Pre Election gas price manipulation has begun.

[RumRiverRat]

The Democrats are at it again.

Lower prices means all the low information voters can get to the polls in multiple precincts to vote early and often.

[Juneau4]

The Democrats are at it again.

Lower prices means all the low information voters can get to the polls in multiple precincts to vote early and often.

Please explain how a political party controls the price of gas.

[Canon Guy]

How ironic that the OP complains about low information voters.

[candiru]

I wonder if there isn't a little bit of truth to it? Although not from the gov't, but from the speculators. ISIS is on the march and they don't seem to care. Are they just laying low right now to keep the heat off of the politicians that are protecting them?

[Duffman]

Quote:

LONDON: Saudi Arabia is quietly telling oil market participants that Riyadh is comfortable with markedly lower oil prices for an extended period, a sharp shift in policy that may be aimed at slowing the expansion of rival producers including those in the U.S. shale patch.

Some OPEC members including Venezuela are clamoring for urgent production cuts to push global oil prices back up above $100 a barrel. But Saudi officials have telegraphed a different message in private meetings with oil market investors and analysts recently: the kingdom, OPEC’s largest producer, is ready to accept oil prices below $90 per barrel, and perhaps down to $80, for as long as a year or two, according to people who have been briefed on the recent conversations.

The discussions, some of which took place in New York over the past week, offer the clearest sign yet that the kingdom is setting aside its longstanding de facto strategy of holding prices at around $100 a barrel for Brent crude in favor of retaining market share in years to come.

The Saudis now appear to be betting that a period of lower prices – which could strain the finances of some members of the Organization of the Petroleum Exporting Countries – will be necessary to pave the way for higher revenue in the medium term, by curbing new investment and further increases in supply from places like the U.S. shale patch or ultra-deepwater, according to the sources, who declined to be identified due to the private nature of the discussions.

The conversations with Saudi officials did not offer any specific guidance on whether - or by how much - the kingdom might agree to cut output, a move many analysts are expecting in order to shore up a global market that is producing substantially more crude than it can consume. Saudi pumps around a third of OPEC’s oil, or some 9.7 million barrels a day.

Asked about coming Saudi output curbs, one Saudi official responded "What cuts?", according to one of the sources.

Also uncertain is whether the Saudi briefings to oil market observers represent a new tack it is committed to, or a talking point meant to cajole other OPEC members to join Riyadh in eventually tightening the taps on supply.

One source not directly involved in the discussions said the kingdom does not necessarily want prices to slide further, but is unwilling to shoulder production cuts unilaterally and is prepared to tolerate lower prices until others in OPEC commit to action.

OPEC ANGST

With most other members of the cartel unable or unwilling to reduce their own output, the group's next meeting on Nov. 27 is set to be its most difficult in years. OPEC has agreed to cut production only a handful of times in the past decade, most recently in the aftermath of the 2008 financial crisis.

On Friday, Venezuela - one of the cartel's most price-sensitive members - became the first to call openly for emergency action even earlier. Foreign Minister Rafael Ramirez said "it doesn't suit anyone to have a price war, for the price to fall below $100 a barrel."

On Sunday, Ali al-Omair, oil minister of Saudi Arabia's core Gulf ally Kuwait, appeared to be the first to articulate the emerging view of OPEC's most influential member, saying output cuts would do little to prop up prices in the face of rising production from Russia and the United States.

"I don't think today there is a chance that (OPEC) countries would reduce their production," state news agency KUNA quoted him as saying.

Omair said that prices should stop falling at around $76 to $77 a barrel, citing production costs in places like the United States, where a shale oil boom has unexpectedly reversed dwindling output and pushed production to its highest level since the 1980s.

Saudi oil officials have made no public comments on the deepening swoon in markets. Senior officials did not reply to questions from Reuters about recent briefings.

DON'T BE SURPRISED BELOW $90

Global benchmark Brent crude oil futures have fallen steadily for almost four months, dropping 23 percent from a June high of over $115 a barrel as fears of a Mideast supply disruption ebbed, U.S. shale production boomed and demand from Europe and China showed signs of flagging.

