Price of Barrel of OIL

[flowerpot]

I have a burning issue I need to find answers to.

IS it correct that the price of a barrel of oil affects many different economies?

The extraction/production/selling of those said barrels has made the likes of Shell billions in profit. Didnt they state explicitly that this profit was made mostly on the sale of the said oil, and not from the rapidly increasing fuel pump prices?

I may be wrong, bu doesnt the price of a barrel also affect the price we pay for our electricity and gas (since wholesale prices are affected by the the price of the barrel of oil?)

and

If so, paying an extorionate amount of money for fuel for vehicles, and increased prices of groceries etc, rising household utility bills etc is only adding to their profits ?

Someone correct me, since I feel like camping outside no 10!!

best wishes
flowerpot.x

[chris.g]

Yes, I think you're right flowerpot. I think it is an absolute disgrace that these companies are, essentially, holding the world to ransom and charging what the hell they like 'cos they know they have got us by the short and curly's. [:(!] I know it's business and they're in it for the money, but come on, how greedy and profitable do they need to be???? Shame on all the governments for letting them blatantly get away with daylight robbery.....

[animaleyes76]

Yup, you are pretty much spot on. The only defence for Shell & co is the argument that it costs billions to explore the difficult/more expensive to get to oil hence justifying their profits.

My BIG objection is all the MP's that say they "understand how people are feeling"... and how "we must all change our habits"

This is the biggest load of ..... in the world.. do you really think most of them have a clue living on their nice salaries and even nicer expenses.. Grrrrrrrr

REALLY annoys me.. so patronising when they haven't a clue..

[Skippy]

As far as I'm aware the price of a barrel of oil affects everything. If you think that the food has to be moved (using petrol / diesel), the shop has to be heated / cooled and lit (using electricity) it's no wonder the prices are climbing.

When I went shopping last week I bought a tub of Pure spread for £1.09 - it was 99p when I bought the last one a couple of weeks before!

My main bug bear is that when I buy petrol 80% of it is tax, so the higher the price per litre, the more goes to the government.

I'll join you outside No 10!

[michael.t47]

its just getting worse
full blown recession looming
i think we have reached peak oil

[chris.g]

It makes my blood boil as well with the tax on fuel. Brown gave a smirk when asked last week when asked if they deferred fuel increase would be scrapped...not likely, it's worth too much!!! Let them go to the supermarket on a tight budget and worry about if the car will run out of juice before they get home.....hypocrits the lot of them!

[michael.t47]

just google peak oil its scary

[suzz]

well if it carries on as it is this site will be very busy.

suzz

[Skippy]

The stupid thing is I want to cycle to work to save some money but there is nowhere for me to chain my bike when I get here. Someone had their bike stolen, and although mine is old I happen to like it and don't want to lose it. I asked if something could be done and was told it would be and I'm still waiting. The smokers have a nice little shelter though...

[chris.g]

That is quite scary Michael.....lot to take in.

[michael.t47]

chris, we only just started on that road

[jpj]

Evidently it is traders/speculators who are driving up the price of oil and not necessarily the oil companies as such.
Oil is traded like gold and currencies, and is looking an attractive investment at present.
from what I have read the price of oil should be heading towards $85 a barrel soon (now $135) as speculators leave the market and all our slowing economies mean less demand!
Wheat prices rocketed last year,so farmers all started growing it worldwide so the price of that is now falling too! ..its all about supply and demand! Shame nobody wants to buy second hand IVAs though![:D]

[sblack]

Skippy

I totally agree about how things are going up in price.
Whenever I buy milk I get the 6 pint cartons and last week it cost me £1.96 in Asda. This week £2.12 in Asda and £2.14 in Tesco that is one heck of a rise in costs.
This could be due to increase in oil as obviously the milk has to get from the dairy to the supermarket.
Is it ever going to be any better??

[chris.g]

I do think this is only the begining and that we are definately heading for a global recession.
I am, in a way, so pleased that we, as a family, are out of the credit loop. Br has been our saviour and I am so relieved that we no longer have the worry of creditors.
The cost of living is rising so fast, we can't keep up with it for much longer. Where it will all end is very, very worrying.

[jpj]

Were all going to hell in a handcart!![:D]