Search
All
Economics
Politics

Unleaded Gas Futures Hit Record High, Oil Surges 10%, Gold Up Another 25 Dollars

•

•

25 comments on Unleaded Gas Futures Hit Record High, Oil Surges 10%, Gold Up Another 25 Dollars

•

Unleaded gas (left) vs oil (right) chart courtesy of Barchart.Com

Energy Notes

  • Unleaded Gas futures just hit $3.78 breaking the 2008 peak of $3.63 in July of 2008.
  • West Texas Oil WTIC futures hit $125.59, now at $122.69, up over $7.00.
  • Brent Oil, North Sea crude spiked all the way to $130.89, up over 10%, now at $126.30, still up over $8.00

Prices are as of about 6:15 US Central.

Gold Up, Stocks Down Again

  • The price of gold for April delivery is up $28 holding a bit more firm than oil, at least for the moment. It’s $1994 per ounce.
  • Stock futures are down between 1.0% and 1.5% as of about 6.30 Central.

European Energy

Europe will be in recession before the US and is possibly there already.

Got?

A Word About Fiat Currencies

Word of the Day is Boom

Hedgeye provides the word of the day for today.

US Recession Coming Up

Gold and the Dollar

That one should be easy. Gold is not strongly correlated to the US dollar. 

For discussion, please see Gold Powers Towards Record High, NEM Closed Last Gap, What’s Ahead?

The word of the day coming up is “recession”. 

A recession fueled by collapsing demand, a liquidity crunch, and fading stimulus effects is coming up. Inflation sure doesn’t help.

For discussion, please see A Recession Looms, Blame the Fed and Biden, Not Russia

This post originated at MishTalk.Com

Please Subscribe!

Like these reports? I hope so, and if you do, please Subscribe to MishTalk Email Alerts.

Subscribers get an email alert of each post as they happen. Read the ones you like and you can unsubscribe at any time.

If you have subscribed and do not get email alerts, please check your spam folder.

Mish 

Subscribe to MishTalk Email Alerts.

Subscribers get an email alert of each post as they happen. Read the ones you like and you can unsubscribe at any time.

This post originated on MishTalk.Com

Thanks for Tuning In!

Mish

Mike Shedlock

Recommended Articles

Comments to this post are now closed.

25 Comments
Newest
Oldest Most Voted
Inline Feedbacks
View all comments
Billy
Billy
3 years ago
Remember when going to the pump, if you buy Shell gas you are supporting this war.
0
0
ColoradoAccountant
ColoradoAccountant
3 years ago
Here on the prairie there are tons of old people riding electric bicycles at 25 MPH.  I don’t know when this started, but I looked around and there they were.
0
0
Since2008
Since2008
3 years ago
Reply to  ColoradoAccountant
25 mph is a motorcycle as much as a bicycle.
0
0
Robbyrob
Robbyrob
3 years ago
Possible End to Dollar Dominance?: Permanent Alterations to the World Order Post-Ukraine
0
0
killben
killben
3 years ago
“A recession fueled by collapsing demand, a liquidity crunch, and fading stimulus effects is coming up. Inflation sure doesn’t help.”
Yep! and not to forget interest rate at 0 and the Fed’s BS at $8.5trillion+
But then you cannot put it past the “arsonists in the guise of firefighters” Fed to give up. They have to do more!! 
As Lindsay Graham would say “please ‘take them out’ – you will be doing your country and the world a service” 
0
0
Casual_Observer2020
Casual_Observer2020
3 years ago
Multiple outlets now reporting a former advisor to Putin is saying he has some type of bowel or bladder cancer and that he likely found out in 2021 and it is terminal.
0
0
FromBrussels
FromBrussels
3 years ago
Reply to  Casual_Observer2020
Brandon’s head is terminal too…
0
0
whirlaway
whirlaway
3 years ago
Reply to  Casual_Observer2020
Oh!  They finally found WMDs in Iraq?!   Why don’t you say it directly?  Please don’t speak in riddles!   LOL
0
0
Mish
Mish
3 years ago
How Long Will Oil Keep Rising?
0
0
Casual_Observer2020
Casual_Observer2020
3 years ago
Reply to  Mish
.
0
0
Christoball
Christoball
3 years ago
“Unleaded gas futures just broke the high set in 2008.” I think I was paying almost $3.80 a gallon around that time.
 
