Price of a barrel of oil down to a 6 month low.

shortchanged_2

With the price of a barrel of Brent Crude oil at $100 a barrel today, is this now the final signal that we are heading for a global recession again as the price has dropped off significantly in the past few weeks.

http://www.bbc.co.uk/news/business/market_data/commodities/143908/one_month.stm

However Qatar's Energy Minister blamed the eurozone crisis rather than issues of supply and demand. http://in.reuters.com/article/2011/10/04/qatar-minister-oil-price-idINT9E7KQ00420111004

Funny that I would have though that the situation in the Eurozone and the US with the fear of defaults and recession are contributing to a weak demand for oil and thus resulting in lower prices for oil.

Graham_Devon

Not sure this is the key for a recession, it's just falling alongside asolutely everything else.

What I want to know, is why diesel is still priced the same as it was when Oil was 115+ a barrel.

shortchanged_2

Graham_Devon wrote: »

What I want to know, is why diesel is still priced the same as it was when Oil was 115+ a barrel.

That will be someting to do with the US exchange rate graham.

http://www.bbc.co.uk/news/business/market_data/currency/11/12/three_month.stm

And some other excuses of course.

Graham_Devon

shortchanged wrote: »

That will be someting to do with the US exchange rate graham.

http://www.bbc.co.uk/news/business/market_data/currency/11/12/three_month.stm

And some other excuses of course.

Ahh well, at least general prices will be be "falling" next year, as the rate of inflation will be at approx 3.5% apparently.

An economist actually stated that on the radio. Didn't even get picked up on it.

shortchanged_2

Graham_Devon wrote: »

Ahh well, at least general prices will be be "falling" next year, as the rate of inflation will be at approx 3.5% apparently.

An economist actually stated that on the radio. Didn't even get picked up on it.

Ah, at last some good news graham :rotfl:

shortchanged_2

The European stock markets are taking a real pounding today as well. The FTSE is currently down 4% to 4870.

shortchanged_2

I know see Brent crude has dropped to $99.23!

Cleaver

JonathanH wrote: »

Why does petrol at the pumps go up as soon as the price of crude rises and never seems to come down at the same rate as crude price drops?????

Because f*ck you. Basically.

shortchanged_2

JonathanH wrote: »

Why does petrol at the pumps go up as soon as the price of crude rises and never seems to come down at the same rate as crude price drops?????

It's to do with the refining costs and the exchange rate so they'll tell us.

Personally I call it price fixing.

People get used to paying the higher prices hence they very rarely return to the prices they were before the rises even if the price of crude returns to those levels.

I wonder why we haven't seen any protests regarding the high price of petrol. Because it is certainly much higher now than it was when we last had protests?

Graham_Devon

shortchanged wrote: »

Ah, at last some good news graham :rotfl:

True, better not question it!

quantic

JonathanH wrote: »

Why does petrol at the pumps go up as soon as the price of crude rises and never seems to come down at the same rate as crude price drops?????

The same reason why your mortgage provider still offers 5% fixed deals even though the base rate is 0.5%, to line the pockets of the few while taking from the pockets of the many.