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Oil Dips, but Gas Prices Set to Rise

NEW YORK -- Oil prices fell Friday as investors sold to lock in profits, but analysts doubt oil's record-breaking run is over and say gasoline prices are about to start following crude higher, according to the Associated Press.

Gasoline prices have so far held steady or even fallen despite a rally that boosted oil to new records for eight straight trading sessions on the New York Mercantile Exchange.

Posted by Peter C. T. Elsworth  at 4:33 PM to Crude oil market , Gas prices | Permalink | Comments 0

Pressure on GM goes up for every day auto contract talks drag on

So, after days and days of going round and round about how to get a $50-billion commitment for future retiree health care off General Motors' balance sheet and into a union-run trust fund, the UAW and GM have punted this vexing issue off to the side while they discuss other matters, according to Tom Walsh of the Detroit Free Press.

Posted by Peter C. T. Elsworth  at 9:24 AM to GM , Unions | Permalink | Comments 0

Oil slips towards $81

LONDON - Oil prices slipped a little today, after hitting a succession of record highs this week which were fuelled in part by oil company production shutdowns in the Gulf of Mexico because of a storm threat, according to Reuters.

U.S. crude for November delivery fell 18 cents to $81.60 a barrel by 7:30 a.m. EDT. The October U.S. crude oil contract expired on Thursday after it hit a record for the seventh-straight session at $84.10.

Posted by Peter C. T. Elsworth  at 9:11 AM to Crude oil market | Permalink | Comments 0

Oil Up Again As Low Dollar Spurs Buying

NEW YORK -- Crude oil prices surged further into record terrain Thursday, breaching $83 a barrel as the weak dollar and some worrisome weather in the Gulf of Mexico spurred buying, according to the Associated Press.

Gasoline futures jumped as well.

Posted by Peter C. T. Elsworth  at 4:42 PM to Crude oil market , Gas prices | Permalink | Comments 0

Backseat Driver: No More Slouching Toward Alternative Fuels

I read a quote the other day that went something along the lines of "When the facts change, I change my opinion."

Well, the facts about global warming have been changing for some time and it seems to me the message is finally getting through. I mean, when the senior advisor on the environment to this petro-driven administration concurs that CO2 emissions are changing the climate, you know opinions are changing.

And I expect a sea change next year in interest in cars and trucks powered by alternative fuels, mainly clean diesel from Europe and gas/diesel-electric hybrids from Asia and Detroit.

Folks, it's going to happen very fast indeed. Remember when we all smoked and no party or bar was complete without the fug of cigarette smoke. No more. Gone. Heck, I went to university in France in the late 1960s and developed a taste for the deliciously pungent Gauloise cigarettes. There were practically national brands and now they are not even made in France any more!

Plus ca change, plus ca change.

And the word at the current auto show in Frankfurt - one of Europe's biggest - is alternative fuels. This on the cusp of the entrance of the big clean diesels from Germany into the North American market (starting next year).

I have enormous respect for the intelligence and common sense of the average Joe, and the facts of global warming are getting through to all of us. What was once trendy is now becoming a fact of life and most of us now want to do our bit to save ourselves from ourselves.

Buying cars that emit less CO2 makes more than good sense: increasingly, there is little alternative that makes any sense.

- Peter C. T. Elsworth

Posted by Peter C. T. Elsworth  at 9:39 AM to Alternative fuels , Environment , commentary | Permalink | Comments 0

Oil hovers around $82

LONDON - Oil hovered around $82 a barrel on Thursday as sinking U.S. crude inventories and the threat of a storm gathering near Florida increased worries of a winter supply crunch in the world's top consumers, according to Reuters News Agency.

Oil has traded above $80 for the past week but OPEC officials and oil analysts say the lofty price is unsustainable.

U.S. light crude edged up 35 cents to $82.27 a barrel by 9:00 a.m., after a record-high of $82.51 on Wednesday, the sixth straight session to hit a record. London Brent crude fell 33 cents to $78.14.

