Gas Prices in Detroit Falls Below $2 Per Gallon

[old guy]

Maybe, it might be a small window. Putin is boxed in a corner and Opec does what it always does. Our economy is recovering and some political party will surely attempt to take advantage of it. Unforeseen changes for 2015 and then the 2016 elections? Oil, always a great motivation for a new war and even greater or faster ill perceived economic recovery could be on the horizon.
Meanwhile, we all bask in the cheap gas prices and don't look at the big picture. I wish I had some answers.

[Whitehouse]

Over here in the Netherlands I still think; what are you complaining about? Here also prices of gasoline and diesel are dalling but not rapid enough if you ask me. At the pump we pay €1,43 per liter, which is $1,73 per 0,264 gallon, or about $6 per gallon. 62% of that price is taxes...

The economy is improving in the US of A and gas prices are falling but Republicans would rather die than give Obama credit for it. Frankly I can't understand why American voter vote against their very own interests.

[JBMcB]

hey want to fuck with Russia so this will be done to put Russia in financial ruin.

Who? OPEC? They haven't increased production. The US has increased oil production a tiny amount, but in the grand scheme it makes little difference. So if it has "nothing to do with supply and demand" how are the prices being forced down?

I heard a large component of the oil price drop was investors were buying options at ridiculous prices hoping demand would surge in Europe, but that never happened, and the futures market collapsed.

[Gpwrangler]

Over here in the Netherlands I still think; what are you complaining about? Here also prices of gasoline and diesel are dalling but not rapid enough if you ask me. At the pump we pay €1,43 per liter, which is $1,73 per 0,264 gallon, or about $6 per gallon. 62% of that price is taxes...

The economy is improving in the US of A and gas prices are falling but Republicans would rather die than give Obama credit for it. Frankly I can't understand why American voter vote against their very own interests.

Oil is a commodity and has gone up and down in price for the last 15 years or more with little regard for who's in office. Anyone who gives the President credit for gas prices dropping below $2 needs to remember they have also been over $4 fairly recently.

Gas prices are not the only important thing in this world.

[Honky Tonk]

Who? OPEC? They haven't increased production. The US has increased oil production a tiny amount, but in the grand scheme it makes little difference. So if it has "nothing to do with supply and demand" how are the prices being forced down?

According to the Noose media OPEC munipulates pricing by controlling production. If there's a reserve, [[and right now there is) they'll slow down production. If reserves are down, they increase production to meet demands. Right now reserves are up but OPEC hasn't slowed production, forcing prices down. The big question is "why?". Speculation is to make Ruski oil and Western "Frucking" less cost effective. [[Big Oil won't continue frucking for pennies on the dollar). In Russia's case, their economy is now in serious trouble. My own personal conspiracy theory is it's a US/OPEC joint to sanction Russia. My only question is what was promised in return?

[canuck]

According to the Noose media OPEC munipulates pricing by controlling production. If there's a reserve, [[and right now there is) they'll slow down production. If reserves are down, they increase production to meet demands. Right now reserves are up but OPEC hasn't slowed production, forcing prices down. The big question is "why?". Speculation is to make Ruski oil and Western "Frucking" less cost effective. [[Big Oil won't continue frucking for pennies on the dollar). In Russia's case, their economy is now in serious trouble. My own personal conspiracy theory is it's a US/OPEC joint to sanction Russia. My only question is what was promised in return?

Alberta oil sands production is particularly vulnerable to the lower prices because below a certin threshhold it just isn't worth it. It takes one barrel of oil in energy to suck out 2 in the oil patch of gooeyness. They are already laying off people in the servicing industry around big oil in Alberta and Saskatchewan like catering, etc...

A friend of mine came back from working as a painter in Edmonton and found that salaries in construction trades was actually lower than Montreal and that the cost of living was pretty high, except that their tax burden is much lower.

Canada also has an equalization system where the rich provinces contribute to the less fortunate ones via a federal transfer of funds...
Quebec gets a lot of money from that. Ontario too in the past 10 years or so with industrial decline in certain areas has profited from the "Have provinces."

[Lowell]

From^ yesterday's fill up at 9 and M5. Usually I do Costco, so this would mean their price is in the $1.80's at the least.

AAA estimates that American drivers are saving more than $500 million per day compared to the highs in both the spring and summer.

That $15 billion a month is going to create a sizable economic surge. It is like an ideal tax cut. Working Americans get it and, in turn will spend it, driving economic growth. Big Oil gets taxed to pay for it.

The effects of which will play out by summer in terms of profits, business expansion and hiring and prices will begin to rise again settling in the mid $2 range.

[Honky Tonk]

From^ yesterday's fill up at 9 and M5. Usually I do Costco, so this would mean their price is in the $1.80's at the least.

AAA estimates that American drivers are saving more than $500 million per day compared to the highs in both the spring and summer.

That $15 billion a month is going to create a sizable economic surge. It is like an ideal tax cut. Working Americans get it and, in turn will spend it, driving economic growth. Big Oil gets taxed to pay for it.

The effects of which will play out by summer in terms of profits, business expansion and hiring and prices will begin to rise again settling in the mid $2 range.

I agree, but remember, someone else controls the situation. Like the scene in Mad Max and The Thunderdome, "Embargo", and the current situation goes out the window. Who knows what the outcome will eventually be and where will it leave us.

[sumas]

Certainly we follow the news but all I want to say is our crossover van is in love with us. Doubt it has had a full tank since we bought it. Now as the price has dropped I do that OOH OOH thing, pull over honey lets top the tank off.

[313WX]

The prices ranged from $1.75 to $1.85 per gallon in my part of town today...

