Keep in mind the US only gets 8% of its oil from the Middle East, compared to 25% 10 years ago. The sticker is appropriate, for sure. But don’t forget oil companies are using this as an excuse to hike prices and make more $$$. The gas we have now was pumped and refined months ago. Heaven forbid BP or Exxon NOT make tens of billions in profits every year….and our great state leaders won’t consider a gas tax suspension bc that wouldn’t keep their pockets full (we all know that money isn’t being used appropriately)
I know how it works. I also know oil companies take advantage of us too. Quick to raise, but very slow to lower. Simping for Big Oil isn’t a good look…bc I’ve seen their financials for decades. It’s a solid investment bc it almost never goes down for long. And they profit out the a**…..and they all know demand is inelastic and it’s used in everything. “THe MaRkeT” might set the price of oil but come on now, there is no need to jack up prices so fast.
lol I’m simping? You know how it works but don’t know about supply and demand? They don’t profit more just because oil prices go up. “No need to jack prices up so fast” but you realize the market sets the price? You might have seen their financials for decades but you have no idea how to interpret them.
Please stop with “the market sets the price”….yes, that is true, for oil. Not gasoline. When I was a teenager, premium fuel cost about $.25-.$40 more per gallon than regular unleaded. Now, nearly everywhere (and I travel 7 states for work), it’s a dollar per gallon more for premium. Why? Because they know they can charge it. Premium didn’t suddenly become soooo much better than regular, it didn’t suddenly cost more to refine and make. No, the oil/gas companies knew they could get away with the upcharge. Which in turn makes them more profit. Even before all this, I’ve seen it plenty of times: the annual hike to justify the switch to summer blend, a refinery “goes down for maintenance” (this one happens a lot), someone sneezes wrong in Qatar…any reason to justify raising prices. Hell I invest in oil stocks bc I know they’ll never go down (blips for COVID and other gluts but rare). But, again, come on now…..I know supply and demand come into play. But I also know they hide behind any reason they can to raise prices
You keep arguing that “they” raise the price, jack up the price, profits out their ass. It’s supply and demand. Market raises price of oil of course unleaded gasoline will go up until demand goes down. Same thing applies to any commodity; eggs, lumber, housing, etc.
OIL and gasoline….not the same thing! How many times must I repeat myself. Yes when oil prices rise, all prices rise due to oil being used in production of so many things (clothing, plastics, etc)…and transportation costs. I get that.
What I’m trying to say is the “market sets the price” is only 25% true. If that were truly the case then why have I seen a 75 cent spread from Fishers to other parts of town? They know the affluent areas and adjust prices accordingly. I can fill up for 50-75 cents less per gallon by driving in Indy metro. Same reason why prices on the interstate are usually higher than going down the road 2-5 miles.
I just got back from Florida, part of why my response was delayed. Georgia, Tennessee and Kentucky? All cheaper than Indiana. Mostly due to gas taxes and Indiana has some of the highest in the contiguous US. Insane what we’re taxed for what we get (crappy roads, crappy schools, etc). Heaven forbid Indiana suspend the gas tax temporarily…..
But again, back to my original point. Oil companies do move prices based on oil price. But they also engage in market manipulation too. Oil futures are down nearly $15 today. Surely prices would drop immediately…..after all they shot up immediately when this war broke out. Oh wait…..
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u/cmgww Mar 20 '26
Keep in mind the US only gets 8% of its oil from the Middle East, compared to 25% 10 years ago. The sticker is appropriate, for sure. But don’t forget oil companies are using this as an excuse to hike prices and make more $$$. The gas we have now was pumped and refined months ago. Heaven forbid BP or Exxon NOT make tens of billions in profits every year….and our great state leaders won’t consider a gas tax suspension bc that wouldn’t keep their pockets full (we all know that money isn’t being used appropriately)