Oil has risen by a third this year, driven by worries of fuel shortages during the Northern Hemisphere winter, supply risks in countries ranging from Mexico to Iran and flows of money into oil and out of poorly performing equity markets.

Posted by Peter C. T. Elsworth  at 9:28 AM to Crude oil market | Permalink | Comments 0

Flint: Hydrogen, to the Back Burner

Everybody is working on new ways to improve fuel economy and to go green. That's the news out of theFrankfurt auto show.

But if you take it a step further, it likely means that the most radical potential change in the automobile world - a move to hydrogen-powered vehicles - will likely go on hold, according to thecarconnection.com

Posted by Peter C. T. Elsworth  at 9:37 AM to Alternative fuels | Permalink | Comments 0

Oil Prices Rise Above $82 a Barrel

SINGAPORE -- Oil prices rose Wednesday above the previous session's record close, lifted by expectations the interest rate cut by the U.S. Federal Reserve will accelerate growth and increase demand for already tight crude and gasoline supplies, aaccording to the Associated Press.
Light, sweet crude for October delivery added 66 cents to $82.17 a barrel in Asian electronic trading on the New York Mercantile Exchange by midafternoon in Singapore.

Posted by Peter C. T. Elsworth  at 9:33 AM to Crude oil market | Permalink | Comments 0

UAW-GM Work Toward Contract

DETROIT -- As General Motors and the United Auto Workers enter their fifth day of bargaining under hour-by-hour contract extensions Wednesday, the unique issues that each of the Detroit Three automakers faces could make it difficult to use an agreement with GM as a pattern contract for Ford and Chrysler, according to the Associated Press.
All three companies are grappling with dwindling market share, high health care costs and too much factory capacity, but Ford may negotiate temporary wage cuts, for example, because its financial situation is the most dire, and Chrysler's status as a private company could affect its contract.

Posted by Peter C. T. Elsworth  at 9:29 AM to Chrysler , Ford , GM , Unions | Permalink | Comments 0

Record Increase in Sales of Alternative Fuel Autos Continues

Washington, DC – Newly released sales figures from R.L. Polk reveal that an increased number of alternative fuel automobiles rolled off dealer lots in the second quarter of 2007.

Between April and June of this year, nearly 490,000 AFAs were sold nationwide, an increase of 27 percent over the same period last year, bringing the total number of AFAs to nearly 11.5 million on American roads.

Sales of E-85 capable vehicles were up almost two percent from 266,859 from the first quarter of 2007 to 272,109, while sales of hybrid vehicles showed a significant increase, up about 48 percent from 74,056 to 109,716. Sales of clean diesel vehicles also grew from 93,012 to 108,044—more than a 16 percent increase.

“We are seeing the trend in increased sales of AFAs not only in comparison to the first quarter of 2007, but also in comparison to the first two quarters of 2006. The 2007 second quarter sales figures show an increase of 31 percent in sales of AFAs over the first half of 2006.

Higher gas prices and an increasing availability of a variety of models of AFAs for sale are likely drivers of this upward trend,” said Dave McCurdy, president and CEO of the Alliance of Automobile Manufacturers. “Yet, even though more AFAs are being sold, we still need more gas stations to offer biofuels, such as ethanol and biodiesel.”

Sixty models of AFAs are currently available and more are in development, including hybrid-electric, clean diesel, ethanol capable and others. Advanced vehicles need advanced fuels, including ultra low sulfur diesel, E85 ethanol, bio-diesel, hydrogen and electricity, all of which will play increasingly important roles as AFA sales continue to increase.

Posted by Peter C. T. Elsworth  at 11:06 AM to Alternative fuels | Permalink | Comments 0

What's taking so long? High-stakes health plan

While leaders of the UAW and General Motors Corp. may essentially agree on the solution to long-term health costs, a contract agreement remained elusive through Monday evening, according to the Detroit Free Press.

