Anyone see diesel prices going back to 2.00/gal or under?

[EBottema]

I am personally really worried about these prices. It seems that if these prices keep going like this, our economy will go south. Everything will go up in price! There is no real reason for the increase in the prices of oil like this. How are people going to be able to afford 4. 00/gal for fuel? Especially working in the midwest making 6 bucks and hour. I think rising fuel costs will effect us more than the war or terrorism. We are at a point right now where something needs to be done. This does not look good at all.



erik

 

[Alphacowboy]

it was bound to happen my friend. everything else has risen in price over the years, fuel just has been laggin as far as how fast the shrinking dollar goes. It really is up to par as far as how much everything else has appreciated in cost. It sucks, but not a whole lot ya can do. Really makes you want to make your own diesel fuel dont it? I am seriously thinking about making it myself out of cooking oil that is tossed at the local grease shops (IE fast food :-laf )

 

[Jeff H]

I already think the economy is not so hot. Auto makers are at a just break even point. Trucking and shipping companies are really getting nailed. Airlines on the virge of going bankrupt. Only thing holding the economy is low interest rates and home construction.

The dominos are still standing. If energy prices keep going up. The dominos will fall.

Thank your fat politition for the great energy bill. Giving the oil companies a break so they can explore for more oil.

 

[RGardner]

The hot shot economists tell us that the economy is doing just fine but I believe that we are getting closer and closer to a recession with higher energy prices (which will affect everything eventually) and higher interest rates. There is only so much money in peoples pockets. Something has to give. And as far as the old argument that fuel is cheap when accounting for inflation, lets talk about food that is really cheap taking inflation into account. I bought gasoline at 25 cents per gallon when min wage was about $1, now gas $2. 5 and min wage <$6 seems like lots of things aren't keeping up with inflation.

 

[TSpecht]

The American automobile industry has shot itself in the foot over the years by not competing with the Japanese with the same or better level of quality. The damage from that is already done for example, however, since perception is that the Japanese cars offer more value and quality for the money. That was a failed decision by the US manufacturers in the first place. Another problem with US parts suppliers, at least the one I had experience in was an unwillingness by management to stop the production of scrap. They could have shut the presses down for a day to get the dies repaired but instead chose to run, sort 100% and then ship the few good ones they happened to make via air (in some cases actually had a big helicopter pick them up and deliver to an airport). The "Just In Time" management practice (intentional or not), essentially killed that business. The fact that management took no interest at all in the quality process as well. It's not as if this has all been brought on by the price of fuel, because in many cases the businesses are being so poorly managed failure is virtually guaranteed in the long run anyway... I'll probably stop back by here and address some other issues a bit later...

 

[Alphacowboy]

why is the economy failing... tell me one reason why its failing. And dont tell me its because of lost jobs... this country is becoming more and more dependant on technoligy when it comes to some jobs... it takes ALOT less people to run a business these days with so manythings automated... eventually this is going to rear its ugly head and alot of people are going to be out of jobs when robots and computers replace entire careers... . dont think its going to happen? Your living in a different world if you dont.



I have more work to do thatn I know what to do with it, I DONT watch the news, or listen to anything I am told about the economy, as I DIDNT CHANGE MY LIFE STYLE. I do all the same stuff since 9-11. I didnt change how I eat, I didnt change any of my spending habits, I am doing my part to keep this economy running... WAY too many people paniced and shut thier pocket books after 9-11, in many way, dooming us all indirectly. If people dont spend money, its going to crash everything. It makes me sooooo ****** off when people complain about the economy failing, so they complain they dont have any money to spend... what happened to it? did they foolishly have that much of thier money tied up in stocks and bonds that they are now broke after 9-11? Even people I know that have the same job, make the same if not more than they did then... yet they complain the economy is failing and they again, limit thier spending... WHY... its a damn circle, of course, if everyone falls into the media fed poor market attitude, we are all fubared.



Lastly, fuel prices... . blame anyone you want, but is this really our governments fault? I very highly doubt it to a certian point. I laugh at people who blame this on Bush, its such a stupid accusation its just funny. The real cause if you ask me is the oil companies themselves, and ya know, since the eviro freaks in this country dont allow us to drill for oil on our own lands, we are paralized to go out side our borders. LONG ago, if the US auto builders would have taken to heed the warnings of fossil fuel shortages and developed a alternative fuel car before our off-shore compeditors... well they wouldnt be floundering right now would they? I love my gas vehicles and Diesel burners... but come on, if they would have developed a car like they are planing on releasing (IE hydrogen) better options sooner, they would have the corner of the market... but again, it all comes down to the oil companies them selves in all the auto makers pockets.



Anyway, my entire point is this... filler up and give'r hell, blow black smoke and continue life as you were. So you have to stop eating fast food, big deal, its better for ya to make that ham sandwhich and bring it to work anyway!

