The price of gas is set by speculators who deal in futures. Their perceptions of future supply and demand set the price of oil. In addition the oil companies, whenever they see an opportunity will raise prices. They collude on the price without formally colluding. When prices decrease the decrease in the price of gas lags decreases in the price of oil futures because of the oil companies' cupidity.
https://www.bbc.com/news/business-64583982
Well You are correct! Accept for all of these, and Refining has Nothing to do with the price of a barrel of oil! Nice Try though Biden and the Democrats want Green energy, just like Obama said to make that happen the price of fossil fuels necessarily had to skyrocket!
A timeline of Biden's actions on oil and gas reveal where his priorities are | Fox Business
Peter1469 (03-28-2023)
When Donald Trump said to protest “peacefully”, he meant violence.
When he told protesters to “go home”, he meant stay for an insurrection.
And when he told Brad Raffensperger to implement “whatever the correct legal remedy is”, he meant fraud.
War is peace.
Freedom is slavery.
Ignorance is strength.
I wonder how many more multi Billionaires we can get the left to dislike!
Not that being Jealous has anything to do with it.
Remember Richards stiffy when he thought Musk would go broke with Twitter, now that he is thriving again, we don't here so much
The US produces the most oil but the Saudis are second and they are much more willing than we are to attempt to manipulate the price by regulating what they supply to the world market.
Saudi Arabia Unexpectedly Raises Oil Prices for Next Month
https://www.bloomberg.com/news/artic...uverify%20wall
Signals from the saudis as to what they intend to do as to supply affects the perceptions of the speculators who deal in oil futures which sets the price.
You don't know how oil is priced do you? Saudi can't just say I want more for my oil, it is a traded commodity. The price is set by what people are willing to pay not an asking price.
So the more oil that we provide to the market the more oil supply there is and it makes it harder for the Saudi's to cut production to raise the price.
How the Price of Oil Is Determined - ComposeMD
It very much affects the price of gasoline. Significant reductions in US refining capacity have materially limited the supply of refined products, driving the price of gas up, even when the price of oil is dropping. Crack spreads have hit record levels in the last year or two.
From last summer:
https://www.businessinsider.com/why-...spreads-2022-5Oil prices are falling but refueling your car has never been pricier. Blame the "crack spread," the latest supply-chain hurdle to exacerbate US inflation.
For a few weeks, it looked as though Americans were getting some relief. Crude oil prices eased as countries released millions of barrels from their strategic reserves. Gasoline prices fell in kind, with the average nationwide price per gallon falling to $4.06 in mid-April after hitting a record $4.32 the month prior.
The cooldown was short-lived. Gas prices quickly rebounded through late April and early May. The nationwide average price for a gallon of gas touched an all-time high of $4.40 on Wednesday.
The cause, however, hasn't been a similar rally in crude prices, which are down about 15% since the early-March peak. Instead, oil refiners are now the bottleneck in the energy market, and they're reaping record profits in the meantime.