Re: No conspiracy...


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Posted by Chris Davis - UT on Tuesday, October 03, 2006 at 3:36PM :

In Reply to: No conspiracy... posted by MoparNorm on Tuesday, October 03, 2006 at 1:37PM :

I’m not a conspiracy person… I like to think that most things happen for a good reason that can be explained if you look for the facts. I’ll buy that oil in general has been run up by limited capacity, geo-political concerns, hurricane predictions, and probably most of all by
speculation in the futures market (those folks who can’t make $ flipping houses anymore have to sock the money away somewhere).

What gets me though is the unleaded/diesel price flip. For most of my life diesel was less than unleaded because it was easier to refine… but a couple years ago it flipped and stayed flipped through this whole price run up business. I bought the “it’s more difficult to refine because of new clean diesel” argument, but that doesn’t explain it going back. If anything, with winter coming on, I would think fuel oil (diesel) grades would be in higher demand and more pricy.

Oh well, I’ll just enjoy the world being right side up for a while… but I wish I knew what the background cause/effect was.

Chris



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