RosieC's Blog

I think you may be right.

But another interesting point on this topic is made under lafko's blog.

I think we can't really say for sure just exactly what the truth of the matter is because we're not privy to all of the facts. The oil game seems to be a very recondite, esoteric one.

The price is set by the commodities market. Any threat that demand will decrease will lower the price,and any threat,like a hurricane in the gulf will raise the price. The commodities market is based on nothing but FEAR!
The oil company profits are just incidental. The term now is "demand distruction". People have traded or parked their SUV'S, for smaller cars. So the lower demand is a new standard for establishing the price. We are approaching the 200 day moving average on the price per barrel. If the price goes to $110 per barrel,then it will continue to dercrease,to as low as $85 per barrel. If it dosent break the 110 threshold, then it will slowly increase again, but not to the previous high of $145,that will take at least another year. The price right now is $114,down .45 cents for the session. It is looking good for the $110 threshold. We all still have to keep acting like the price for gas is over $4.00 a gallon. Keep conserving, and that will help keep the price down

I believe the oil companys are beginning to see&feel the reprocussion of these price increases.It's true the commodities market has caused a lot of speculation increases,but i beleive the oil companies were also trying to see how much they could get away with in price increases before anyone said this is enough!A few days ago the president of Shell oil was interviewed.He was asked about the more than 29billion in profit and asked what could be done about oil use.One of his remarks was we should all drive slower,and not accelerate to fast from the start to conserve gas.He did say all of the profits are being reinvested.Im sure most of the ex of theis oil company's are not just making $200,000. a year.Y don't the oil company's give a little back by way of less gas prices.Maybe im wrong,Id like to make 29billion and then put it back into my own pocket.