Diesel down $1.369 since the first of August

[Pete Masterson]

Oil closed at $66.80 per bbl today. Sub $3.00 diesel can't be too far
behind. The $150 bbl pricing of last summer was simply unsustainable
and I'm not the least bit surprised. OPEC had announced that they
would try to "support" oil at $80 per bbl -- but today's price
suggests that they can't be (long) successful at that level in view
of expected economic conditions.

Of course, once the world economy gets through the current
difficulties and the expected recession passes, then we can expect
oil prices to rise. Still, $150 per bbl pricing is probably rather
higher than reasonably foreseeable demand can support -- more likely
a trading range around $100 per bbl will develop, putting diesel
around $3.50 per gallon -- eventually. The typical estimate is for
the recession to take until late 2010, so we have (possibly) a couple
of years of relief.

Pete Masterson
'95 Blue Bird Wanderlodge WBDA 42
aeonix1@...
On the road at Edinburg, VA



On Oct 22, 2008, at 4:27 PM, Don Bradner wrote:

> Greg was dismissive when some of us showed happiness as diesel
> first edged below $4. How about now? Diesel will probably fall
> below $3 at some FJ stations tomorrow (Phoenix is currently 3.009).
>
> At $3, Diesel is roughly equivalent to the $1 price it hit in 1980,
> when measured in 1980-equivalent dollars.
>
> On 10/22/2008 at 1:21 PM brad barton wrote:
>
>> Filled up for 316.9 at Exxon east of Denton yesterday. Brad Barton
>> 00LXiDFW bbartonwx@...
>>
>> To: WanderlodgeForum@...:
>> marvwheeler@...: Wed,
>> 22 Oct 2008 16:22:11 +0000Subject: [WanderlodgeForum] Diesel down
>> $1.369
>> since the first of August
>>
>>
>>
>>
>> Morning All:I just looked at FlyingJ's price for diesel in Tacoma
>> and it
>> is at $3.379. That is down $1.369 since the first of August when
>> it was
>> $4.739. Thank goodness it is still coming down.Marv2004 M380Ocean
>> Shores,
>> WA 98569
>>
>>
>>
>>
>>
>> _________________________________________________________________
>> When your life is on the go—take your life with you.
>> http://clk.atdmt.com/MRT/go/115298558/direct/01/
>
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>
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