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Oil prices?
#13652733
08/01/20 03:25 PM
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Joined: Nov 2008
Posts: 6,799
361V
OP
TFF Celebrity
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OP
TFF Celebrity
Joined: Nov 2008
Posts: 6,799 |
Can anyone explain why oil prices dropped to the lowest in many decades and gas prices fell until I paid barely over a dollar a gallon for gas a few months ago yet the price of actual OIL has continued to rise and never go down? I choose to use Optimax DFI 2-cycle oil in my Pro XS 250 and that stuff never stops going up. Picked up some at Rockwall Marine they sell in gallon jugs from bulk for $26 a gallon. Cheapest I can find. Some places are asking over $40 a gallon. Anyway, why has the price of actual oil not gone down? Way down? (I know, because they can?).
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Re: Oil prices?
[Re: 361V]
#13652743
08/01/20 03:32 PM
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Joined: Apr 2017
Posts: 4,969
tmd11111
TFF Team Angler
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TFF Team Angler
Joined: Apr 2017
Posts: 4,969 |
Go look at Evinrudes XD100. Almost $60 a gallon at Academy and $89 at the dealer. Makes Merc's DFI oil seem like a bargin.
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Re: Oil prices?
[Re: 361V]
#13652745
08/01/20 03:33 PM
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Joined: Oct 2019
Posts: 315
Cuervo Jones
Angler
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Angler
Joined: Oct 2019
Posts: 315 |
Refineries and distributors have to make a profit and pay employees. If sales reflected the actual cost per barrel, the entire system would have collapsed. Layoffs are rampant in the upstream and service sectors now and increasing. Mergers and acquisitions are kicking off too. Ripple effect could be pretty bad unless OPEC agrees to boost prices. Russia and the saudis saw a chance to screw over the US back in March and they went for it. Welcome to the global economy.
“Slide”
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Re: Oil prices?
[Re: 361V]
#13652763
08/01/20 03:52 PM
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Joined: Feb 2006
Posts: 4,290
BillS2006
TFF Team Angler
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TFF Team Angler
Joined: Feb 2006
Posts: 4,290 |
It's called supply and demand. Crude oil is over supplied, gasoline stocks are high, thus low prices. Marine oil is in demand due to more boating caused by CV-19 thus a high price.
The United States used to be "One Nation Under God". What happened?
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Re: Oil prices?
[Re: 361V]
#13652778
08/01/20 04:11 PM
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Joined: Nov 2008
Posts: 6,799
361V
OP
TFF Celebrity
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OP
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Joined: Nov 2008
Posts: 6,799 |
Good points Cuervo. I got my drivers license in the late 70’s so I’m just old enough to remember the huge gas crunch(crisis) of the late 70’s/early 80’s when we had “gas rationing”, even/odd days to purchase fuel, 55mph maximum national speed limits......all caused by the fact that we were going to reportedly run out of fuel and more so because we were dependent on foreign oil. We simply used more than we produced. The definition of DEPENDENT. I’m neither an expert(in anything) nor an economist( though I do have 9hrs of economics as a degree prerequisite and stayed at a Holiday Inn Express) but my understanding is we produce more oil in the US than we use. Way more. I understand it’s a complex question but why in hades would we allow ourselves to be in any way dependent on any global policies concerning a fuel that we produce more than we use?
Last edited by 361V; 08/01/20 04:13 PM.
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Re: Oil prices?
[Re: 361V]
#13652801
08/01/20 04:35 PM
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Joined: Oct 2019
Posts: 315
Cuervo Jones
Angler
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Angler
Joined: Oct 2019
Posts: 315 |
Exactly correct 361v, were victims of our own success. For years the rallying cry was “Drill baby drill!” Well, we did. And engineering got better and we found more oil. We flooded the market. Many companies require $45.00/ barrel or higher to make a profit. Lots of geologists, accountants, engineers, computer scientists, and others are getting axes now. That has major implications for future profits and production. Oil prices are kept artificially high to keep the economy afloat. People love cheap gas, but they don’t love when their jobs (which are directly or indirectly supported by oil) go away. It’s a mess right now and only major government intervention is keeping prices high. Russia and the Saudis could flood the market more if they wanted to. Then we’d see the US economy really crash and burn. Hopefully cooler heads prevail and they recognize that screwing over the US has major impacts on them too. Already the saudis have been feeling it since pretty much al they have is oil to generate $$$.
“Slide”
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Re: Oil prices?
