Gas price predictions

[JustRalph]

Anybody care to speculate where the run up ends this year?

I will predict a high of 3.55 national average come July or August

[highnote]

Originally Posted by JustRalph

Anybody care to speculate where the run up ends this year?

I will predict a high of 3.55 national average come July or August

That sounds like a reasonable estimate. It's already higher than that here in Connecticut.

One thing I like about going on vacation is that gas is cheap everywhere we go -- even at $3.55 per gallon!

[Tom]

Is it June already?
$3.29 at the corner.

[RaceBookJoe]

Gas shouldnt have a problem hitting $4 in 2011 and $5 in 2012. My guess on oil would be $110 easily with $150 a possibility. Now here's the important question...How can you profit from this rise in prices??? rbj

[lamboguy]

a $4.00 average for a year will croak this economy. maybe not the stockmarket, but the people living here. they will probably print up more money to pay their bills and everything that you need will keep going up and up in price.

i would tell you to buy gold, but you can never profit from that, you can only stay even no matter what it goes up in price vs. the dollar.

to profit you are going to need to invest in emerging countries throughout the world that are rich in natural recources. rare earth metals, fertilizer, food and water, basic materials.

[BlueShoe]

Originally Posted by Tom

$3.29 at the corner.

And going higher soon. Still the bureaucrats cater to the eco-freaks and refuse to let us drill and refine our own oil, insisting instead that we purchae it at inflated prices from tyrant nations.

[FantasticDan]

Just as it was a few yrs ago, the bubble in oil prices is being caused by market speculation. There is plenty of oil available and in storage. There are even existing wells sitting idle.

[lamboguy]

Originally Posted by FantasticDan

Just as it was a few yrs ago, the bubble in oil prices is being caused by market speculation. There is plenty of oil available and in storage. There are even existing wells sitting idle.

you could be right, but since oil is priced in dollars and the dollar has weakened a price rise would be evident. the thing about it this time is that other countries in the world are now functioning and we are disfunctioning. we have sent our manufactuting jobs overseas and have put people to work in other places that now demand oil. as we know when oil gushes you must find a home for it otherwise they close up the wells.
i have a feeling that natural gas will get us out of the financial mess that this country is in today. there is plenty of that stuff here and its alot cheaper than oil.

[delayjf]

Still the bureaucrats cater to the eco-freaks and refuse to let us drill and refine our own oil, insisting instead that we purchae it at inflated prices from tyrant nations.

And if we don't start allowing the off shore drills to start production again, we will make a bad situation even worse.

It will also be interesting to see how the oil companies with refineries in CA respond to the state mandated cap and trade regulations that will be phased in within the next few years. Will they shift refining to other states (if they can). Will they simply slow production in CA to keep within the regulations, who knows.

[BlueShoe]

Originally Posted by delayjf

It will also be interesting to see how the oil companies with refineries in CA respond to the state mandated cap and trade regulations that will be phased in within the next few years.

Another blow to the states staggering economic situation. California is already among the highest in the nation gas prices, and even higher pump prices, likely boosted by higher state taxes, are surely coming. A quick check of gasbuddy a few minutes ago showed prices in neighboring Arizona averaging 40 cents a gallon cheaper than in California.

[mostpost]

Originally Posted by Tom

Is it June already?
$3.29 at the corner.

You must live near me. $3.29 at my corner too.

[PaceAdvantage]

Originally Posted by RaceBookJoe

Gas shouldnt have a problem hitting $4 in 2011 and $5 in 2012. My guess on oil would be $110 easily with $150 a possibility. Now here's the important question...How can you profit from this rise in prices??? rbj

If you think Oil is going to $150, then by all means, open an online trading account and buy as many crude oil futures contracts as your risk tolerance will allow.

Oil is trading at around $91 right now....a rise to $150 represents about a $60 increase in the price of oil...at $1,000 profit per $1.00 increase per contract, you do the math...that's about $60,000 profit per contract...you need about $5,000 in your account for each contract you wish to purchase....at least where I trade...

[Tom]

Originally Posted by mostpost

You must live near me. $3.29 at my corner too.

Kidding!

[Valuist]

Originally Posted by lamboguy

you could be right, but since oil is priced in dollars and the dollar has weakened a price rise would be evident. the thing about it this time is that other countries in the world are now functioning and we are disfunctioning. we have sent our manufactuting jobs overseas and have put people to work in other places that now demand oil. as we know when oil gushes you must find a home for it otherwise they close up the wells.
i have a feeling that natural gas will get us out of the financial mess that this country is in today. there is plenty of that stuff here and its alot cheaper than oil.

Feels like 2008 all over again. But when the commodities started crashing, the elevator went down in a hurry. But unlike other bubble bursts, its amazing how quickly they came back.

There also is the possibility that there was a lot of margin calls that triggered sell orders on commodities in 2008. Many hedge funds had huge profits in commodities but when they started getting hit w/redemptions, they had to sell their profitable positions.

[Valuist]

Originally Posted by mostpost

You must live near me. $3.29 at my corner too.

Are you in the city or suburbs? In the NW suburbs its about $3.15.