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Posts Tagged ‘Oil prices’

By Mike Zaman

Chevron second quarter earnings showed a triple increase in earnings amid higher oil and natural gas costs for consumers. Does this mean we are being gouged by the oil companies?

Higher pump prices are being blamed on consumer demand, but is this true?

Exxon Mobil Corp. posted income of $7.56 billion in the quarter, Royal Dutch Shell Group boosted second-quarter earnings 15 percent, and ConocoPhillips said profits nearly tripled in the April-June period, and Chevron Corp. reported net income of $5.4 billion.

The real story: Oil consumption in the US has fallen in each of the past three years. So the higher prices at the pump are not based on supply and demand so much as plain gouging.

The US is the largest oil producer in the world producing some 7.196 million barrels per day (Mb/d), or 8.5% of the world’s total. This is more than Iran and Kuwait combined.

But with consumers strapped for vacation money, and lacking confidence in the economy, and the higher prices at the pump, there is no doubt we are being gouged. Perhaps if congress really cared they would pass an excess profit tax, surely that would help stave off some of these large deficits, actually it could help pay for all Americans health care.

The Views and Opinions Expressed by the author are his or her opinions only and do not necessarily reflect those of this Web-Site or its agents, affiliates, officers, directors, staff, or contractors. The author at the time of this article did not own any shares or receive any consideration financial or otherwise from any company or person mentioned or referred to in the article.

Wednesday, July 21, 2010

Republished with permission of Rasmussen Reports
http://www.rasmussenreports.com/public_content/politics/current_events/offshore_drilling/89_concerned_about_economic_impact_of_gulf_oil_leak

Most Americans continue to be concerned about the overall economic impact of the Gulf oil leak, but they’re less worried about gas prices rising at the pump.

A new Rasmussen Reports national telephone survey finds that 89% of Adults are at least somewhat concerned about the economic impact from the leak which appears to be capped after spewing into the Gulf for three months. Only nine percent (9%) don’t share that concern. These figures include 63% who are Very Concerned and one percent (1%) who are Not At All concerned.

The number of Adults who are concerned about the economic impact from the oil leak shows little change from early June.

Fifty-five percent (55%) now say it’s likely gas prices will go up as a result of the oil spill, but that’s down eight points from six weeks ago. Twenty-three percent (23%) disagree and say gas prices will not rise, while just as many (23%) are not sure.

In mid-June, 56% said gas prices were at least somewhat likely to go over $4 a gallon by the end of the year, but that included just 27% who said it was Very Likely.

Fifty-six percent (56%) of voters believe offshore oil drilling should still be allowed, while a plurality (47%) support deepwater drilling, too, even though the latter is the cause of the oil leak disaster.

The survey of 1,000 Adults was conducted on July 15-16, 2010 by Rasmussen Reports. The margin of sampling error is +/- 3 percentage points with a 95% level of confidence. Field work for all Rasmussen Reports surveys is conducted by Pulse Opinion Research, LLC. See methodology.

Forty-nine percent (49%) say they are at least somewhat likely to refrain from buying BP products because of the company’s role in the Gulf oil spill, while slightly fewer (45%) are unlikely to boycott BP. These findings, too, show little change from early June, and include 28% who are Very Likely to boycott BP and 18% who are Not At All likely to do so.

Younger adults are more likely to participate in a BP boycott and feel gas prices will go up than their elders. More adults in lower income ranges feel gas prices will increase than those who are wealthier.

Just 24% of Americans say they are likely to change their future vacation plans because of the oil leak, while two-out-of-three adults (66%) are not likely to change their plans. Another 10% are not sure.

Thirty-five percent (35%) say they are less likely to purchase seafood as a result of the oil spill. Fifty-four percent (54%), however, are not worried about the oil spill affecting their seafood. Ten percent (10%) are undecided.

The numbers for changed vacation plans and buying seafood also are essentially the same as they were in early June.

The leak story still has high interest. Eighty-eight percent (88%) say they are following stories about the leak at least somewhat closely. Only 12% are not following closely, if at all.

Voters now are slightly less critical of both President Obama and the oil companies involved, BP and Transocean, for their handling of the leak.

A strong majority (69%) of Americans agree that BP and Transocean should be required to pay back everyone who lost income because of the leak.

Seventy-one percent (71%) of voters rate the government’s response to the Gulf oil leak as at least somewhat important in terms of how they will vote in November, with 35% who say it is Very Important.

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Rasmussen Reports is an electronic publishing firm specializing in the collection, publication, and distribution of public opinion polling information. The Rasmussen Reports Election Edge™ Premium Service offers the most comprehensive public opinion coverage available anywhere. Scott Rasmussen, president of Rasmussen Reports, has been an independent pollster for more than a decade.

The Views and Opinions Expressed by the author are his or her opinions only and do not necessarily reflect those of this Web-Site or its agents, affiliates, officers, directors, staff, or contractors. The author at the time of this article did not own any shares or receive any consideration financial or otherwise from any company or person mentioned or referred to in the article.

Oil prices don’t exactly have investors jumping over a barrel lately but they did rise 47 cents to $73.33 a barrel on Thursday, led by an increase in energy shares. Having slumped almost 8 percent year to date, and almost 15 percent in the past month alone, the slight rise in crude prices came about after inventory reports depicted that supplies fell more than expected.

According to the Energy Information Administration, U.S. oil demand soared to a 16-month high of 20 million barrels per day last week, causing inventories to fall by 1.9 million barrels. Gasoline demand increased by 75,000 barrels a day, resulting in a 2.65 million barrel supply drop.

Economists had predicted a 1 million-barrel drop for crude oil and a 750,000-barrel drop for gasoline.

Pump prices experienced their 28th straight day of declines Thursday, with the average for a gallon of regular unleaded gas falling to $2.716 from Wednesday’s price of $2.723.

The Views and Opinions Expressed by the author are his opinions only and do not necessarily reflect those of Crown Equity Holdings or its agents, affiliates, officers, directors, staff, or contractors. The author at the time of this article did not own any shares or receive any consideration financial or otherwise from any company mentioned in the article. Please read our disclaimer