Reply to Thread

This site may earn a commission from merchant affiliate links, including eBay, Amazon, and others.

Message: <blockquote data-quote="HoLeChit" data-source="post: 4112334" data-attributes="member: 35036">To answer [USER=11795]@Lucky[/USER] question:OPEC just cut production, probably due to it coming towards the end of the "summer travel season"China's oil demands have risen considerably recently due to heavy increases in usage.Due to the ridiculous heat we have been experiencing, we have had to cut at least 500,000 barrels of refinery capacity per day. With high heat it is difficult if not impossible to operate efficiently/at max capacity.Risky weather patterns are causing concerns with ocean traffic going to the refineries in the gulf.Several Refineries in north america are down or at reduced capacity due to maintenance, whether it be scheduled or earlier than scheduled. a few months ago there were a few refineries down up north, causing their prices to go up. That's still having an effect on transportation, and now our prices have gone up, which means transportation from/to our area will be affected yet again.I've read in a few places that we can expect gas to go up a total of $0.50 to $1.00/gallon by the time this is all said and done. Higher fuel/oil costs=higher commodity costs. So food is up, and is going up.Combine all this with a chit economy and you're looking at what we have going on now.</blockquote>