Until recently, Gulf OPEC members have been saying that the price dip was a temporary phenomenon, betting on seasonal demand in winter to prop up prices. But a growing number of oil analysts now see the latest slide as something more than a seasonal downswing; some say it is the start of a pivotal shift to a prolonged period of relative abundance.

Rather than fight the decline in prices and cede market share in the face of growing competition, Saudi Arabia appears to be preparing traders for a sea change in prices.

The Saudis want the world to know that “nobody should be surprised” with oil under $90 a barrel, according to one of the people. Another source suggested that $80 a barrel may now be an acceptable floor for the kingdom, although several other analysts said that figure seemed too low. Brent has averaged around $103 since 2010, trading mostly between $100 and $120.

While the latest discussions are the bluntest efforts yet to signal the shift in Saudi strategy, early signs had already begun sending shivers through the oil market. In early October the kingdom cut its official selling prices more sharply than expected in a bid to maintain customers in Asia, widely seen as the opening shots in a price war for Asian customers.

“Riyadh's political floor on oil prices is weakening," Robert McNally, a White House adviser to former President George W. Bush and president of the Rapidan Group energy consultancy, wrote in a note to clients following a trip to Saudi last month.

McNally said he is not aware of any specific Saudi price or timing strategy, but told Reuters that Saudi Arabia "will accept a price decline necessary to sweat whatever supply cuts are needed to balance the market out of the U.S. shale oil sector.”

As that message began to dawn last week, the price rout quickened, with Brent lurching to its lowest level since 2010.

“Until about three days ago the absolute and total consensus in the market was the Saudis would cut," said McNally. That is no longer a foregone conclusion, he said. "The market suddenly realizes it is operating without a net."

[amateurfishing]

The Democrats are at it again.

Lower prices means all the low information voters can get to the polls in multiple precincts to vote early and often.

As a well informed voter such as yourself you would know that this was expected in part due to the higher production of renewable energies asked for by obama plus the known fact that winter gas is cheaper to mAke then summer gas. Plus our current leader never had his mitts in the oil biz, only attempting to take biz away from it and not b dependent on it.

Ok critics....que here...

[swamptiger]

Quote:

As a well informed voter such as yourself you would know that this was expected in part due to the higher production of renewable energies asked for by obama plus the known fact that winter gas is cheaper to mAke then summer gas. Plus our current leader never had his mitts in the oil biz, only attempting to take biz away from it and not b dependent on it.

Thanks Obama.

Go Big Green....

[Ebiz]

this was expected in part due to the higher production of renewable energies asked for by obama

I'm dying for a source on this one...

[Big Dave2]

The Democrats are at it again.

Lower prices means all the low information voters can get to the polls in multiple precincts to vote early and often.

[Uncle Bill]

LONDON: Saudi Arabia is quietly telling oil market participants that Riyadh is comfortable with markedly lower oil prices for an extended period, a sharp shift in policy that may be aimed at slowing the expansion of rival producers including those in the U.S. shale patch.

Some OPEC members including Venezuela are clamoring for urgent production cuts to push global oil prices back up above $100 a barrel. But Saudi officials have telegraphed a different message in private meetings with oil market investors and analysts recently: the kingdom, OPEC’s largest producer, is ready to accept oil prices below $90 per barrel, and perhaps down to $80, for as long as a year or two, according to people who have been briefed on the recent conversations.

The discussions, some of which took place in New York over the past week, offer the clearest sign yet that the kingdom is setting aside its longstanding de facto strategy of holding prices at around $100 a barrel for Brent crude in favor of retaining market share in years to come.

The Saudis now appear to be betting that a period of lower prices – which could strain the finances of some members of the Organization of the Petroleum Exporting Countries – will be necessary to pave the way for higher revenue in the medium term, by curbing new investment and further increases in supply from places like the U.S. shale patch or ultra-deepwater, according to the sources, who declined to be identified due to the private nature of the discussions.

