Originally Posted by jad n rich (Post 10237209)

Just seen it go up to $155.9:blink:

3 weeks ago we were buying at $122.9.

The 155.9 prices is similar to when oil was about $124.00 a barrel, about $30 higher than now, the aussie dollar was much weaker then too.


And yes I know it costs more in the UK before anyone starts the predictable...

Coles and Woolworth issue a few 8c a litre discount coupons and wham it goes up 30C:sneaky: Coincidence??

Originally Posted by GarryP (Post 10237228)

Actually the price is currently about $113-116 - don't be seduced by those quotes of the WTI price, its meaningless and has nothing to do with anything.

http://www.aip.com.au/pricing/images/platts_aus.png

That's not to say the pump price doesn't have a fair amount of fraud and collusion built into it. They play a variety of games to extract more money from the motorist. The only way to fix it is government action, even the threat of government action (which was why the price dropped so low recently, apparently).

Originally Posted by jad n rich (Post 10237209)

Just seen it go up to $155.9:blink:

3 weeks ago we were buying at $122.9.

The 155.9 prices is similar to when oil was about $124.00 a barrel, about $30 higher than now, the aussie dollar was much weaker then too.


And yes I know it costs more in the UK before anyone starts the predictable...

Coles and Woolworth issue a few 8c a litre discount coupons and wham it goes up 30C:sneaky: Coincidence??

Originally Posted by jad n rich (Post 10237233)

Right dont watch the local news at work:lol: it had the financials with oil at $94 a barrel.

So a 33c price rise, taking into account my petrol purchases, and in that time from the chart, petrol went up $3 a barrel.

That's an even bigger rip off.

We used to have a lot of independents round here, all casualties or sold out to Coles and Woolworth.

Originally Posted by jad n rich (Post 10237233)

Right dont watch the local news at work:lol: it had the financials with oil at $94 a barrel.

Originally Posted by jad n rich (Post 10237233)

So a 33c price rise, taking into account my petrol purchases, and in that time from the chart, petrol went up $3 a barrel.

That's an even bigger rip off.

We used to have a lot of independents round here, all casualties or sold out to Coles and Woolworth.

Originally Posted by stevemich (Post 10237248)

The huge sudden differences, with no apparent market forces are what frustrate me...

Originally Posted by GarryP (Post 10237268)

It's a pet peeve of mine.

People keep quoting WTI - West Texas Intermediate, as some kind of global oil price. Fact is its the spot price paid at Cushing in the US - a landlocked location that was original setup as a good central point for the US oil refining, etc. That was 40 years ago.

It continues to exist, but mainly on oil pumped to it via pipelines. In particular the Keystone pipeline, that is the only exist route for oil from the Alberta tar sands. Now, via dint of polluting the environment and using up water, they have been inching up their production over the last decade (~3Mbpd currently). They are now trying to ship so much oil down that pipeline that its more than the refineries at Cushing can take - so the spot price at Cushing takes a dive relative to the world price - and a 'spread' opens up.

http://www.tradingfloor.com/images/b...706497fcfd.png

From 2011 onwards the spread went from near zero to $20 and beyond. Needless to say, the price of petrol was still tied to the world (Brent) price - and the refineries at Cushing made a tidy profit because they had Alberta over a barrel (hem hem).

As such, you should never use the WTI as any more than an indication that they haven't yet fixed the pipeline problem. The vested interests may have put a crimp on the Keystone XL pipeline, but in reality via other tricks, and the bits of the pipeline that are still being built, the oil from Alberta will reach the Gulf Coast. When that happens, the WTI price pings back to the world price and the spread collapses back to zero.

Here endith the rant.



About the only time the petrol price is right is around the bottom of the australian petrol price ripoff cycle. The rest of the time they are making excess profit off people that have to fill up now, or don't know how its varying. As I say, the government should step in and ban the practice - it's pure rip off, as is the 4c litre 'discount'.

Originally Posted by jad n rich (Post 10237283)

Notice the local news is among many quoting the barrel price that way, even The Australian Newspaper has it at $95.

Originally Posted by GarryP (Post 10237495)

Hence the peeve.

Reporters - if they knew what they were talking about, they'd be dangerous.

You wait till the pipeline to the gulf coast gets sorted and the WTI snaps back - their will be a deluge of "why has the oil price jumped".

Tapis has looked like this over the last 5 years :

http://www.moneymorning.com.au/images/mmw20120324a.jpg

which I'd say has matched pump prices fairly well.

Originally Posted by Zen10 (Post 10237515)

Nice work with the graphs Garry!:thumbsup: