Oil
Out of context: Reply #32
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Several key factors influence the global oil market, including the types of crude oil, the players in the oil market, supply and demand for crude oil, and the price of oil. All have a direct impact on the prices consumers pay for gasoline, diesel fuel and other oil-based products. To blame it one one person or thing is just plain foolish.
Crude oil is arguably the world's most important and actively-traded commodity. Oil trades in a world market, and is bought and sold in relation to global prices. Because there are many different varieties and grades of crude oil, buyers and sellers have found it easier to refer to a limited number of reference, or benchmark, crude oils. Other varieties are then priced at a discount or premium, according to how their quality compares to that of the benchmark. The type of crude oil that is used as a benchmark in North America is West Texas Intermediate (WTI) oil, which is a light, sweet (low sulphur) crude. This is the price that is usually quoted in newspaper articles. Light sweet crude oils sell at higher prices than heavy sour (high sulphur) crudes, which are more difficult and expensive to refine and yield less of the more valuable oil products such as gasoline and jet fuel.
The price of oil has traditionally been determined by how closely supply and demand match each other. When there is more supply than consumers want, they can shop around for the best price leading to lower prices. If demand is higher than the amount available, consumers will compete with each other, bidding for the supplies they need driving prices up.
However, it is not only the current supply/demand balance that determines market prices. Buyers and sellers also factor in what they expect will happen to prices in the future. If buyers think that supply might be lower in a few weeks or months and the price could go up, they will want to stockpile some oil now and might even be willing to pay a premium today to protect against a higher price in the future. Similarly, if buyers think that the supply of oil will increase in the future or that the price can be expected to decline soon, they will delay their purchases as long as possible or demand a discount on the price.
Demand is off the charts right now due to the recent disasters in China and Burma. 100s of thousands, even millions of aid workers, equipment, generators... you name it. 24/7.
Take off the blinders.
- nice copy/paste fuckface.
http://www.fuelfocus…mrdobolina - http://www.fuelfocus…hedge
- and your theft of that thought mentions nothing about the low value of the dollar.mrdobolina
- which is a major reason why americans pay more at the pump. fucking admit it.mrdobolina
- agreed nice copy/paste. Try using your brain a little.designbot
- Listen you sorry sack of shit, what the fuck is your fucking problem? Did I SAY that I wrote that anywhere there?********
- Go fuck your mother asshole.********
- just post a link next time, plagiarist.mrdobolina
- classy guy.mrdobolina
- somatica, if you want to piss me off, tell me to kill myself or something, be creative!mrdobolina
- Lets not talk about being creative mrdobolina, the king of being a broken record.********
- All I ever see you do here is argue and fight with people. I swear it gets you off or something. You like live for drama.********
- drama, you little pussy ass drama queen doped up dropout living in a 1 bedroom shitty apartment. Fuck you.********
- HA HA.hedge
- nice copy/paste fuckface.