The conversations with Saudi officials did not offer any specific guidance on whether - or by how much - the kingdom might agree to cut output, a move many analysts are expecting in order to shore up a global market that is producing substantially more crude than it can consume. Saudi pumps around a third of OPEC’s oil, or some 9.7 million barrels a day.

Asked about coming Saudi output curbs, one Saudi official responded "What cuts?", according to one of the sources.

Also uncertain is whether the Saudi briefings to oil market observers represent a new tack it is committed to, or a talking point meant to cajole other OPEC members to join Riyadh in eventually tightening the taps on supply.

One source not directly involved in the discussions said the kingdom does not necessarily want prices to slide further, but is unwilling to shoulder production cuts unilaterally and is prepared to tolerate lower prices until others in OPEC commit to action.

OPEC ANGST

With most other members of the cartel unable or unwilling to reduce their own output, the group's next meeting on Nov. 27 is set to be its most difficult in years. OPEC has agreed to cut production only a handful of times in the past decade, most recently in the aftermath of the 2008 financial crisis.

On Friday, Venezuela - one of the cartel's most price-sensitive members - became the first to call openly for emergency action even earlier. Foreign Minister Rafael Ramirez said "it doesn't suit anyone to have a price war, for the price to fall below $100 a barrel."

On Sunday, Ali al-Omair, oil minister of Saudi Arabia's core Gulf ally Kuwait, appeared to be the first to articulate the emerging view of OPEC's most influential member, saying output cuts would do little to prop up prices in the face of rising production from Russia and the United States.

"I don't think today there is a chance that (OPEC) countries would reduce their production," state news agency KUNA quoted him as saying.

Omair said that prices should stop falling at around $76 to $77 a barrel, citing production costs in places like the United States, where a shale oil boom has unexpectedly reversed dwindling output and pushed production to its highest level since the 1980s.

Saudi oil officials have made no public comments on the deepening swoon in markets. Senior officials did not reply to questions from Reuters about recent briefings.

DON'T BE SURPRISED BELOW $90

Global benchmark Brent crude oil futures have fallen steadily for almost four months, dropping 23 percent from a June high of over $115 a barrel as fears of a Mideast supply disruption ebbed, U.S. shale production boomed and demand from Europe and China showed signs of flagging.

Until recently, Gulf OPEC members have been saying that the price dip was a temporary phenomenon, betting on seasonal demand in winter to prop up prices. But a growing number of oil analysts now see the latest slide as something more than a seasonal downswing; some say it is the start of a pivotal shift to a prolonged period of relative abundance.

Rather than fight the decline in prices and cede market share in the face of growing competition, Saudi Arabia appears to be preparing traders for a sea change in prices.

The Saudis want the world to know that “nobody should be surprised” with oil under $90 a barrel, according to one of the people. Another source suggested that $80 a barrel may now be an acceptable floor for the kingdom, although several other analysts said that figure seemed too low. Brent has averaged around $103 since 2010, trading mostly between $100 and $120.

While the latest discussions are the bluntest efforts yet to signal the shift in Saudi strategy, early signs had already begun sending shivers through the oil market. In early October the kingdom cut its official selling prices more sharply than expected in a bid to maintain customers in Asia, widely seen as the opening shots in a price war for Asian customers.

“Riyadh's political floor on oil prices is weakening," Robert McNally, a White House adviser to former President George W. Bush and president of the Rapidan Group energy consultancy, wrote in a note to clients following a trip to Saudi last month.

McNally said he is not aware of any specific Saudi price or timing strategy, but told Reuters that Saudi Arabia "will accept a price decline necessary to sweat whatever supply cuts are needed to balance the market out of the U.S. shale oil sector.”

As that message began to dawn last week, the price rout quickened, with Brent lurching to its lowest level since 2010.

“Until about three days ago the absolute and total consensus in the market was the Saudis would cut," said McNally. That is no longer a foregone conclusion, he said. "The market suddenly realizes it is operating without a net."

Sure hope this lengthy un-sourced post goes unnoticed by ufatz...

[RumRiverRat]

I love when people quote absurdly long posts.