[G-DDT]

Wow, during the holidays, too! I really cannot jog my memory [[which is well jogged and limber as it is) to recall if we ever had it this low during any of the eight years Bush was in office.

[313WX]

Wow, during the holidays, too! I really cannot jog my memory [[which is well jogged and limber as it is) to recall if we ever had it this low during any of the eight years Bush was in office.

It was in the ball park of $1.50 per gallon for a while in late 2008, before the economy collapsed...

[sumas]

On long ago threads and boy do I feel old now, 32.9 cents got you full service. My VW could run a week on a gallon of gas and gas wars were common. Lowest price I paid was 19 cents during one of those gas wars. Average price approx was 26 cents.

All that said for old memories, I still believe gas should be priced high, as it will lead to demand for better mass transit. For now, my van says thank you, with these prices, it is well fed

[MikeM]

The US average for regular first broke above $2 in May 2004.

[G-DDT]

Ahh, now I know the rest of the story.

[Patrick]

Big winners? Detroit and Detroit - metro Detroit and Detroit = the auto industry.

The oil patches will suffer. [Yeah i know breaks your heart]

The only question is how long this be allowed to continue by the big oil players.

A lot of people in Texas are worried right now because of the low gas prices. I know several Texans who are terrified at the idea of a "bad" economy in Houston and Dallas. These same folks used to rip on the "poor" Rustbelt folks and the local economy in SE MI. It's hard to feel bad for Texas at the moment.

[Jimaz]

Just musing:

Then there's that whole embarrassing tradition of tacking on 9/10ths of a cent to the price per gallon. I googled for a rationale and found many theories but no convincing answer.

Sometimes I think the only purpose of such blatant deceptions is to fool people into falsely believing that other people can be so easily fooled. On the contrary, I hold the common sense [[gasp!) belief that people aren't so easily fooled.

It's kind of like when folks wring their hands over people voting against their own interests. Well, can we really be so sure that they did so? How do we know their votes weren't instead secretly changed to appear self-defeating in order to legitimize a corrupt system? "Don't like your government? Blame it on yourselves, you rubes! Ha!" Perfect scapegoating.

Or are we just being told that — "9/10¢ really does affect people's decisions, honest!"

If 9/10¢ has any effect, wouldn't 99/100¢ have more of that same effect? Why stop at 99/100¢? Why not 999/1000¢? Talk about penny pinching!

I mean, really. In what future century will this petty custom have finally become an anachronism?

For crying out loud, no one cares about pennies anymore. Lately I've been noting the irony of a penny that's been sitting in the same place in a certain bank's parking lot for several weeks now. No one ever picks up that lonely penny. I would rescue it from its humiliation of being so unwanted if not for the curiosity about whether it will ever be picked up by anyone else.

Imagine waste pennies accumulating to the point of engulfing an entire bank. That's irony.

[Honky Tonk]

Just musing:

Then there's that whole embarrassing tradition of tacking on 9/10ths of a cent to the price per gallon. I googled for a rationale and found many theories but no convincing answer.

Sometimes I think the only purpose of such blatant deceptions is to fool people into falsely believing that other people can be so easily fooled. On the contrary, I hold the common sense [[gasp!) belief that people aren't so easily fooled.

It's kind of like when folks wring their hands over people voting against their own interests. Well, can we really be so sure that they did so? How do we know their votes weren't instead secretly changed to appear self-defeating in order to legitimize a corrupt system? "Don't like your government? Blame it on yourselves, you rubes! Ha!" Perfect scapegoating.

Or are we just being told that — "9/10¢ really does affect people's decisions, honest!"

If 9/10¢ has any effect, wouldn't 99/100¢ have more of that same effect? Why stop at 99/100¢? Why not 999/1000¢? Talk about penny pinching!

I mean, really. In what future century will this petty custom have finally become an anachronism?

You can fool some of the people some of the time, ........

[Spartan]

Paid $1.79 downtown today

[Lowell]

Today at Costco. Also my first sub $30 fillup.

[Whitehouse]

Had to chuckle a bit about the President of Cloud Coo Coo land. I'm talking about Michelle Bachmann.Prediction is correct, different president though.

[Packman41]

Want to know who to thank for the lower gas prices? Then you need to read this article from the Wall Street Journal. The author is James Bloodworth the editor of the blog Left Foot Forward.

http://www.wsj.com/articles/james-bl...ing-1419898265

Thank … American shale producers. The shale-gas and hydraulic-fracking revolution is lighting a figurative bonfire under the world’s petrocracies. Dictatorships that for years blackmailed the West in the knowledge that we would come crawling back for the black stuff are now catching a glimpse of a bleak future.

This is a price drop made in the shale-rich heartlands of the U.S. Between 2007 and 2012, shale production in America jumped by more than 50% a year. In that time the shale share of total U.S. gas production rose to 39% from 5%. Last year the U.S. overtook Russia as the world’s leading energy producer; next year America is projected to overtake Saudi Arabia as the world’s biggest producer of crude oil.

Rather than contract, the global supply of energy continues to diversify and expand, in no small part because of the boom in American shale. This ought to put a smile not only on the faces of free-market economists, but liberals and progressives, too. As America becomes a net exporter of energy, shale could help topple some of the world’s worst regimes.”

[Jimaz]

They've resorted to burning our candle at both ends.

There is no third end.

[chicagoforlife]

I know I'm not from Detroit but I filled up for $1.97 at a Speedway station by O'Hare the other day. Most stations in the inner city of Chicago are in the $2.49-$2.69ish range.

[Gpwrangler]

I'm happy that it's cheaper but I've already trimmed my driving habits, extra trips, etc because it saves on maintenance, etc. I really didn't use much less when it was over $3.00. It won't last.