Analysts and workers say the reasons are threefold:

• It's extremely complicated.

• The stakes are fantastically high.

• It is going to be difficult to get rank-and-file members to ratify it.

People briefed on the matter indicate the two sides are down to the final multibillion-dollar decisions on matters such as establishing a retiree health care trust -- known as a voluntary employee beneficiary association, or VEBA -- and job-security issues, including commitments for plant investments in the United States.

Posted by Peter C. T. Elsworth  at 10:24 AM to GM , Unions | Permalink | Comments 0

Dream Machines in Frankfurt

Check out these fabulous concept cars currently on display at the Frankfurt Auto Show in Germany!

Posted by Peter C. T. Elsworth  at 10:21 AM to Shows | Permalink | Comments 0

Global warming suit against carmakers tossed

SAN FRANCISCO — A federal judge on Monday tossed out a lawsuit filed by California that sought to hold the world's six largest automakers accountable for their contribution to global warming, according to USA Today.

In its lawsuit filed last year, California blamed the auto industry for millions of dollars it expects to spend on repairing damage from global-warming induced floods and other natural disasters.

But District Judge Martin Jenkins in San Francisco handed California Attorney General Jerry Brown's environmental crusade a stinging rebuke when he ruled that it impossible to determine to what extent automakers are responsible for global warming damages in California. Many culprits, including other industries and even natural sources, are responsible for emitting carbon dioxide.

Posted by Peter C. T. Elsworth  at 10:07 AM to Environment | Permalink | Comments 0

Alternative power sources for autos drive into spotlight

FRANKFURT - Suddenly, alternative auto power seems close, according to USA Today.
The big Frankfurt auto show in Germany, home of the speed-limitless autobahn, bristles with vehicles aimed more at saving petroleum than gulping it. Here in the USA, General Motors (GM) is about to put the largest hydrogen fuel-cell test fleet into consumer hands, and Honda (HMC) is gearing up to launch fuel-cell, diesel and hybrid models.

Posted by Peter C. T. Elsworth  at 10:04 AM to Alternative fuels | Permalink | Comments 0

GM-UAW back at bargaining table; auto stocks rise

DETROIT — As General Motors and the United Auto Workers returned to the bargaining table Monday, auto shares rose on optimism the two sides were closer to a critical agreement that could take billions in retiree health costs off GM's books, according to USA Today.

At the plants, workers were less certain as they spent a third day without a contract.

Negotiations resumed around 11 a.m., GM spokesman Tom Wickham said. Negotiators were making progress but still had a lot of work to do, according to a person who was briefed on the talks. The person spoke on condition of anonymity because the talks are private.

Posted by Peter C. T. Elsworth  at 9:59 AM to GM , Unions | Permalink | Comments 0

Increase in Oil, Gas Drilling Projected

BILLINGS, Mont. -- Oil and gas drilling on federal lands across the Rocky Mountain West could increase by more than 160 percent over the next two decades due in part to pro-industry regulations enacted by the Bush administration, according to a report by an environmental group, according to the Associated Press.

Posted by Peter C. T. Elsworth  at 9:56 AM to Crude oil market | Permalink | Comments 0

Oil hits new high above $81

LONDON - Oil struck an all-time high above $81 a barrel on Tuesday, fuelled by concerns of a winter supply squeeze in top consumer the United States, where an anticipated interest rate cut was calming recession fears, according to Reuters.

Hurricane and other supply risks, tightening U.S. fuel inventories and fund flows into energy from poorly performing equity markets have driven a rally that has taken U.S. crude to new record highs for five straight trading sessions.

Posted by Peter C. T. Elsworth  at 9:40 AM to Crude oil market | Permalink | Comments 0

GM-UAW Bargainers Talking Again

DETROIT -- Bargainers for General Motors Corp. and the United Auto Workers resumed contract negotiations Monday amid optimism that they are getting closer to reaching a critical contract agreement, according to the Associated Press.

