Significant Reduction in Petroleum / Gasoline Prices, HOW?

[limitdown]

additionally,

it was mentioned earlier that:

New Jersey, which is an extreme case of an oil refining state along the I95 corridor, has statewide lower gasoline or "at the pump prices" with an average spread of over $.20 per gallon cheaper than the surrounding states.

This fact has a natural economic draw upon the surrounding states' drivers,

the economic benefits are all the other companies (restaurants, shopping, entertainment, etc.) receive the residual benefits of so many "tourists for the day" who make more of their frequent trips across state borders, not just for significantly cheaper gasoline prices, but for an entire day's outting.

Incidently, South Carolina also has similarly low gas prices....

 

[Pekelo]

A worldwide epidemic whipping of about 2-300 million people from the surface of Earth would sure ease up on oilprices, if temporarily....

Seriously, a few years back even just a little SARS scare was enough to stop traveling to certain spots on the globe effectively killing tourism there and as an effect, oilprices fell...

 

[limitdown]

As traders, I learned from some excellent corporate traders, who had hundreds of millions of dollars entrusted to them, and they shared an important psychological lesson with us traders,

that lesson went something like this:

As traders, we can not afford to take or have a political spin to our decision making. We have to be able to go long, hedge or short any position either with or against a political trend happening in the news. Hence, have nor express any political opinion and you will remain objective and capable of being a highly profitable trader, who takes advantage of all news events.

So, regarding this oil matter, it does overlap with politics, however, we have addressed these issues from the economic perspective.

don't think for one moment that I wont do hedging long oil and oil futures against airlines or otherwise, whether or not I dispise paying $3.25 for gasoline.

 

[libertad]

limitdown wrote

As traders, I learned from some excellent corporate traders, who had hundreds of millions of dollars entrusted to them, and they shared an important psychological lesson with us traders,

that lesson went something like this:

As traders, we can not afford to take or have a political spin to our decision making. We have to be able to go long, hedge or short any position either with or against a political trend happening in the news. Hence, have nor express any political opinion and you will remain objective and capable of being a highly profitable trader, who takes advantage of all news events.

So, regarding this oil matter, it does overlap with politics, however, we have addressed these issues from the economic perspective.

don't think for one moment that I wont do hedging long oil and oil futures against airlines or otherwise, whether or not I dispise paying $3.25 for gasoline.
.......................................................................................................

Excellent and correct commentary

All the more reason to accomplish daytrading skills...

You are liquid every day...and could care less what analysts thinks....political opinions...etc...etc...

Yes indeed...being a daytrader has its liberties....

Political blabber...analysts blabber....entertainment only.....sometimes good entertainment...sometimes bad entertainment...

One does not have to be subject to such crap...

Just make money !!!!

Love it !!!

 

[MRWSM]

Make oil absolete, we can do it. Obviously the auto company's are influenced by big oil so they will not change unless they are forced. The government needs to see foriegn oil as a threat and set things in motion that will totally eliminate foriegn oil ASAP. Electric vehicles were doing great in California until big oil and auto company's stepped in and got them eliminated in court. The owners loved them so much they offered to buy them after their lease was up at any price. Jay Leno offered $1 Milion for a GM EV1 Generation 2. The oil company's were worried about something.

Todays hybrids have a potential to become so good eventually that they will in essence be an electric vehicle with a built in gas/ethanol generator that will be used only for cross country trips, otherwise no gas needed. But they need a push from the government.

 

[smallfil]

>>>don't think for one moment that I wont do hedging long oil and oil futures against airlines or otherwise, whether or not I dispise paying $3.25 for gasoline.<<<


Agree with you 100% on this.
That is what I don't understand. Too much whining and crying. I can understand the poor saps who have no clue about economics but, as traders----we should atleast, know better and take advantage of what the market gives us!!!
I sold my $40 calls on XTO today (XTO EH) and pocketed some nice cash. Still got other oil related stocks and options so, just taking some chips off the table.
I've got office mates who looked at me like crazy when I told them that crude oil was going to rise but, they were whining and crying today. Told them to buy some oil stocks but, did not listen so, now they are complaining like they did not know what was coming. That is not even counting the 6 scenarios which can really result in an oil spike!!!

 

[limitdown]

Senator calls for gasoline price-fix probe
Americans are spending hundreds of millions more at the pump; industry says it isn't withholding any supply.
By Steve Hargreaves, CNNMoney.com staff writer
April 18, 2006: 3:37 PM EDT

NEW YORK (CNNMoney.com) - As American drivers shell out more and more money at the pump with each passing day, some are asking whether big oil companies are scheming to withhold supplies in order to boost prices.

 

[2cents]

national problem... u guys shld perhaps consider pushing for a gradual tax increase on oil consumption... in order to incentivize faster adoption of alternative energies / substitution products... and help your oil industry cartel redeploy itself... why wld they want to change otherwise??...

 

[limitdown]

Quote from MRWSM:

Make oil absolete, we can do it. Obviously the auto company's are influenced by big oil so ...

Todays hybrids have a potential to become so good eventually that they will in essence be an electric vehicle with a built in gas/ethanol generator that will be used only for cross country trips, otherwise no gas needed. But they need a push from the government.

OBSOLETE

I believe that's the word we both wanted to see used.

They Hybrids that blend or are multi-fuel are the most lethal to this equation. No doubts!

Thanks for the comments and the participation.

Did you see or do you remember the movie FORMULA? We discussed this on another thread.

It was based on the reality that the Germans had liquefied crushed coal into a slurry very similar in texture and combustibility as petroleum.

This remains the key, and more likely to throw a death kneel into this equation, as America has huge coal, both high sulfur and low sulfur deposits on the order of magnitude as Saudi Arabia having petroleum reserves.

 

[limitdown]

China to reduce oil usage!


what a headline.....

but this is real, and given that they are communist, then they exist in a Command Economy, which is different from our Open Economy.

They have announced and keep announcing plans to reduce their demands upon world markets for Oil and Petroleum.

They intend to limit its usage to:
1) petrochemical feed / fertilizer stocks

2) transportation, and

3) eliminate usage for heating homes, etc.

[[CNBC news report, Thurs, April 20 3pm news broadcast]]