Its time to nationalize big oil. Windprofits tax my ass. Return the excess profits from this self-indulging, pig corporation to the buyers at the pumps. This corporation should be ashamed of the ouotrageous gouging of American consumers. There will never be enough profit for them. This quarters profits are an embarrasment to your industry.. Its time for the monopoly of this industry to end and be subjected daily to governmental price controls. The executive boards of this and other huge oil companies have ZERO conscience about the impact of their pricing practices on the middle and lower class of our society.
jk, it's really refreshing to read a post that tells it like it is, that Big Oil is screwing the American people. I've grown sick and tired of the apologists for Big Oil that constanly bombard us with various justifications for price-gouging by the oil companies.
I'm sure that you, or anyone reading my post here, have noticed that every time we read of a rise in price of crude FUTURES that within HOURS the price of gas goes up at the pump. This higher-priced crude hasn't even been pumped into a tanker yet! So how does Big Oil justify the jump in the price of gas at the pump, given this situation??
They DON'T HAVE TO JUSTIFY SH*T!! They have the oil, they refine it into gasoline, and if you want(actually,need) that gas, then you will pay their price...or do without.
The only solution to this situation, which will only get worse, is to either nationalise the petroleum industry(which Big Oil will never allow to happen) or to establish price controls. Unfortunately, that isn't likely to happen either, as Big Oil not only controls Congress, but has a willing accomplis in the Oval Office.
What to do ? Well, we could boycott gasoline, refuse to buy the stuff until Big Oil agrees to bring the price down to reasonable levels. Hey, it worked for Cesar Chavez back in California when he urged the nation to boycott grapes so as to force grape-growers to meet farm-workers union's demands.
Well folks, unpicked grapes dried up or became bird food on the vine, as it was easy for the nation to forgo grapes and buy other fruits.
But it won't work with oil. We can't forgo purchasing gas. There is no substitute. Moreover, crude oil doesn't go bad if, like grapes, it isn't "harvested". The stuff has been sitting in the ground for millions of years, so a few more months won't make any difference.
In summary, a boycott against Big Oil just won't work. They've got us by the pelotas, amigos Y amigas!!!
What WILL work? A Major war would! When I was a kid , it worked during WWII. Gas was rationed, so there were no long trips anywhere. BUT, there was no price-gouging either, even though gas was in short supply. Why? Because there were heavy penalties for exceeding the prices set by the Govt., and enforcement was a sure bet!
One of my favorite quotationsa is, " Drastic times calls for drastic measures". Maybe now is that time!!
Capsn thinks he is correct...
Capsn thinks he is perfect.
Capsn is vile.
Capsn should be dying.
Capsn should leave Earth at warp speed.
The world should be saying goodbye to Capsn yesterday.
You are talking about one company as if it is unique. Most companies operate in simialr ways though having very different sizes, revenues, profits, successes etc. You are declaring XOM profit unconscionable yet it is OK for MSFT to make enormous profits. Compare MSFT % profit on revenues at 31.6% to XOM's 10.6% and MSFT's operating margin at 40+% compared to XOM's 17.5%
Be frank, you are upset with XOM's profit because, to you, it seems excessive yet you have not put it in context. For what is invested by XOM, are the profits truly unconscionable when compared to what MSFT, KO, WMT make. Particularly when you look at the investment & risk to find and develop another oil field, compared to a new version of WIndows,or flavoring water to give it a cola taste or building a new superstore.
Look at that least earnings report. Over $5billion of that "unconscionable" profit was spent on capital investment and exploration. In other words, XOM put half that quarter's profit straight back into the business to find more oil, produce it, refine and market it.
What you refer to as spot price is the trading price. Profits are being made. So? You will find the saem thing in other commodity markets.
There is a plain, simple truth. Crude oil is a commodity with limited supply and often its availability barely matches demand. So prices tend to go up. If another 45 million barrels/day of oil became reliably available, bet prices would drop.
Have you been to the lumber yard recently? Lumber has become much more expensive in past 6 months (since Katrina). Is it any more expensive to make lumber this quarter than same quarter last year? Not much difference I would opine. So why the price increase? Becasue there is greater demand for lumber to use in reconstruction in New Orleans etc