joined:May 2006	Message Posted: Mar 19, 2013 12:30:34 AM Ignore HEBster Report Abuse Not gonna happen1
vulcan96 Champion Author Ohio Posts:26,896 Points:3,102,700 Joined:Aug 2004	Message Posted: Mar 19, 2013 12:28:35 AM Ignore vulcan96 Report Abuse hang the manipulators out to dry.
bridgerunner Champion Author Virginia Posts:4,777 Points:1,004,885 Joined:Jul 2009	Message Posted: Mar 19, 2013 12:28:20 AM Ignore bridgerunner Report Abuse We may not see it, but not for the reasons the article states.
gsayeg1 All-Star Author Milwaukee Posts:780 Points:139,365 Joined:Jun 2008	Message Posted: Mar 19, 2013 12:27:35 AM Ignore gsayeg1 Report Abuse I remember the ole days .19 a gallon in NJ
JasTheAce All-Star Author Raleigh Posts:965 Points:171,360 Joined:Nov 2012	Message Posted: Mar 19, 2013 12:27:10 AM Ignore JasTheAce Report Abuse yes we will
FlyNFool Champion Author South Carolina Posts:8,234 Points:1,683,250 Joined:Aug 2008	Message Posted: Mar 19, 2013 12:26:58 AM Ignore FlyNFool Report Abuse Barry Sotero?