OPEC and GM are worse then the Crack dealers on my block. If they see us getting clean by using mass transit and alternitive fuel cars because fuel is too expensive they will temporaly lower there prices in order for us to make those programs impractical . Thus in effect shutting them down. Once alternitive transportation and fuel programs are elimanted and defunded. Its back up to high oil prices.
Its like my ex-girlfreind who got out of rehab. The people who she borrowed money from came knocking our door with guns and trying to tempt her to fall off the wagon with cheap crack cocaine.
after reading that…i think your the one thats on crack
csx engineer
lol csxengineer. I don’t think GM and I’m not sure if your refering to EMD or GM entirely. But I will say this. GM is experamenting with Hydrogen and Hybrid powers vehicles and an alternate fuel source. So, I don’t think you would have to worry about alternate fuel experimentation going away.
Oil prices are going to go up anyway since their is such a high demand for it, not only from the US but, from other nations like China.
…You hit the nail on the head in referencing China…As their economy grows {and it is rather fast each year}, the demand for oil will become more critical and OPEC will charge us what the market will bare and more…It won’t be nice if a solution is not found to overcome such…
reading this…just goes to show me how out of touch some people are …or just totaly missinformed…or just have no clue how the real world ecomoics work…
csx engineer
The demand being high is true. thats why we in america really need to research more into bio diesel and ethonal.It benefits the farmer and the consumer both.
stay safe
Joe
oh yea…i agree…becouse of chinas increased use of oil…it is driving the prices of it up across the board…but some people dont know this fact…or just ingor it to rant and rave about how “the MAN” is out to screw them…
csx engineer
By the way they are suppossed to have an ethenol plant along the csx line here in defiance county. Might need to go west and check on the progress.
stay safe
Joe
It’s not just oil. China’s boom in production infrastructure is gobbling up cement and steel supply also.
Dan,
Last week we heard that Japanese steelworks have increased the contract price for iron ore that they are paying to CVRD in Brazil and Hamersley and BHP BIlliton in Australia by 71%!
Every Iron Ore deposit in Australia that has any iron left is being looked at to see if they can get in on the boom. Frances Creek, alongside the new railway south of Darwin is the main contender - that traffic kept the old narrow gauge line open for a few years until they were undercut by the big mines in Western Australia.
If Ethanol (which is the same as the alcohol in beer and wine) and bio-diesel were cheaper than the oil we use, we’d be using them already! These fuels will only be useful when the regular cost of oil is higher.
I don’t know anything about cement - I’ve never worked in that industry!
Peter
Ouch! Now that must realy hurt. Oh by the way,From what I’ve been hearing on the news,Gas Prices are going much HIGHER this year than compaired to last year. Now that is a major OUCH! There talking some where’s around in the mid-west of up to 2.50 to 3.00 by summer! Thank God I have learned to stay home anymore. I just feel sorry for the Trucking company’s and the Railroads that already strugling and are trying to comserve what they can.
BNSFrailfan.
Cement & steel aren’t the only other things China is gobbling up. Chinese banks are gobbling up record numbers of US Treasury Bonds.
If it’s true our government’s spending is mortgaging our children’s future, more and more it’s China whom they will have to repay.
Wayne
…I hope I’m not ranting too much, but China is the one we will need to keep our eyes on…and they are sucking up much of our {free world’s}, resources and that means highter prices.
From what I understand China uses up more oil than the US does!
BNSFrailfan.
the price hikes going up that much are at this point in time just speculation…speculation about the supply and production rates…verses the demand that is prodicted in the summer and peak driving seasons…
also… dont think that your not going to feel the pintch just by not driving your car and staying home… eveything you buy will go up to reflect the higher costs of production…and shipping to make and get the things you buy to market…the railroads and trucking companys arent going to “eat” the cost…they will just pass it off to us…the consumer by way of charging the shipper more money to ship it…thus cousing a rise in cost to buy the goods to cover the increased shipping and manufatering costs…
csx engineer
Sure, GM and the oil companies like to sell as much of their product as they can. But they’re not the ones who are forcing us to depend on oil and automobiles. It’s the local and county elected officials who for the past fifty years or more have put so much of our new development out in the boondocks with no adequate provision for alternative transportation for those who can’t, shouldn’t or choose not to drive. This is supposed to be a free country, where we’re forced to depend on modes of transportation so dangerous that they require seat belts, air bags or crash helmets?
The reason gasoline prices go up is because of the “law of supply and demand.” The speculators in the commodities markets become nervous when they see refining problems or if OPEC slows production.
When the refineries in the United States have a hiccup, as in a problem with production, the speculators drive up the price of gasoline. The recent upsurge in prices resulted when refineries were still producing home heating oil because of the cold northeast weather. This was for a longer period than expected and there demand for home heating oil has been up. This has resulted in slow down in the switch to summer time refining of gasoline. Some refineries are also conducting maintenance repairs that have been badly needed on their equipment.
The last refinery built in the United States was in the late 1970’s. Old refineries closed down but no new ones have built since the late 70’s. Through all this capacity has been able to go up. That is hard to believe. Have one refinery develop a major problem and the commodities markets for gasoline will drive the price of gasoline up. All of this will happen even though OPEC produces the same amount of oil as the previous month.
It is all about the market economy. The price will fluctuate based on the whims of supply and demand along with the nervous speculators.
As for General Motors or even other car manufactures, they all see the need for the next generation of vehicles. The hybrids will come and the auto makers will be on the band wagon. They will only lower their products based up on ‘supply and demand.’
As for speculation about what companies are up to, the speculation is created in peoples minds based upon misinformation and more likely biases.
no one seems to have a spell checker or dictionary or a source of basic english
usage. the language is getting slaughtered in statements that are posted. two
examples: its [possessive] and it’s [short for it is]; their [possessive] and there
[location]. let’s try to use correct speech. call me a nitpicker if you wish.
i admit to occasional lapses, but what i see is pervasive. crosstie@wowway.com
All you have to do is hold back a product (oil,real estate,car parts) and up goes the price, isn’t that called free enterprise today? and I can’t believe everyone underestimated China, what were you thinking? if everyone in China and India bought a 10 cent comb they would use up 1/2 the worlds natural resources, and in a very short time their demands will astoni***he world,so start that bridge ffom L.A. to China soon. by the way, go to your GM dealer and buy a headlight for your 2002 Buick and leave $500.00 on the counter—yes–$500.00 for a bloody headlight! ! !
I don’t think the ole’ capitalizarion checker must be a workin’ right eeether.