Oil prices drop - US demand down due to economy? Isn't that opposite what pump prices show?

Question

Biggest drop in over a decade - if we are to believe the charts

http://money.cnn.com/2008/07/15/markets/oil/index.htm?postversion=2008071516&eref=ib_topstories

Answer 1

Supply and demand is not what is behind the high oil prices- it is greed and more greed. If it was supply and demand, the world economy is actually on a decline, while the oil prices have went up 400% in the last two years- has the worlds economy went up 400% in two years- I think not! The supply and demand crowd has been brainwashed by the oil companies and the Bush administration, along with the rich, elite, speculators that is driving up the prices, as they increase their fortunes by the use of a pen or computer.

Answer 2

The oil commodities markets are for crude oil that's to be purchased at some future time.  The gas you are buying reflects the past, current, and future oil prices and the supply and demand of refining that oil.  Basically, if oil prices fall and stay lower, then that price will eventually be reflected at the gas station around the corner from you.  

Plus, you will note from the news that many gas stations have been cutting back their profit or even losing money on the gas they sell, basically eating some of the extra costs.  So your price may not fall for quite a while while these station owners get at least back to making some profit on their gas.

Answer 3

Relief at the gas pump, maybe a few cents. That is all they ever give us no matter how low the price of oil goes. I hope it drops a heck of a lot more.

Answer 4

Gasoline prices will come into a small bit.  Remember the pullback in oil is less than 24 hours old.  If the price of oil continues to drop some refinery companies will begin production of more gasoline.  Some refiners have left the gasoline business due to $140.00 oil.  Exxon is leaving the gasoline station business, as you likely aware.  The drop is a percentage drop.  Oil at 138 is still not cheap.  Nobody is a liar or making up the supply demand economics of gasoline pricing.  But, I guess many will see it differently.