By msnbc.com staff
“As I look at just the supply and demand fundamentals, I would not expect prices to reach that level,” Tillerson told TODAY.
“Again, the unknown in here is the market’s view of the political risk; if the rhetoric gets more heated, if a problem flares up anywhere else in the world, then certainly it could drive these prices up further,” he said.
With the busy summer driving period approaching, many observers are fearful that the price for a gallon of gas, which AAA says is now $3.76 on average across the U.S., could move up to the dreaded $5 mark and derail the economic recovery.
Ongoing conflict in Syria, political tensions between Iran and the West and rising demand for oil from emerging economies such as China are also threatening to push up gas prices.
One source of tension in the Middle East has been concerns over Iran’s nuclear program, which Israel sees as a threat to its existence. If Israel were to attack Iran’s nuclear facilities the impact on gas prices would be “fairly immediate and highly volatile,” Tillerson said.
“It would be largely driven too by what the response was, and whether that resulted in an actual physical disruption of oil to the market.”
Faced with trade embargoes and the possibility of an attack, Iran has threatened to close the Strait of Hormuz -- a strategic shipping channel through which a majority of the Middle East’s oil-producing countries supply the world’s economies with crude oil.
Related:
Magic number for gas prices? Try $5.30 a gallon
The sooner it hits $5 a gallon, the sooner we have a new President. Thank goodness for my Chevy Volt.
- 12 votes
Thank goodness for my bicycle :D
But in all seriousness. We need to stop the speculation on the global oil market. Producing more here at home won't help, as it is a proverbial 'drop in the bucket' and will not significantly affect the global price of oil. A POTUS really isn't responsible (whether it be Bush or Obama) for the price on the global market.
Or we could take this opportunity to begin transitioning off of fossil fuels.
But in all seriousness. We need to stop the speculation on the global oil market. Producing more here at home won't help, as it is a proverbial 'drop in the bucket' and will not significantly affect the global price of oil. A POTUS really isn't responsible (whether it be Bush or Obama) for the price on the global market.
Or we could take this opportunity to begin transitioning off of fossil fuels.
- 40 votes
Speculation is a part of the rise in oil prices. Also contributing is greater demand and flat to declining production.
I also heard someone say we are exporting a lot of refined gasoline due in part to a weaker dollar.
I also heard someone say we are exporting a lot of refined gasoline due in part to a weaker dollar.
- 6 votes
Oil
price has NOTHING to do with supply and demand, it is all about
speculation. The world needs about 80 million barrels per day right now
and oil trades about 10 times that every day in the market, along the
way every trader want's to make money on it. If we stop all margin
trading on commodities and make sure that a trader must take possession
first before selling back into the market than we can see prices go down
by half within the first day, otherwise we are stuck here with higher
prices regardless of supply and demand.
- 51 votes
the
president as nothing to do with gas prices the price of barrel of oil
is international set price, what happens in the middle east, europe,
ect... effects the price of gas here and what happens here effects the
price of gas over there, we can open all oil wells here but it will take
at least a decade before its online even after that the price of gas
will drop around 3 cents
- 16 votes
I also heard someone say we are exporting a lot of refined gasoline due in part to a weaker dollar.not sure in part to a weaker dollar but we are excporting more refinded products... demand is down in America and production is up... .. the increase in cost and sale of oil products is mostly due to speculation I have read as much as 30 to 60%, increased war mongering with Iran also plays a big role.. and of course greed...
speculation is also a huge factor in the rapid increase in food prices.... once the houseing market was plundered and crashed the speculators move onto the next target... food... water is probably not far down the road...
- 15 votes
Please.
The President is mostly a figure head. Govt is run by our "Reps" who are run by Big Business and foreign bankers.
Yeah... It won't go to $5.00, but it will hit $4.999. What a B-Tard.
The President is mostly a figure head. Govt is run by our "Reps" who are run by Big Business and foreign bankers.
Yeah... It won't go to $5.00, but it will hit $4.999. What a B-Tard.
- 24 votes
I also heard someone say we are exporting a lot of refined gasoline due in part to a weaker dollar.I've heard many people say the same thing Alan, I just don't know if there's truth to this or not.
- 1 vote
And an oil company subsidized president would have allowed the Volt to roll out?
Why would MSNBC have an oil company executive in their studio? Those are absolutely the most evil men on the planet. They ruin entire oceans and countries, lie on availability to gouge. They're not businessmen, they're satanicmen.
