Analysis: Clock ticking on U.S. SPR release to avert summer gasoline spike

Comments (14)
yrbmegr wrote:

There should be no SPR release if there is not a supply disruption. High gas prices are not a reason to tap the SPR. High gas prices are a reason to use less gas. We need to find ways to use less gas.

Apr 04, 2012 8:08am EDT  --  Report as abuse
DetroitNative wrote:

This isn’t a physical supply and demand problem, this is a paper supply and demand problem. This is all investor driven at this point, with the majority of the market fundamentals being bearish, the only thing keeping gas prices high right now is inflation concerns and the commodity bubble as a whole.

Apr 04, 2012 8:13am EDT  --  Report as abuse

His biggest “foe” with regard to releasing the SPR is common sense. If he does it anyways, it will only ensure that legislation to be passed so the president can’t release them without a legitimate reason. “It’s hurting my re-election bid” doesn’t count.

DetroitNative — there is no commodity bubble. Welcome to the new world economy. There is a finite supply many of them and its very capital intensive to get them out of the ground. So even abundant commodities like copper have a medium-term fixed supply. With demand growing in Asia and the rest of the developing world, I don’t see how they can possibly decline anytime soon.

Apr 04, 2012 9:54am EDT  --  Report as abuse
GopherJon wrote:

Whatever happened to coal to oil?

Apr 04, 2012 10:55am EDT  --  Report as abuse
SanPa wrote:

Fuel prices are presently lower than the peak under GW, and my vehicle now gets 2x MPG. It is hard to imagine a typical household v.v not like Romney or Sanitarium, requiring something non-hybrid with fewer than 35 MPG

Apr 04, 2012 11:54am EDT  --  Report as abuse
ChrisHerz wrote:

We are at or have passed peak oil. The end of cheap gasoline is permanent and will mean not only the end of Obama but of much else besides.

Apr 04, 2012 12:15pm EDT  --  Report as abuse

What a charade.

We could all be standing on tiptoe up to our lower lips in crude, and the oil giants will still keep jacking the price at the pump right up to the election.

Why? Well, as the old joke about dogs goes…because they can. Also, because they want a Republican in the White House come January, and they’ve figured out the best way to do that is to twist the knife in the heart of every American when he stops to feed his sacred four-wheeled beast, point a finger at Obama and say, “HE did it!!!!!!”.

Apr 04, 2012 12:19pm EDT  --  Report as abuse
anarcurt wrote:

If people think $5 gas is bad just imagine what it will be if the Republicans win the White House and bomb Iran…$10 is not out of the question.

Apr 04, 2012 12:47pm EDT  --  Report as abuse
ptiffany wrote:

Since everyone knows that releases from the SPR would have minimal or no affect on gas prices, what is this President, or any President, supposed to do?

This is properly labeled Politics, since it certainly isn’t based on any economic principles.

Considering this, any skeptic has to ask, “What was the purpose of this article?” Is it merely an attempt to stir up more controversy?

Apr 04, 2012 2:20pm EDT  --  Report as abuse
oneofthecrowd wrote:

Guess those sanctions on Iran are hurting their citizens and ours. Thanks a whole heck of a lot, Obama.

Apr 04, 2012 6:44pm EDT  --  Report as abuse
VonHell wrote:

What about that BS US officials tell sometimes: “it is a matter of national security bla bla bla”
If imported energy is strategically vital…
then remove oil from commodity list and govs regulate the price.
So the price fight will be between nations: exporters vs consumers. No speculation

Apr 04, 2012 8:33pm EDT  --  Report as abuse
stambo2001 wrote:

Open the spigot and empty the tankers, hehe! Then what? Buy it back at a higher price? If releasing the reserve is what will drop the price a wee tiny bit for a couple days what happens to the price when it is all gone once again? If the speculators (read:banks) know that the reserve is gone they will be free to buy and hold all they want to raise prices even further. If you know that cans of coke would be worth 5x the value in 6 months wouldn’t you buy a few cases now and sit on them? Of course you are. If you know that holding oil now will both make you money AND rid your political opponent you’d be a moron NOT to do it. Of course they want him gone and of course they want to make money doing it….and barry being the empty suit he is walks right into the perfect storm.

Apr 04, 2012 8:35pm EDT  --  Report as abuse
Ollerus wrote:

In case any of you had forgotten, the President doesn’t want LOWER prices for oil… and I quote:

Steven Chu told The New York Times, “Somehow, we have to figure out how to boost the price of gasoline to the levels in Europe.”

Steven Chu for those who don’t know is the President’s energy secretary. Looks to me like he is doing a fine job in ‘boosting’ the price of oil to European levels, heck I’d give him an A-

Apr 04, 2012 8:38pm EDT  --  Report as abuse
Mott wrote:

Turn oil subsidies and alternative funding to sustained LNG development over the next 6-10 years and we’ll have viable alternative for a couple of centuries.

Apr 04, 2012 11:12pm EDT  --  Report as abuse
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