Oil prices shot up more than $11 to a new record above $139 Friday

[Rybold]

Oil prices shot up more than $11 to a new record above $139 Friday, after Morgan Stanley predicted prices would hit $150 by the Fourth of July.

Wholesale gasoline rose 15.7 cents today.

Oil rises jump more than $10 to new record high: Financial News - Yahoo! Finance

Are you ready to trade in your SUV yet?

The amount of time to recuperate the added cost of a hybrid keeps going down further and further. In an earlier article, a car dealer sales manager was quoted saying "Newer SUVs are losing $200 in value every day."

[ml194152]

I cheer every time I see oil prices go up. Besides being an oil company employee (meaning I keep my job and my pension stays healthy), it means more gas guzzlers being replaced by more fuel efficient small cars. Its painfull for a lot of people who made bad choices in the past, but their wasteful habits were never sustainable. The only thing people understand is money, so the market is doing its job just fine right now. Its just too bad us Americans couldn't accept a $2 gas tax years ago to speed that reality up. In my neighborhood of 100 houses, my wife and I are the only ones who drive Prii. Nothing but SUVS around here. At least for now...

[bee13]

ml19,

You must have endured scowls from some of your fellow employees or neighbors whose incomes are somehow linked to the oil industry for choosing to drive a Prius. My brother-in-law manages an oil field in Montana and I have sensed some slight smirks coming from him when he sees me drive up in the Pri or whenever the subjects of fuel economy or fuel conservation come up.

[zenMachine]

Trick question: why would Morgan Stanley (an investment bank) "predict" a rise in oil prices?

[ewhanley]

Originally Posted by bee13

ml19,

You must have endured scowls from some of your fellow employees or neighbors whose incomes are somehow linked to the oil industry for choosing to drive a Prius. My brother-in-law manages an oil field in Montana and I have sensed some slight smirks coming from him when he sees me drive up in the Pri or whenever the subjects of fuel economy or fuel conservation come up.

You would be surprised. I also work in the petroleum industry, and when I still drove my Prius to work (I bicycle commute exclusively now), it was one of five in our parking lot. Some of the "old school" guys still drive pickups and large SUVs, but I can honestly say that cars, minivans, and small SUVs make up the majority of the vehicles in our company lot. I can count the number of huge SUVs (suburbans, excursions, etc.) on one hand. The expression "Don't get high on your own supply" comes to mind.

[Sheepdog]

Originally Posted by zenMachine

Trick question: why would Morgan Stanley (an investment bank) "predict" a rise in oil prices?

why do I think you are gonna say that the invstment company is saying it to make it so?

It could also be because China and India are buying it up with govt subsidies to the people too.

[EJFB1029]

Originally Posted by Sheepdog

why do I think you are gonna say that the invstment company is saying it to make it so?

It could also be because China and India are buying it up with govt subsidies to the people too.

Not very likely currently, the investment company wants to make it so, its multiple wins for them, their parent company gets government money because of the mortgage crisis, that money devalues the dollar, price of oil can go up due to that, then add fuel to the fire with weird predictions, win, win, win.

[patsparks]

I just got my renewal for my insurance on my Prius. In 12 months the market value hasn't dropped 1 cent. I'm in favour of higher fuel prices if that is the result. I save on fuel and depreciation.

[Rest]

Originally Posted by ml194152

I cheer every time I see oil prices go up. Besides being an oil company employee (meaning I keep my job and my pension stays healthy)

Bet your pension won't be so healthy when you realize that high oil prices mean more than high gas prices. The price of oil effects the price of everything.

[Rybold]

Originally Posted by zenMachine

Trick question: why would Morgan Stanley (an investment bank) "predict" a rise in oil prices?

No Kidding!!! Answer: Because it's not illegal for "Financial Advisers" to release statements, which consequentially manipulate the market. Hmmmm. So let me get this... Morgan Stanley tells advises their clients to buy oil when it was at $125, then it got to $135, fell to $122, and was headed lower, when Morgan Stanley mysteriously issues a report saying they expect it to get to $150 by Fourth of July, and oil rallies to $139. NOW TO THE UNTRAINED EYE, (and the trained eye, by which I am, since I have been investing for decades), IT WOULD SEEM THAT SOMEHOW MORGAN STANLEY "MANIPULATED" THE MARKET TODAY!!!

...so, Congress is planning to hold hearings on the concept of outlawing anyone from buying and selling (trading) oil futures unless they are directly involved in the oil industry. Currently, any Mutual Fund can buy and then turn around and sell oil futures before the date the oil is to be delivered.