99p a litre!

Graham_Devon

It's gotta be done - and I think 99p a litre justifies a thread!

So, Morrisons have today announced they are selling petrol at 99.9p a litre, no gimmicks, no strings attached. Purely a psychological thing, but it's a big one.

Asda have said they will sell at a special price of 99p a litre over the weekend. I believe Tesco and Sainsburys are yet to say anything.

So, the £1 barrier which many thought we'd never see again (and no doubt I've said that too) has been broken (without the aid of gimmicks)

Oil is still falling. Now hovering around $40 a barrel for brent crude.

So the question is - how low can it go without wreaking havoc on the economy?

Rinoa

Graham_Devon wrote: »

So the question is - how low can it go without wreaking havoc on the economy?

You couldn't enjoy the moment. You just had to find a negative somewhere.

Graham_Devon

Rinoa wrote: »

You couldn't enjoy the moment. You just had to find a negative somewhere.

Well I'm not really a fan of the ignorance is bliss approach

CLAPTON

I remember when petrol was 69 p per litre : I don't remember the economy being wreaked.

Thrugelmir

Graham_Devon wrote: »

no gimmicks, no strings attached.

It's called marketing publicity. :cool:

Will attract some punters to spend their money in store in the lead up to Xmas.

wymondham

I'm going to go for a long drive this weekend just for the hell of it..... actually I've still got some expensive BP fuel in the car, so maybe next weekend?

Generali

Down to almost a buck a litre here (48p).

The Scots must be breathing a sigh of relief. Independence at this oil price....gulp. The Saudis are bust in ~5 years at this price I think and even the Norwegians must be worried for the future.

For most countries (including the UK) I suspect that the current oil price is exactly what is needed to shrug off the GFC and put the economy back onto a normal footing.

CLAPTON

I think I might buy a few BTL properties and fill them with cheap petrol

got the future covered.

wotsthat

Don't like the sound of this havoc - I'm off to find the highest price I can find.

purch

Graham_Devon wrote: »

So, the £1 barrier which many thought we'd never see again

Mainly you, I think you'll find Dev

Graham_Devon wrote: »

So the question is - how low can it go without wreaking havoc on the economy?

The price of Crude Oil, or the price of Gasoline ?

It's probably time to buy a Tesla, as it's going to get uneconomic to pump Oil out of the ground soon.

michaels

Graham also didn't notice that Asda did 99.7p/litre last weekend as well.

It is certainly bad news for those who believe that carbon emissions should be cut, short term people will use more, long term there is much less incentive to develop alternatives.

Also for those who think we should see interest rates 'normalised' it is a big contribution to the low inflation rates that mean any base rate increases are a way off (so that 'asset bubble' will not be deflated any time soon) (As an aside - rising commodity prices are 'the wrong sort of high inflation' to be dealt with by raising the base rate where as falling commodity prices cause 'the right sort of low inflation' for no base rate increase to be considered)

Personally given the damage large increases in energy prices do to the economy if I were the chancellor I would be using this moment ot introduce a fuel stabiliser tax pushing up fuel prices by 10% now in return for a slifign scale that would see 20% of fuel price increases offset by reduced taxation.