Crude oil and petroleum doesn't all come from the middle east.?

Question

Why are gas prices rising at all of the gas stations? In fact we get more crude oil and Petroleum from Canada than we do Saudi Arabia. The top 3 countries we get crude oil and petroleum are from Canada first, Saudi Arabia second, and Mexico third. Someone is getting filthy rich.

Answer 1

Speculation.  All those who "lost" money on the mortgage fiscos are trying to make up their "losses" by going back to the good ol' standbys.

Answer 2

yuiop

Answer 3

Doesn't matter where we get our oil from.  Any of the people we buy from could sell to someone else at whatever the going price is.

In fact, the US is a major oil producer and that doesn't lower our prices since our oil companies sell at the going rate regardless of who's buying.

Main reason for the current rise in prices is the falling value of the dollar.  Gasoline prices have gone up in the last year for everyone, but nowhere nearly as drastically as in the US.

The cost of gasoline in the US has risen 17.8% in the last year.  The cost of a Euro (European dollar) has gone up 17% in the last year.

A dollar just doesn't buy as much internationally as it used to.

Answer 4

Oil is priced in dollars in the world market. The dollar has lost much of its value, that's basically the driving force behind the rise in oil prices. Speculation and increased demand also play a role. And in any event the cheap easy oil has been found, there have been no new discoveries in decades. They were already rich beyond imagining, now they're just getting richer, but we have only Washington and ourselves to blame.

http://www.wtrg.com/prices.htm

Answer 5

OPEC isnt the only factor in crude oil prices. Talk to the jerks on the floor of the NYSE who are speculating in oil futures.

Answer 6

It works like this my foul weathered friend...

You put your 2 cents in...But it's then a penny for your thoughts...Someone is obviously making a penny.

Answer 7

Yup Alberta Oil sands = the oil reserves of Saudi Arabia....its only recently that they have been able to extract it because of modern mining technology.

It impact on the environment is horrible....were selling it for cheep to the US, Canada should send its oil to its Eastern Provinces which imports 80% of its oil from foreign countries....but then the western US would be screwed.

The monetary supply of the US dollar has trippled in the last 8-10 years....has your wage? Nope but stappels such as corn and wheat have....if you don't get paid more for your job soon, you'll be in more of an economic downfall.

This Recession has been manufactured just like all of the other ones and you can thank the Privately owned Federal Reserve for that and the Greedy central bankers who have seeked to gain a monopoly of the banking industry.

Answer 8

Yeah the american gov....go figure the US dollar goes to p**p and we end up payin out the %$# for it...

Answer 9

It has nothing to do with where we're getting the petroleum from. It has to do with the demand exploding. China and India have industrialized, and enjoying the same privileges that we've had for years.

The demand now includes the citizens of the 2 most densely populated countries in the world. Demand goes up, so the price goes up.

Saudi Arabia has made it clear that, as long as they aren't receiving orders that their current production can't fill, they won't be increasing the supply. Other countries follow the same line of argument...why should they pay for increased production if they won't make more money? This creates a phenomon known as "price seeking" in the market. The price will keep rising until it reaches the point where the amount of fuel we're willing & able to buy is equal to the amount that gas companies are willing to sell for (obviously, the higher the price, the less we're going to buy, but the more the companies want to sell).  

Once upon a time, we could force lower prices on suppliers because the U.S. was the biggest customer. Now that the suppliers can look to other countries for revenue, we know longer hold the same influence.

The price won't be coming down until Americans decide that they want to use their cars less. The mechanics of the price are completely independent of the country of origin.