The end of fuel economy in America?

[ketel0ne]

Analyst predicts plunge in gas prices
By Kevin G. Hall

McClatchy Newspapers

WASHINGTON — The recent sharp drop in the global price of crude oil could mark the start of a massive sell-off that returns gasoline prices to lows not seen since the late 1990s — perhaps as low as $1.15 a gallon.

"All the hurricane flags are flying" in oil markets, said Philip Verleger, a noted energy consultant who was a lone voice several years ago in warning that oil prices would soar. Now, he says, they appear to be poised for a dramatic plunge.

Crude-oil prices have fallen about $14, or roughly 17 percent, from their July 14 peak of $78.40. After falling seven straight days, they rose slightly Wednesday in trading on the New York Mercantile Exchange, to $63.97, partly in reaction to a government report showing fuel inventories a bit lower than expected. But the overall price drop is expected to continue, and prices could fall much more in the weeks and months ahead.

The how and the why are at the link:
http://seattletimes.nwsource.com/html/businesstechnology/2003257679_oilconsumers14.html

[omgwtfbyobbq]

Wasn't the introduction of ethanol to replace MTBE what drove the cost of gasoline up? If anything that seems like it's the limiting factor... Not crude.

[ketel0ne]

Maybe it is all just made up BS?

[omgwtfbyobbq]

:D

[Brian D.]

I'm not buying it. I'm still calling this a bit of overexuberance. This is what you get when you mix a (basically) hurricane-less season with the fact that the U.S. just struck a little bit of new oil in the Gulf. Then add in the fact that, seasonally, we tend to get a little bit of a pullback in oil (gas prices) upto and around Labor Day. Driving season is over. Big deal. I say oil heads back up. I doubt if we'll see $3/gal again (sorry, west coast...I know you're all still unfairly up around $3/gal anyway) before the end of the year. It'll creep back up though. -my $.02

[philmcneal]

now is the time to buy that fuel efficient car!!! The price is right till another spike kicks in.

[ZugyNA]

http://www.spectrumcommodities.com/education/commodity/charts/cl.html


Down into Dec/Feb/March?

Slowing world economy.

Current admin has given up starting WWIII for now?


But I wouldn't get too complacent though....many oil analysts expect $100 oil eventually. Growing world population...increasing standard of living in China...India...etc? Peak oil?

The writing is on the wall....

[schmeep]

is it wrong to hope for high oil prices?

[ketel0ne]

There are many reasons for long commutes. Our reason is this our house and land would cost over $1 million within 15 miles of our jobs. We commute together and our house and land was less than $150k on the water no less. It would take alot of gas even at $3-5 per gallon in the Yaris (60 miles each way) to make up $850K

[Silveredwings]

Wait...If this is the end to FE in America, when did it begin?

[ketel0ne]

Rumor has it the day after Katrina hit.

[tomauto]

we didn't save any gas when katrina hit...nor did we have this huge overblown shortage...

[ketel0ne]

No but the sale on econo boxes and hybrids went up suv's went down when gas headed to 3 bucks a gallon. Ford and GM believe that America was attempting to conserve fuel and the almighty dollar.

[tomauto]

That is true, I saw my friends stepdad switch from a H2 to a smalller mercedes suv. He then tried to sell me the H2 :eek:

[Silveredwings]

That is true, I saw my friends stepdad switch from a H2 to a smalller mercedes suv. He then tried to sell me the H2 :eek:

He can buy-high and sell-low so maybe you could buy-low, sell-high :)

[tomauto]

no, my friend and I drove around in it, it is a plasticy pos. It has 400k miles on it, and it rattles when it does down the road..

plus I dont have 10 grand.

[ketel0ne]

no, my friend and I drove around in it, it is a plasticy pos. It has 400k miles on it, and it rattles when it does down the road..

plus I dont have 10 grand.

with 400k on it avg 14mpg at 2.50 per gallon that is $71,000 in fuel costs.

[omgwtfbyobbq]

with 400k on it avg 14mpg at 2.50 per gallon that is $71,000 in fuel costs.

:eek:

[Rstb88]

I personally can't wait for the higher gas prices to come. there are too many fuel gulping cars here in TN. And little rich ricers in their cars running around. Once it goes up I'll see more mopeds, and motorcycles(cause thats how TN rolls w/o cars) I know that once the prices go up I will be rolling around in a Dunebuggy with a flatfour behind me... and at least the new ULSD vehicles are manditory for 07 and up. Take that deisel enthusiests. Go blow your soot on someone elses car..

[tomauto]

They bought the first year model, that is when gas was like...1.50 or less here...that is still an awfully high number...I should tell them that.

[MakDiesel]

what kind of idiot drives 275 miles a day in a Hummer? (400k over 4 years) Also, what GM vehicle could possibly make it to 400k? (without rebuild or replacement engine) Mak

[tomauto]

They took trips to colorado 3 times a year, and bunches of other places.......Commute to Dallas (200 mile round trip)....

[tomauto]

dont get me wrong, the interior creaks and rattles, and the thing is noisy and slow.

[JanGeo]

friend of mine has a red one - rode in it - the thing is all over the road when you hit a bump - now the real H1 was something else - high wide and diesel!

[rh77]

I'm confident that additional, efficient vehicles will be offered with the next 2 years, so I'm holding out, unless the Integra is rendered undriveable. As frustrating as it is with the automatic, I've become quite fond of her :) With the hatch and seats folded, she'll haul a lot of stuff that a small crossover vehicle may have a slight edge on -- but the 'Teg will get better FE in-between. The car has amazed me over the last 3 years from simlicity under the hood/reliability to the fun-factor in handling.

RH77

[JanGeo]

Ya know its weird but now when I go down a hill I wish I had a Hybrid to be able to charge a battery - this after driving a Prius a few times...

Hey what was the trick about getting it back in drive when in neutral while moving - I remember that being a problem in the Prius that you almost had to stop to put it in gear?

[onegammyleg]

Hi tomauto -¨dont get me wrong, the interior creaks and rattles, and the thing is noisy and slow.¨

That prety well describes my missus :D

http://www.raguides.com/images/gallery/e8.gif

[Ted Hart]

EVIDENTLY gas is too cheap. When stupid punks with nothing better to do can afford to put on 200 miles per night going up and down and up and down Main street, and when commuters of every stripe think it is reasonable to commute 200 miles per day- in 4x4 pickups and suvs no less- obviously the resource is not getting the proper value assigned to it.

There is but one solution (with its problems, too!)... Gas rationing! Stamps would stop (a lot of) the waste! Enforcement would be a problem...but the lessons learned in WW 2 could be applied. IMHO

[philmcneal]

or government should give perks for those who drive efficiently, although that would be tough to enforce as well.

[The Toecutter]

If there were gas rationing, my friends and I would merely roll around smoking and committing various acts of hooliganism in an electric conversion. You see, I think ahead. :p