Why would MSNBC have an oil company executive in their studio? Those are absolutely the most evil men on the planet. They ruin entire oceans and countries, lie on availability to gouge. They're not businessmen, they're satanicmen.
- 3 votes
i
would like to know why gas buddy for the last 6 years show gas prices
were at a all time high of $4.12 in July of 2008. In a period of 5
months gas price dropped to 1.61 of December 2008. I think we are
getting hustled, what happen during those 5 months that made the price
so low?
- 15 votes
Obama being responsible for the price of gas is like Obama being responsible for the G3 magnetic storm we are currently under.
Of course Exxon doesn't want it going to $5/gallon, that means Americans will turn more towards green energy which what they don't want. Besides the Saudi's have already stepped up production to bring the prices down.
Of course Exxon doesn't want it going to $5/gallon, that means Americans will turn more towards green energy which what they don't want. Besides the Saudi's have already stepped up production to bring the prices down.
- 13 votes
Viet
Vet. I agree with your statement about needing a new president but also
want to let you know that I am waiting for 1 1/2 years for the new
batteries being developed for electric cars. The lithium battery
industry is predicting prices to drop 50% for new electric vehicles and
travel up to 300 miles on an electric charge. This is why Chevy stopped
production on the Volt.
- 6 votes
Well
We got to blame someone that is the American way did, you not hear
about that one, the other countries Laugh Their Azz Off on how Americans
seem to whine about every little thing, I have to admit there is a lot
of truth to that one .... When Obama pushed GREEN energy everyone
thought he was stupid but guess what He was RIGHT.
- 9 votes
This country has no
infrastructure to support electric cars, and until it does, electric
cars like the Volt won't solve the problem, unless you live 10 miles or
less from your office.
- 6 votes
In a period of 5 months gas price dropped to 1.61 of December 2008. I think we are getting hustled, what happen during those 5 months that made the price so low?the stock market crashed... oil is a commodity traded on the market... it's subject to the same fluctuations as all stocks..
- 3 votes
This country has no infrastructure to support electric cars, and until it does, electric cars like the Volt won't solve the problem, unless you live 10 miles or less from your office.Volts have a gas tank that kicks in when the batteries are exhausted.
- 7 votes
Comment collapsed by the community
i guess he doesnt watch the news, its already $6 is florida, is florida not part of the US anymore?
I cant believe how civil this comment has been.
I firmly believe the president has no control over gas prices.
But obama didnt believe that, and neither did pelosi, when he was running for president.
So now its his turn to take the blame!
the other thing is how much money into green energy this dork has lost us.
he wants us to be green so fast, it starts to look like he is encouraging the gas prices to rise.
Conspicary?
the green president and the oil companies working together to raise gas prices in order to force green?
what the dork in the white house doesnt realise, or doesent want to realise, is green takes alot of green.
i aint got $40k+ for that stupid chevy exploder, aka volt.
its easy to push a $40k car when i am paying all your transportation cost, isnt it president?
I cant believe how civil this comment has been.
I firmly believe the president has no control over gas prices.
But obama didnt believe that, and neither did pelosi, when he was running for president.
So now its his turn to take the blame!
the other thing is how much money into green energy this dork has lost us.
he wants us to be green so fast, it starts to look like he is encouraging the gas prices to rise.
Conspicary?
the green president and the oil companies working together to raise gas prices in order to force green?
what the dork in the white house doesnt realise, or doesent want to realise, is green takes alot of green.
i aint got $40k+ for that stupid chevy exploder, aka volt.
its easy to push a $40k car when i am paying all your transportation cost, isnt it president?
- 7 votes
FYI,
Ever hear of supply and demand, that controls pricing and until there
are more people buying those Electric Vehicles the prices will be very
high ... And if there are more companies producing electric vehicles the
price of gas will have to come down, does that make any sense to you
people ..
- 2 votes
appears
there is some gouging going on in fla.. gasbuddy has the average for
florida as 3.727... the lows are 3.59 in many places... the highs are
looking like 4.09 to 4.529 with two stations gouging it's customers with
5.89 one being in lake buena vista and the other in orlando... both
should be reported to the states attny general...
- 5 votes
OMGreally.. I live in Florida and paid 3.62 yesterday. You must buy gas at the airport from the rental companies.
- 4 votes
I
opine that the President of the United States can to some degree effect
the price of a gallon of gas both directly and indirectly.
