6.00 DOLLAR GAS!!!!Submitted by SIERRAHPBT on Sat, 06/07/2008 - 15:33
Six Dollar Gas
Speaking of warring currencies and such, and the pressures to launch a preemptive attack on Iran over oil (although it will be spun otherwise) you do know that Iran has it's commodity bourse open and all that remains its to turn on oil trading in Euros right?
The run-up of oil prices this week about ensures $6 gas this summer. here's why:
A barrel of oil is 42 gallons. That means the raw material cost to make gasoline or diesel is $3.33 a gallon. Now, what do you reckon the cracking (distillation) costs are? I would guess a dollar. And transportation and Federal taxes? Another buck, you think? And then what about mark-up for the retailer? 50-cents, maybe? Throw on a heap of state and local taxes and we're there! Just has to come through the supply chain to you.
Look for war to show up about when gas goes over $6 dollars. The pols & hacks will then blame Iran (or whoever) and the dumber of our countrymen will buy it.
BTW, coming up on Sunday through Wednesday, look for some horrific kind of mass murder/emotionally grabby news event as a possibility. Bob Hitt, www.astroecon.com, has this theory that when tensions are really building up which could trash the market, one way to defuse the emotions that would otherwise tear down the market is for the PTB to 'stage' an emotion-grabbing news event. If it happens, remember to recognize it. Might have 'occult' numerology associated with it too, like 5, 7, 11, 19, 33...that kind of thing. Just watching, not predicting anything specific.