[RuddyDuck]

I was enjoying the low prices, why the heck is it going up again! Jumped to 3.09 the other day and now to 3.19 today!! The election isn't over yet.

[Canon Guy]

I was enjoying the low prices, why the heck is it going up again! Jumped to 3.09 the other day and now to 3.19 today!! The election isn't over yet.

It must be the Republicans.

[Sandmannd]

I was enjoying the low prices, why the heck is it going up again! Jumped to 3.09 the other day and now to 3.19 today!! The election isn't over yet.

Because it's almost the weekend. Best time to fill is on Mondays and Tuesdays. Still $2.99 by me.

[Slabasaurus]

Because it's almost the weekend. Best time to fill is on Mondays and Tuesdays. Still $2.99 by me.

I paid 3.19 yesterday at about 7pm...

drove by that same station this morning and gas was all like 2.99 n sh*&.

Thanks obama

[Bear55]

I figured we (along with our best buds the Saudis) were trying to sink the Russian economy because they took our snowden, messed up our coup in Ukraine and kept us out of Syria the first go round, but sure the election is a fine excuse too.

[Bear55]

Speaking of gas and Russia, you know this was a hit and it sure as heck wasn't the Russians. Dude spoke out against the petrodollar.

http://www.cbsnews.com/news/oil-giant-ceo-christophe-de-margerie-killed-in-russian-plane-crash/

[Canon Guy]

I paid $2.82 at Sam's yesterday. Because Obama.

[Bureaucrat]

I don't think anyone cares about gas prices this go around. Don't believe in the president making a phone call to wipe out billions in revenue to win an election.

The US has fallen asleep at the switch and landed in a strong dollar situation. Don't ask me to articulate why, but it's happened. That why oil, metals, and to some extent grains have fallen.

I don't mind it, cause I don't mine any of it. I am trading some fancy green recycled t-shirt paper for those other things though.

[RumRiverRat]

Paid 2.88 yesterday for 87 octane.

Expect a big decrease tomorrow and then a dramtic spike on Wednesday.

[Sandmannd]

Paid 2.88 yesterday for 87 octane.

Expect a big decrease tomorrow and then a dramtic spike on Wednesday.

That's what I paid, love living out out of the cities!!

[Scott K]

$3.05 in my area.

[Finns]

The Democrats are at it again.

Lower prices means all the low information voters can get to the polls in multiple precincts to vote early and often.

Didn't know the Saudi's were democrats.

(Oil prices fell to their lowest point in four years after Saudi Arabia unexpectedly cut prices for crude sold to the U.S. )

[BartmanMN]

2.99 in my town. Filling up on way home.

[Sandmannd]

$2.88 in my neck of the woods for the last week.

[Eric Wettschreck]

Never made below 3 bucks in my end of the prairie.

[harvey lee]

Give it some time, The US is producing too much oil and we are not importing like we use to.

The Saudi's are dropping the price to the US as there sales are slowing. I see this lower price for some time yet until the Saudi's can sell more.

The wells will stop pumping in many areas of this country soon as they will not pump oil under a certain price.

Shale drilling is very expensive and the price drop will slow that also. My guess right now, many of the pumps in the south are now not pumping. I have noticed other times there is a big price drop in crude prices, many states or companies will shut down the wells as they do not have to sell this cheap. They will get pumping again as soon as the prices climb, then more profit for the well owners.

RRR, you must be the low info voter to think the Dem's did this. Wonder when you will come up with another like this one and blame it on either party. You need to listen to the news, or do some online research to see why the prices of crude are and will drop more, yes, even after the election.

[amateurfishing]

Never made below 3 bucks in my end of the prairie.

Only for a day in my area Eric

[aanderud]

GasBuddy says 2.869 at costco EP right now. 2.999 at most other locations near here. 3.059 and 3.099 at the select stations that think theirs is made of gold.

FWIW, it says elk river has 2.999 at almost every station (9 listed at 2.999 and one at 3.049).

[Eric Wettschreck]

I spoke too soon. Driving home I notived it was 2.90 at Caseys in Fulda.