 

[E7mack96]

nope - going to go to $4.00

Fuel is going to keep climbing towards $4. 00. It will cause a recession not unlike the one about 1930. People are paying for energy by credit card now, as they can't afford to pay cash for their fuel. In Nov (or so) The Credit cards are raising minimum payments, which Will put people into bankruptcy by the thousands.



As I own a trucking co, let me tell you it ain't pretty. No shipper wants to pay increased rates due to the fuel. Some will pay some towards it. Its become a game of lets see and wait for "Our" rate. Some days the rate ain't there, so the trucks sit. The trucks sitting is nearly as bad as paying 2. 50-3. 00 for fuel. No revenue.



Customers are dragging out their terms to 45-60 days, cause they ain't got it. Yet we have to pay for fuel almost immediately. The spread is too thin now.



E7

 

[HEMI®Dart]

Home Heating Oil

I got a letter from the home heating oil company about pre-paying for the year. I think it was a lock-in of $2. 06 a gallon. With the rise in crude oil this week I am going to jump on it quick. I need to come up w/ $1300 though.

 

[Jeff H]

No offense. But I never liked the idea of using heating oil to heat homes. Cuts into diesel fuel prices too much. Maybe some one could come up with bio home heating oil?

In class my instructor says a 4 cyclinder engine could heat a house in the winter. Some thing like a 4bt cummins. Those engines run 24/7 irigating farm fields.

-Stick the radiator in the house. Have it ducted into the furnace.

-Install aftercooler on the exhaust to collect that heat also.

-The engine could be coupled up with a generator. You could produce your own electric.

-Collect waste veggie oil to burn rather than fuel oil.

 

[EBolgiano]

I agree with EZ that fuel prices will be in the $4 range very soon. The days of $2/gal are gone. It has always amused me the way the oil companies are dissed. Yes, I work for one and yes they turn a very good profit. Have any idea what it cost to drill exploratory wells in deep water? Several of the big drill ships cost $400,000/day to operate. $30 million US dollars is a cheap well, and then the exploratory wells are plugged back and usually never produced! Oil companies are just like the stock market... the greater the risk the greater the (possible) gain.

 

[Tony T.]

The hot shot economists tell us that the economy is doing just fine but I believe that we are getting closer and closer to a recession with higher energy prices (which will affect everything eventually) and higher interest rates. There is only so much money in peoples pockets. Something has to give. And as far as the old argument that fuel is cheap when accounting for inflation, lets talk about food that is really cheap taking inflation into account. I bought gasoline at 25 cents per gallon when min wage was about $1, now gas $2. 5 and min wage <$6 seems like lots of things aren't keeping up with inflation.

Here! Here! RGardner I agree. These economist will surely report every thing is fine, because they sure don't want to create a panic. This housing market is a joke to me their getting people in for next to nothing down at a cheaper monthly rate for 5 or 6 years then "bam" hitting them with a large ballon payment usually ending in a repo in most cases. A lot of people are living way be on there means trying to keep up with the Smiths and Jones using the plastic, so called money.



AlphaCowboy the answer to your question is "why is the enconmy failing" is basic economics. The fact that items we all purchase inflate quicker than the wages can catch up. Now if it was only one item inflated, say fuel it would not be as bad, but that fuel is what controls everything else though, you add large increase in fuel this countrys life blood, and then increase in property taxes,utilities,groceries,etc,etc,etc,+ more taxes it all will not compute with the same wages. Therefore people look at the budget of money in hand or the smart ones do and say I just don't have to have that item right now, and I would rather just stick with paying my basic needs and not be in debt.



Different regions of the country will see increase in a failing economy faster than others ,but in the end result if something does not change, the crap usually will hit the fan, and all will see it,and it usually takes awhile to recover.



What a person can do is cut back not just fuel, but everything, I'll say the average working Joe that is. I don't like it one bit myself, but we (family) sure don't get to go like we use to. As long as we have the attitude of money is no object I can guarantee you they do not mind at all sticking it to ya!



Tony

 

[biggy238]

Vehicle sales are declining so i've heard. When they drop back a little more, fuel will too.



They only reason they haven't so far is the complacent "Those days are long gone. "



And that crap about drilling for oil. When you control the economy, you set the price. Not the other way around. They aren't in a break even situation.



I bought my truck in December of 2003 and filled it with $1. 36 per gallon and drove it 130 miles home. There has been no significant change in oil business to cause this in the mean time. We've all just bent over and said here, here I am, please stick it in... .



I live in Appalachia, the poorest economy in the U. S. People just can't make it...

 

[Cummins Pilot]

I got a letter from the home heating oil company about pre-paying for the year. I think it was a lock-in of $2. 06 a gallon. With the rise in crude oil this week I am going to jump on it quick. I need to come up w/ $1300 though.

Smart man, our tanks are pretty full. It isn't going to get cheaper.