I cant believe what i just saw today!

[ggoyal]

Quote from ggoyal:

I have been mentioning etf USO for ever now.

Both(crude oil and the etf) are down pretty much exactly 70%.

but the correlation i care about is actual gas at the pump and the etf. the etf is down 70% while gas i payed during the peak has dropped about 60%. so it's not perfect, but it's pretty good.

if an avg person fills up once a year at 20mpg and oil does fluctuate at around $80(just a number, could happen anytime) and gas at the pump rises 75% from current levels(again based on numbers i have seen), you could save $500-$600 a year. peanuts, but someone who drives say 50k miles a year, could be better for him/her.

most people i talk to and tell this about just dont get it. wtf is so complicated about this. i think they r just not interested in savings. after all, foolish american consumers would rather buy than monsterous entertainment system

saying that, im sure as hell the trucking companies have hedge themselves. They have to, how could they not. those 18 wheelers im sure take a lot of gas and with all the trucks driving all around the country, phew.

If they haven't, well, then they deserve less profits, nuff said

 

[cszulc]

Hmmm...what ever happened to hearings and debates about futures manipulation now that oil is $44 a barrel? One wonders.....

I'm sure we all know that this is getting pretty close to a golden opportunity for trucking companies and airlines to hedge themselves for the future. Not saying this is the bottom, but they'll be surely sorry if they haven't hedged six years down and its back making new highs in the 150s and up.

Paid $1.65 for regular today. First time I've seen it less at a Citgo than at Costco's member price ($1.77).

 

[Handle123]

I have been long term trading commodities since 1986 and in that time, I have learned from monthly and weekly charts, most of the time all markets behave about the same. At highs are upside "V" and at lows there is basing or sideways action. Also, I have learned from long term, I maybe long a market for a few years, just rollover but staying the course. Profiting on the buy side takes three times plus longer to go up as far as going down.

As Crude is showing or not showing, it has not made a bottom and can go to area of 17 to 25.

Fundamentally, unemployment at 26 year highs, trucking industry has now had 27 months in a row of reduced tonage, many trucking companies have reduced inventory of trucks by 18% and they are expecting no bottom as yet. Also, almost all company owned trucks have been reduced speeds on the trucks to 6o mph. Trucks use diesel not gasoline.

Now if one looks at Natural Gas, on weekly, this is a market that is closer to bottoming.

I can certainly see 80 cents gas a gallon in next two years.