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FIB - Scams 101 - Ye Olde Archives
Posted By: Sandi Moses In Response To: Question regarding fuel prices (Jim Wilson)
Friday, 21 April 2006, at 7:17 p.m.
> Hey Everyone,
> I read with interest Maw's post regarding the idea (that won't work) to
> force the big oil companies to drop gas prices. But on that note I have a
> question.
> I was watching one of those television expose' shows and the host
> basically explained the fact that the gas stations aren't making more than
> about 6 cents per gallon. And they went on to explain that the real reason
> the prices are going up is because of the stock market and the oil
> futures.
> And so...
> I thought that product pricing is directly related to supply and demand.
> If the demand is higher than the supply on hand or in reserve than prices
> go up. And on the opposite side of the equation if the supply is higher
> than the demand then prices should go down.
> So based on this if what I read is correct we don't have a supply
> shortage; we actually have plenty in reserves and a good supply coming in.
> The refineries are up and online and are making the gas. And there are new
> opportunities on the horizon for even more crude to be imported.
> So what is the "REAL" reason the prices are going up? It would
> appear to me to be artificial inflation and profiteering on the part of
> those who are heavily invested in crude futures. Am I way off base on this
> one?
> I realize that oil prices are effected by world events. China is using
> more, the Middle East is unstable, yada yada....
> But this doesn't explain the justifications for such a major increase in
> such a short amount of time. Afterall the crude being refined today was
> purchased months ago at lower prices and thus the prices would sure seem
> to be artificially inflated.
> Can someone explain this to all of us in laymen's terms please?
> This IS a really important business-related post when you think about it
> because of the fact that we live and work in a petroleum-based society.
> Whatever the crude prices do per barrel will definitely have effects upon
> businesses. And small business (most of us) are likely to be hit the
> hardest.
> Thanks in advance!
> Jim Wilson
The oil company profits are as high as they have ever been. They are robbing us blind and as long as we put up with it, it will continue to happen. If that ticks you off and you would like to try somwthing that just might REALLY work, see my post down the page abit.
Sandi
How To Find The Perfect Business Opportunity For YOU
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