what do all the old hands think?
Happy new year to everyone on trucknet.
no way to tell for sure but some say at least 6 months… maybe more? better question is why was it high up until now with all the supply and relatively flat demand (if not decline in demand)… they had tankers parked up that they couldn’t unload as they had no place to put it in yet the price was around $100 a barrel…
How long until those who got haulage rate increases have the customers wanting it back ,even though no rate increase could ever make up for the price of fuel shooting up over the last say 20 years .
Apparently the middle east countries aren’t prepared to slow production despite the huge drop in price. Its upset a few of the other OPEC members as a result.
Until Russia accepts eu goods and American goods then they will pull the squeeze off Russia again and fuel prices will rise
I hope some of the hedge fund brokers who have been holding back vast amounts of oil, which forced the prices up over the last few years, get their comeuppance now, with the oil prices dropping.
Dave the Renegade:
I hope some of the hedge fund brokers who have been holding back vast amounts of oil, which forced the prices up over the last few years, get their comeuppance now, with the oil prices dropping.
I agree but is it here to stay for a while do you think.
I found a couple of articles explaining why the oil price has dropped so far so fast.
http://www.bloomberg.com/news/2014-10-29/why-oil-prices-went-down-so-far-so-fast.html
Not sure when it will go up, but I don’t think it will drop for much longer as it must become unsustainable for some oil producers.
The other thing is we have an election this year, and although we haven’t seen duty rises for a few years because of the high crude price and the political backlash if they added extra duty to the fuel. But after the election, whoever gets in will be looking at getting some money in.
Hopefully though we can get some stability in the price at a sensible level, that got to help in planning costs in all industries.
Has fracking got anything to do with it?
Deeireland:
Has fracking got anything to do with it?
If anything the price going down makes fracking less cost effective (which is possibly whybthe middle east aren’t cutting production) if it costs $80 a barrel for fracked oil then selling it at $110 makes it worthwhile. When you’re only getting $60 a barrel then you cease production.
This country is over £5trillion in debt a responsible Government would have kept fuel at a higher rate while it’s cheap to attempt to rake in some
extra cash or does everybody want their children and grand children to pay at some time in the future,I don’t we wasted it.
I dont want to be a doom monger, but here goes anyway.
I’ve heard all this stuff about the Saudis pumping the Oil out to lower the price, to hit the American Fracking industry, and probably this is true, but I’m seeing a lot empty containers sitting around Felixstowe, and I’m wondering to Myself, if we are heading for bit more recession, as in world wide. This could be a cause for a lack off demand in Oil, added to over production.
Just an observation 
I dont think it will be another worldwide recession but more a beating to the chinese/indian economies.
m1cks:
Deeireland:
Has fracking got anything to do with it?If anything the price going down makes fracking less cost effective (which is possibly whybthe middle east aren’t cutting production) if it costs $80 a barrel for fracked oil then selling it at $110 makes it worthwhile. When you’re only getting $60 a barrel then you cease production.
From things I’ve read and heard about this, one reason for the fall in the oil price is US producers using fracking to get new oil sources and other techniques to keep older wells producing. This has meant the US not needing to import oil. The high oil price of the last few years has lead to investment in getting oil from harder to reach places, but the oil is more expensive to produce.
So if the oil price falls to low they won’t be economic, the same might be true for North Sea oil, I know of some companies who supply services to the oil industry are seeing a down turn in work as the producers cut their budgets. But could it lead to bigger economic problems if the producing companies cannot pay back the money they borrowed to develop new and more expensive sources?
Other reason are a weak economy means less demand especially from China,
In the past when the oil price has dropped the big producers such as Saudi would cut production, they haven’t done this because they know that there are plenty of other producers who’d just fill the gap in production.
Another reason I’ve seen mentioned is we’re becoming more efficient in the way we use oil. so we need less anyway.
Until the yanks realise that Russia can sit it out far longer than they,Saudi and the rest of OPEC can take the loss of revenue.Thats why Putin just made deals with China and India.He dont need Europe but Europe needs Russias gas and oil.
The “free west” are pumping oil below production price ie at 60 dollars a barrel to get it out the ground but selling it at 50 dollars to try to ruin the Russian economy.
Read a thing about the “insurgency” in Syria.Saudi wanted to build a pipe line direct to Europe to destroy Europes dependence on Russian gas and oil.Only country that refused to let them build a pipe line across its borders? Syria.(Iraq is now Americas 51st state anyway)
Because Russia is Syrias ally and Assad was looking after Russian interests.
Bloody nuisance these countries that wont do what Obama tells them to do.
Who do they think they are?
Been reading a financial report today that says oil could go over $200 a barrel later this year. 
shirtbox2003:
Been reading a financial report today that says oil could go over $200 a barrel later this year.
Yes, I read the report, but it was an OPEC official that is suggesting that. However, another report I read also suggested the same thing but in this particular report the price will be driven back upwards by hedge funds and speculators. So I don’t think anyone contributing on here has a clue. I know that I’ve ordered today a bulk delivery of DERV for tomorrow at a price lower than last week and it has been steadily falling for about 6 months now. My own best guess, by Easter I think that it will be creeping up in price.
The governmet will make sure the price goes up because it is losing £ billions in revenue that will have to be made from elsewhere.ie, raise vat or income taxes. 
By the end of the year many speculators (including one high regarded OPEC) think that the price could end up rocketing to around $300 per barrel. The time to invest in the commodity is certainly now. ahhh but to do that we need to be rich doh!
All my fuel card prices for next week have gone up by at least 2p