Largest jump in history (EVER!!) in a barrel of oil today!
Tighten Your Sphincter! (Gas Prices)
Comments ... #
I heard on the news it jumped at least 25 dollars a barrel, but then dropped back a bit.
Yikes. Found a neat site though to add to your initial post.
Here's where I got the info-I guess they're 'investigating' it.
http://news.yahoo.com/s/nm/20080923/ts_nm/us_energy_cftc
Shorts are covering, logistics, etc. Stuff you don't care about when you swipe your card at the pump...
Nagging Logistics Issues Slow Crude, Products Flows From Tankers to MarketsThe number of ships and barges waiting to enter the Houston Ship Channel has dropped dramatically from late last week to about 10-15 as of noon in Houston from more than a hundred last Friday, a Coast Guard official told OPIS on Monday.
The extra crude flow from waterborne cargoes could ease any supply concerns and could have a bearish impact on prices, but prices went the opposite direction on Monday.
The same goes for gasoline. Gasoline supply from products tankers may take several days to get to consumers and markets facing supply allocations.
WTI October crude prices on the NYMEX Globex jumped more than $18 to $122.60/bbl, extending the front-month spread between October and November to almost $14/bbl. The price jump includes the gain from Monday floor trade.
Crude traders reported that there was no real shortage of crude supply in the market, and the price spike was blamed on short-covering on both crude and gasoline cracks.
"Who would have thought October gasoline crack goes negative after a major hurricane?" a trader said.
"There were some shorts on both crude and the gasoline crack. Both had to cover today," he said.
The fundamental impact from extra supply could take several more days to have a bearish impact on the demand/supply balance.
Waterborne crude supply from oil tankers is not expected to reach the refineries promptly due to logistics problems, traders said.
Not all ports and oil terminals are fully operational even though the vessel traffic jam eased on Monday.
"The ship discharge is slow and there is difficulty in lightering the large tankers because of restricted drafts. Nothing is going quite as planned," the trader said.
For gasoline, Kinder Morgan has three of four docks at its Galena Park operational.
Magellan's products terminal at the same location remained down as the operator continued to remove water from the premises and assessed damages.
Both Galena Park terminals are major products terminals on the Gulf Coast.
Most ports are focusing on discharging ships, and little outflow is seen so far.posted by justareviewer on Sep 23, 2008 at 09:20:08 am #
3.64 an hour ago at downtown Shell
NEW YORK (CNNMoney.com) -- Oil prices declined sharply Tuesday as investors refocused on how the struggling economy thwarts demand for energy, and wait for more developments concerning the government's proposed $700 billion bailout plan.Oil slipped $4.47 to $104.90 a barrel. The November contract, which became the front-month contract Tuesday, settled up $6.62 to $109.37 on Monday.
posted by justareviewer on Sep 23, 2008 at 01:23:27 pm #
Wonder ofWonders! No gas increase, at least yet. Maybe due to the closeness of the impending elections??
How much is it now? googling
posted by jshriver on Sep 22, 2008 at 07:46:42 pm #