Here are a few examples. Let's say that Rick becomes president and his inordinate fear of Iran causes him to take the actions against that nation that he has already said he would. There you go...$8.00 a gallon gas.
Or let's say the current President decides to use the power available to him; i.e. the FBI or the IRS taking a real close look at oil companies and oil company CEO activities. There you go....$2.95 a gallon gas.
Parenthetically, President Obama negotiated Twenty Billion Dollars for Gulf State families and business affected by the last oil spill.
This is a capitalistic country so the president cannot dictate to the oil firms their prices, but he has some leeway over gas taxes. He also directs energy policy.
Finally, the president has an enormous amount of influence over the mood or sentiment of the country. An upbeat president does encourage an optimistic outlook for the future, that drives the economy, thereby altering the price of gas.
Here are a few examples. Let's say that Rick becomes president and his inordinate fear of Iran causes him to take the actions against that nation that he has already said he would. There you go...$8.00 a gallon gas.
Or let's say the current President decides to use the power available to him; i.e. the FBI or the IRS taking a real close look at oil companies and oil company CEO activities. There you go....$2.95 a gallon gas.
Parenthetically, President Obama negotiated Twenty Billion Dollars for Gulf State families and business affected by the last oil spill.
This is a capitalistic country so the president cannot dictate to the oil firms their prices, but he has some leeway over gas taxes. He also directs energy policy.
Finally, the president has an enormous amount of influence over the mood or sentiment of the country. An upbeat president does encourage an optimistic outlook for the future, that drives the economy, thereby altering the price of gas.
- 3 votes
OMG, where in FL is it $6. gal. I can't seem to locate that and there's nothing on the news about it.
- 1 vote
In a period of 5 months gas price dropped to 1.61 of December 2008. I think we are getting hustled, what happen during those 5 months that made the price so low?the stock market crashed... oil is a commodity traded on the market... it's subject to the same fluctuations as all stocks..
Also a hotly contested Presidential election with a well connected oil man as POTUS.
- 1 vote
Ron
Paul wants the dollar back on the gold standard it might be better to
go on the oil standard instead. Then gas prices would never go up. Oil
is the worlds most important commodity.Gold is so 19th century.
- 1 vote
I agree, there are multiple causes to the rise in the cost of gasoline. Speculation, China, war, what have ya.
Something to ponder:
http://www.randomuseless.info/gasprice/gasprice.html
Notice the time frame from around 1990-2000. Then look at the Bush years(2001-2008). Coincidence?
Something to ponder:
http://www.randomuseless.info/gasprice/gasprice.html
Notice the time frame from around 1990-2000. Then look at the Bush years(2001-2008). Coincidence?
- 1 vote
Agent 57
In a period of 5 months gas price dropped to 1.61 of December 2008. I think we are getting hustled, what happen during those 5 months that made the price so low?That's not a plausible theory as the market has crashed on many occasions and not affected gas prices.
the stock market crashed... oil is a commodity traded on the market... it's subject to the same fluctuations as all stocks..
Something to ponder: http://www.randomuseless.info/gasprice/gasprice.htmlpart of that comes from phil gramms legislation The Commodity Futures Modernization Act of 2000... once that door opened.. the market was flooded with speculators... prior about 15% of the traders was speculators and 85% endusers... not it's about 85% speculation and 15% users...
Notice the time frame from around 1990-2000. Then look at the Bush years(2001-2008). Coincidence?
- 3 votes
Kuatomonk
I agree, there are multiple causes to the rise in the cost of gasoline. Speculation, China, war, what have ya.Are those really the cause of gas rising or are those diversions for what actually affects the oil market.
Something to ponder:
http://www.randomuseless.info/gasprice/gasprice.html
Notice the time frame from around 1990-2000. Then look at the Bush years(2001-2008). Coincidence?
It is about supply and demand. Let me give an example.
If I was to find 10,000 tons of gold and put it on the market, what would happen to gold prices? They would crash.
Gas prices went down under Bush because he opened lands for drilling, the stock market had nothing to do with it, gold prices never went down during that time.
#1.30 - Fri Mar 9, 2012 11:54 AM ESTIf I was to find 10,000 tons of gold and put it on the market, what would happen to gold prices? They would crash.
Gas prices went down under Bush because he opened lands for drilling, the stock market had nothing to do with it, gold prices never went down during that time.
No comments:
Post a Comment