[Re: 361V]
#13652835
08/01/20 05:08 PM
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Joined: Jun 2001
Posts: 5,977
SkeeterHawk
TFF Celebrity
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Joined: Jun 2001
Posts: 5,977 |
I like how the local gas stations raise the price of gas at the beginning of the weekend and slowly lower it during the week. 1.89.9 on Friday , 1.79.9 by Thursday then back up.
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Re: Oil prices?
[Re: BillS2006]
#13652839
08/01/20 05:13 PM
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Joined: Jul 2010
Posts: 60,015
banker-always fishing
Super Freak
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Super Freak
Joined: Jul 2010
Posts: 60,015 |
It's called supply and demand. Crude oil is over supplied, gasoline stocks are high, thus low prices. Marine oil is in demand due to more boating caused by CV-19 thus a high price. Plus #1. 
![[Linked Image]](http://imagizer.imageshack.us/v2/xq90/823/ycku.jpg) ![[Linked Image]](http://imagizer.imageshack.us/v2/xq90/560/ukw3.jpg) IGFA World Record Rio Grande Cichlid. Lake Dunlap. John 3:16 Sinner's Prayer. God forgive me a sinner. I accept Jesus Christ as my Savior !
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Re: Oil prices?
[Re: 361V]
#13653008
08/01/20 09:01 PM
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Joined: Dec 2008
Posts: 9,502
grout-scout
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TFF Celebrity
Joined: Dec 2008
Posts: 9,502 |
Wrong answers above, the OP wrote the correct answer. Because they can...Need (Demand) for DFI is dropping with the new 4 strokes.
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Re: Oil prices?
[Re: 361V]
#13653011
08/01/20 09:03 PM
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Joined: Aug 2009
Posts: 9,925
9094
TFF Celebrity
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TFF Celebrity
Joined: Aug 2009
Posts: 9,925 |
The outboard motor company use have always made a very high profit margin on oil. Just look at the difference between Lucas or Penns oil and the major brands. The is actually not any difference in the oils themselves. They are approved formulas from the same marine association.
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Re: Oil prices?
[Re: grout-scout]
#13653016
08/01/20 09:09 PM
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Joined: Feb 2006
Posts: 4,290
BillS2006
TFF Team Angler
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TFF Team Angler
Joined: Feb 2006
Posts: 4,290 |
Wrong answers above, the OP wrote the correct answer. Because they can...Need (Demand) for DFI is dropping with the new 4 strokes. While that may be partially true, there is still a demand for 2 stroke oil the manufactures still must supply it. So a shrinking market will rise in price, not "because they can".
The United States used to be "One Nation Under God". What happened?
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Re: Oil prices?
[Re: 361V]
#13653140
08/01/20 11:07 PM
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Joined: Jun 2001
Posts: 5,977
SkeeterHawk
TFF Celebrity
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TFF Celebrity
Joined: Jun 2001
Posts: 5,977 |
HOUSTON (Reuters) - Marathon Petroleum (MPC.N) plans to permanently close two small U.S. oil refineries in Martinez, California, and Gallup, New Mexico, the company said, eliminating 800 jobs in response to lower fuels demand.
The largest U.S. refiner by volume had earlier idled the two facilities following weak demand due to COVID-19 outbreaks in the United States. U.S. refiners on average idled about 20% of total processing capacity on falling vehicle and air travel.
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Re: Oil prices?
[Re: 361V]
#13653192
08/01/20 11:57 PM
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Joined: Jan 2005
Posts: 6,210
ChanceHuiet
TFF Celebrity
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TFF Celebrity
Joined: Jan 2005
Posts: 6,210 |
Wait yall saw cheap gas. Havent seen it less that 1.70 something
I can backlash toilet paper.
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Re: Oil prices?
[Re: 361V]
#13653217
08/02/20 12:31 AM
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Joined: Jun 2012
Posts: 11,398
Douglas J
TFF Guru
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TFF Guru
Joined: Jun 2012
Posts: 11,398 |
Corona-Cation has driven 2 stroke oil prices up
“Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety."
Benjamin Franklin
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Re: Oil prices?
[Re: ChanceHuiet]
#13653231
08/02/20 12:45 AM
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Joined: Nov 2014
Posts: 11,706
SteezMacQueen
TFF Guru
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TFF Guru
Joined: Nov 2014
Posts: 11,706 |
Wait yall saw cheap gas. Havent seen it less that 1.70 something Bucees last weekend was $1.39. So I topped off, then went inside and bought $12 worth of junk I didn’t need. Lol. Trap.
Eat. Sleep. Fish.
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