Negotiations resumed about 11 a.m. Eastern, GM spokesman Dan Flores said. The talks had stopped about 3 a.m. after a marathon 16-hour session.

Posted by Peter C. T. Elsworth  at 2:21 PM to GM , Unions | Permalink | Comments 0

Oil Sets New Record Ahead of Fed Meeting

NEW YORK -- Oil futures set another trading record and other energy futures rose Monday on expectations the Federal Reserve will cut the benchmark federal funds rate, a move the market expects will support the economy and ensure its thirst for oil and gasoline, according to the Associated Press.

Oil futures rose as high as $80.50 on Monday. Oil prices set several new records over $80 a barrel last week for a number of reasons, including perceptions that problems in the subprime mortgage industry would have a minor effect on the economy.

Posted by Peter C. T. Elsworth  at 2:19 PM to Crude oil market | Permalink | Comments 0

Mileage Ratings Are Still Estimates, Though Closer to Reality

SOME Americans are skeptical of almost anything the government says. But even the most cynical citizens find it hard to dispute a much-repeated statement from one federal agency: Your actual mileage may vary, according to the New York Times.

But starting with the 2008 models, shoppers can have more faith in the window stickers that they study in dealership showrooms; for the first time since 1984, the E.P.A. is revising its method for calculating fuel economy to better reflect realities of the road.

Posted by Peter C. T. Elsworth  at 10:35 AM to Fuel economy | Permalink | Comments 0

A Place in the Sun From the Beach to the Desert

THE dune buggy always seems like one of those all-American lifestyle gadgets that just arrived one day — like the surfboard, the skateboard and the snowmobile — more or less fully formed and ready to ride.

But the dune buggy did have an inventor and can trace its roots back to its Adam, an elemental machine called Old Red. And this year brings an anniversary of perhaps the most important moment in its history, according to the New York Times.

Posted by Peter C. T. Elsworth  at 9:40 AM to Collecting | Permalink | Comments 0

Chrysler recalls 300,000 SUVs, 70,000 cars

WASHINGTON — Chrysler said Friday it would recall nearly 300,000 sport-utility vehicles to fix potential braking problems while driving uphillm according to USA Today.

The recall involves more than 156,000 Jeep Grand Cherokees and Commander SUVs from the 2006-2007 model years, more than 90,000 2007 Jeep Wrangler SUVs and nearly 50,000 2007 Dodge Nitro SUVs.

Posted by Peter C. T. Elsworth  at 9:38 AM to Chrysler | Permalink | Comments 0

Goldman sees oil surging to $85 by year end

LONDON - Goldman Sachs Monday forecast U.S. oil prices will surge to $85 by the end of the year, and said crude could climb as high as $90 due to tight supplies, according to Reuters.

Their estimate was $13 higher than its previous forecast, and came after oil's rally to a record high of $80.36 a barrel on Friday.

Posted by Peter C. T. Elsworth  at 9:36 AM to Crude oil market | Permalink | Comments 0

Oil Prices Fall on Profit Taking

Oil prices dropped to extend the previous session's decline Monday when concerns faded about storms affecting oil rigs, refineries and pipelines in the Gulf of Mexico, according to the Associated Press.

Light, sweet crude for October delivery lost 70 cents to $78.40 a barrel in electronic trading on the New York Mercantile Exchange midday in Europe.

Posted by Peter C. T. Elsworth  at 9:35 AM to Crude oil market | Permalink | Comments 0

GM, UAW Negotiate Until 3 a.m.

DETROIT -- Bargainers for General Motors and the United Auto Workers took a break early Monday amid optimism that they are getting closer to reaching a critical contract agreement, according to the Associated Press.

Negotiations came to an end just before 3 a.m. after a marathon 16-hour session on Sunday and Monday, said GM spokesman Tom Wickham.

Posted by Peter C. T. Elsworth  at 9:30 AM to GM , Unions | Permalink | Comments 0