I'm sure everyone has noticed the recent decline in the price of Oil.
What's the cause behind it ? I've certainly not heard of extra refining capacity coming online etc.

mmm

I'm sure everyone has noticed the recent decline in the price of Oil.
What's the cause behind it ? I've certainly not heard of extra refining capacity coming online etc.

mmm

hasn't there been 2 massive pipe lines opened up in or around greece and russia???

The stock market is a big con. Full stop.

hasn't there been 2 massive pipe lines opened up in or around greece and russia???

not heard anything. Have you got any links ?

There is rarely any reason for it to go up other than for pure greed by the cartel of producers. The slightest little thing in the news is just an excuse to put it up. It's come down a bit recently at petrol pumps but most other associated products such as electricity, gas, lpg etc haven't fallen.

I don't actually know how much petrol costs, because I see it as an essential commodity and therefore believe that moaning over which place is 3p cheaper than another is a little sad, in addition to being pretty futile. We have to use the stuff anyway, so driving an extra mile to save 3p is not only missing the point a tad, but isn't exactly my idea of a good time either.

However, moaning is sooo last year so I'll stop it at once!

Whilst filling my car up last night, I noticed that it cost me several pounds less than it would normally (and no, it wasn't half full already!:D)

When I got back in the car, Lee said that petrol prices have gone down. I just wondered if anyone knew why and when this happened? Presumably it's linked to the change in oil prices?

There is rarely any reason for it to go up other than for pure greed by the cartel of producers. The slightest little thing in the news is just an excuse to put it up. It's come down a bit recently at petrol pumps but most other associated products such as electricity, gas, lpg etc haven't fallen.

But the cartel (I'm assuming you're referring to Opec) dont set the prices.
Those are set by the mysterious force we call the "market". I read something where Opec were looking to cut production in order to lift the prices...

A 10% drop is significant, and it has happened without much fanfare, hence the question why ???

http://news.bbc.co.uk/1/hi/business/5365756.stm

http://news.bbc.co.uk/1/hi/business/5365756.stm


Cheers Chris :thumbsup:

Well fingers crossed that there are no more significant confrontations in the Middle East.

I was just searching on the web and came across an article claiming that the US had stockpiled oil ahead of the mid-term elections.

Regardless, I'm sure everyone will be happy to be paying less at the pump. :)

But the cartel (I'm assuming you're referring to Opec) dont set the prices.
Those are set by the mysterious force we call the "market". I read something where Opec were looking to cut production in order to lift the prices...

A 10% drop is significant, and it has happened without much fanfare, hence the question why ???
They say it's the market but the producer just ramp production up and down when it suits them. They never lose, if they reduce production they just increase the price. The industry has the capacity to produce far more than it does. These various pipelines don't increase capacity out of neccessity they just give that particular supplier more control.

I'm sure everyone has noticed the recent decline in the price of Oil.
What's the cause behind it ? I've certainly not heard of extra refining capacity coming online etc.

mmm

The American midterms.

They say it's the market but the producer just ramp production up and down when it suits them. They never lose, if they reduce production they just increase the price. The industry has the capacity to produce far more than it does. These various pipelines don't increase capacity out of neccessity they just give that particular supplier more control.

The extra capacity is a bit of a fallacy. Saudi has been pumping at max capacity for most of the past year.

The extra capacity is a bit of a fallacy. Saudi has been pumping at max capacity for most of the past year.I meant worldwide overall.

I meant worldwide overall.

Think that's generally dropping aswell. Don't know the exact figures to quote you (!) , but the general trend is down. Saudi was the main 'swing producer' - a state that had the ability to vary it's produciton and prices to keep the market stable - But as I said, it's fields have levelled off in their produciton, and in some cases dropped.
Hence disasters like Katrina and the Isreal/Palestine/lebanon issues having the ability to affect price so much.

Multiple reasons, most of them discussed here (http://www.sheffieldforum.co.uk/showthread.php?t=142276).

They seem to have come down even more in the last day or so. :)

It is true that the petrol price is subject to world oil prices but for every 1p on the petrol price there is about 3p tax.

If the garage drops the price by 2p the pump price drops by about 8p.

It's new labour's massive petrol tax that is hurting business and your jobs with it.

Mod Note: Threads merged.

It is true that the petrol price is subject to world oil prices but for every 1p on the petrol price there is about 3p tax.

If the garage drops the price by 2p the pump price drops by about 8p.

It's new labour's massive petrol tax that is hurting business and your jobs with it.Because of that, products such as lpg and others produced using oil should go down by more than petrol. Domestic fuel only has 5% VAT on it.

I've found the following blog which may or may not shed some light on the recent drop in prices.

http://www.kellerkomments.com/2006/10/gasoline-price-manipulation.html

If this is true, then we should expect a rise in prices AFTER the US midterm elections...

Oil was $15 a barrel in 1997...

I think the prices will come down just enough to keep us quite, but not down enough.

I'm not complaining, enjoy it while it lasts is what I say.