And look at what happened shortly there after.
 When gas went into freefall we had a little family game with the kids at the gas station about how low it would go. I remember saying I’ll bet Californee gas will be $1.60 by Thanksgiving. My youngest who was 8 at the time chimed in $1.50. He was right.
0
0
Mish
Mish
3 years ago
Reply to  Christoball
Yep and what else happened? 
R E C E S S I ON 
I nailed the top in oil then, with hyperinflationists coming out of the woodwork.
I expect oil will get hit again eventually but I am not at all confident this time that this is the peak. 
I expect inflation will collapse too when the recession hits full swing. 
0
0
Casual_Observer2020
Casual_Observer2020
3 years ago
Reply to  Mish
$3.80 sounds low even for that time. In summer 2008, I have a picture from a gas station I was at in Northern California that was in the high 4s. 
I suspect it won’t take as long for the economy to collapse this time. It was barely back on its feet and had high inflatiion at a baseline along with spiking labor costs. Someone posted that they were seeing a balance between people calling companies for jobs that vice versa. To me that may be the top. It won’t take long for companies to stop hiiring if numbers start to look really bad and start laying off workers.  I worked at a company that didn’t think it was headed for bankruptcy in 2008 and it came quicker than everyone expected. All it took was crises in stock and bond markets. I could see that happening very quickly this time.
0
0
Christoball
Christoball
3 years ago
Reply to  Casual_Observer2020
I did pay $4.50 in the Bay Area and remote Eastern Sierra locations during that time. Probably LA was high too. I was living in the more reasonable area of Californee at the time. Also even $3.80 was a lot in 2009 Dollars.
I guess we have finally taken some peoples advice that we should become more like Europe.
0
0
Christoball
Christoball
3 years ago
Reply to  Mish
If peace breaks out oil will decline quickly.
0
0
StukiMoi
StukiMoi
3 years ago
Reply to  Christoball
It no doubt will. Even without “peace.” Productive capacity has hardly been reduced at all.
It’s unlikely to go, at least long term, as low, though, in the US. The Chinese will take a lot more of it, than they used to.
Remember, we’re even closer to a third world country now, than we were in 2008. Asians are even more relatively efficient, hence better at creating more value from each barrel than we can. Hence they can outbid us.
Look at slightly-ahead-of-us-down-the-road-to-Peronism/Progressivism/SocialDemocracy Argentina: People there still can’t afford oil like they did back in the day. Irrespective of whether halfway-around-the-world is currently at war or at peace.
0
0
thimk
thimk
3 years ago
Nailed a 4runner  , kudo’s dude  ,   i bought  a rav4 1 year ago ( back up) .   Nice
0
0
Casual_Observer2020
Casual_Observer2020
3 years ago
If this turns out to be a repeat of 2008/2009, gold and commodities won’t survive either. Neither will real estate. Got canned food?
0
0
vanderlyn
vanderlyn
3 years ago
economics is a very soft science.   it’s like sociology and psychology.   no hard and fast rules and correlations.    gold has been basically 2 things for past 10k years.   artwork in form of jewelry and religious items.   and when the economy of the tribe or empire gets dicey she also doubles as money.     i’d recommend bernsteins “power of gold”.   the most sober and also interesting take on a metal i admire for her beauty and her use as money.     i’ve even made a bit of art with the metal and struck my own coins the old fashioned way with sledge hammer and stump of tree.   at american numismatic association summer seminars.    oh what fun that was.  
0
0
Casual_Observer2020
Casual_Observer2020
3 years ago
Recession means deflation of all assets. 
0
0
Bohm-Bawerk
Bohm-Bawerk
3 years ago
Looks like no panic still right now, but those elevated prices for food and gas are going to really hit the lower and middle classes.  Wheat keeps going up and I fear that if one staff of life goes up, they all will.  And if it hurts in the US, I can’t imagine what it will be for the third world as food and energy are both kind of important.
0
0
Casual_Observer2020
Casual_Observer2020
3 years ago
Reply to  Bohm-Bawerk
They will hit the 20% who are responsible for 80% of consumer spending too. Today  I went through bills to seen what to cut in advance. Fortunately spending is down and stock market assets were liquidated in January. Good luck to all. This is gonna be like flying on fumes the next few months until we go down.
0
0
TexasTim65
TexasTim65
3 years ago
Reply to  Bohm-Bawerk
Lots of countries heavily rely on Ukrainian and Russian wheat. Zero Hedge mentioned this a couple of days ago
Could be an Arab Spring 2.0 on deck in many of these countries and could spread well beyond them.
0
0
davebarnes2
davebarnes2
3 years ago
“Expect to pay still more at the pump.”
Whatever.
We buy 100 US gallons per year. I don’t care if the the price is $2 or $7.
$500/our annual spending is 0.5%
0
0
Mish
Mish
3 years ago
Reply to  davebarnes2
Let’s see 
Oil and NG used in food production, trucking, shipping, fertilizer, airlines, and ….
“Whatever” 
Sheesh how ignorant
0
0

Stay Informed

Subscribe to MishTalk

You will receive all messages from this feed and they will be delivered by email.