[nizcreare]

http://abcnews.go.com/Business/gas-p...ry?id=13240889

Gas Prices See Highest March Price Ever and 7th Consecutive Weekly Increase

Analysts Say Consumers Should Get Used to High Oil Prices, Despite Some Easing

By SUSANNA KIM
March 28, 2011

The weekly national average gas price showed the highest price ever during the month of March and the seventh consecutive increase this week, according to the Department of Energy. Prices are at their highest level since 2008, in part because of the Japan earthquake and turmoil in the oil-producing Middle East. But analysts say the price of oil and gas would still hover at a surprisingly high level despite geopolitical concerns.

The national average gas price is $3.60 today, according to the Department of Energy, up 3 cents from a week ago and 80 cents from one year ago. Last week's national average was an updated $3.56 per gallon for regular gas, the 13th consecutive week that the average was above $3 a gallon, according to the DOE. The last time gas rose higher than $3.50 was Sept. 29, 2008, when the weekly average hit $3.64.

Oil futures settled today at $103.98 after reaching a high of $105.76 earlier in trading. On Friday, oil futures settled at $105.40 a barrel, the third consecutive day above $105, according to the Chicago Mercantile Exchange Group.

Robert Powell, a Middle East analyst with the Economist Intelligence Unit, estimates that even without the current conflicts in countries including Syria, Yemen, Bahrain and Libya, oil would still hover around $90 a barrel. Why? The simple rules of supply and demand, he said.

"The fourth quarter of last year was pretty robust globally," Powell said.

The Commerce Department Friday announced that the U.S. economy grew more quickly than first believed. Gross domestic product in the U.S. grew at an annualized rate of 3.1 percent, revised from 2.8 percent.

Charles Dewhurst, national energy practice leader at BDO, agrees with Powell that without the recent global events, oil prices would be around $90 a barrel. He points to events in Libya and Japan, in particular, as contributors to the high price of oil.

"My perspective is there probably is a $15 price premium right now because of those two events," Dewhurst said. "The Japanese economy is going to need its electric power from oil-based sources as a backup to their nuclear problems. Their demand for oil has already increased."

[ansarigf]

Big Oil making out like bandits and no investigations???

http://www.washingtontimes.com/blog/...e-under-obama/

Gasoline up 100% under Obama

James S. Robbins
Published on March 30, 2011

Feeling pain at the pump? Gas prices have doubled since Mr. Obama took office. According to the GasBuddy gasoline price tracking web site, the price of a gallon of regular gas was around $1.79 when Mr. Obama took office. Today the national average is $3.58. The lowest average price in the continental United States is $3.31 in Tulsa Oklahoma, the highest is $4.14 in Santa Barbara, CA. Four-dollar-a-gallon gas has arrived on average throughout California, and a number of other states are headed in that direction.

Consumer price index (CPI) figures from February show an unadjusted 12 month gasoline inflation rate of 19.2%, but in the last month alone prices jumped 6.8%, probably because of oil price increases due to instabilities in the Middle East. If the trend continues, gas prices would double again within a year. 100% gasoline price inflation is nothing to brag about, but imagine Mr. Obama going into the 2012 election having to explain why gas costs $7.00 a gallon. I'm sure the White House would spin it as one of their "Green" initiatives.

[Dynasty]

http://finance.yahoo.com/news/Oil-cl...&asset=&ccode=

Oil climbs to highest since 2008 on Libya conflict

http://finance.yahoo.com/news/Oil-cl...&asset=&ccode=

[Gakeincidoniac]

Obama's Libya War is NOT about oil

You're probably right on that. In addition to the stated humanitarian reasons, I'm guessing it has more to do with Libya's strategic location on the Mediterranean and its proximity to Egypt and other N. African and Middle Eastern nations.

[sniskelsowwef]

Libya's contribution to oil supplies is in the neighborhood of 2%. They really don't move the needle. Additionally, oil prices have little to do with actual supply or demand. They're the product of cartel whims and commodity broker guesses.

And though it flies in the face of every "drill baby drill" cheerleader, drawing more oil out of American wells will also have minimal effect on oil prices because commodity pricing is not reality-based.