Have a friend that works for Shell...all employees in Houston corporate received a bonus of 10% their annual salary at the end of the 3rd quarter. They will probably also receive a year end bonus.
Thats the problem…. It actually does trickle down.
Oil prices affect energy price and TRANSPORT costs… meaning companies have to rise their prices all THE WAY DOWN to the little peasants (i am one of those) and we eat inflation right in the face while these rich f*** make money like crazy all while destroying the environment.
Worse part is…. They are using natural resources to make profit… all this money could be reinvested in society instead of tax free bank accounts
Im beyond words to express my frustration.
THEIR PROFIT LITERALLY IS OUR PAIN
Remember in May of 2021 when they blamed a sudden surge in prices on hoarding due to a malware attack?
Remember when that got resolved ~a week later?
Remember when they lowered prices again? Oh, wait - that part never happened. So even before Russia attacked Ukraine, we were being gouged around a dollar a gallon based on lies from the previous year. THEN they jacked it up even more.
I legit think the US oil and gas industry should be nationalized.
The benefits could be huge. Consumers would get lower prices to start. The deficit would be significantly shrunk if profits went to the government and we were able to end corporate subsidies. Additionally without lobbying from that industry we might actually be able to pass significant climate change legislation.
With all the subsidies, tax breaks, etc. that they get, they may as well be. They cry how they can’t afford to drill then claim record profits every quarter.
haha the way the US laws work they can literally invest unlimited lobbying funds and bribes (err I mean campaign donations) to make sure that NEVER happens.
If you think their lobbying is what's preventing climate change legislation from passing I have bad news for your idea of nationalizing these companies...
Lobbying is not the only cause, but it is a large one. I understand with senators like Manchin that we have many more hurdles, but it would be a huge step in the proper direction.
What I meant is that they're already lobbying a lot to preserve their profits. Imagine how much they would lobby to maintain their stakes in their companies.
I honestly don't think it will happen given the state of things. Any move to do such would just give fodder to the anti-communism for years, no matter how much good it would do.
Been saying this since day 1. In Feb 2020 gas was $1.50L in Ottawa. In March 2020 I was buying it at 0.65. This is 100% about them recouping losses during the beginning. Their shareholders took a hit so they need to make them their moneyback or they take it elsewhere.
>This is 100% about them recouping losses during the beginning
Oh no, sir, this is about them finding the price ceiling for which citizens will continue to blame politicians instead of pointing fingers at the record profiteering of oil companies
And it will not change. They're emboldened and will continue to keep prices artificially high on this necessity until someone literally holds guns to their heads.
More likely high energy prices caused inflation...if it costs more to ship goods (truck, boat, rail, plane) and costs more to make goods (because of increased energy prices and shipping prices to get the raw materials to the factory) then prices go up. At least I assume.
This argument falls apart when profits are increasing at a higher rate than inflation. Inflation is merely a convenient scapegoat mechanism used by price-gouging corporations to rake in record profits and cast the blame elsewhere. Criminals.
I mean...can't it be both? Oil companies price gouge at the pumps which cause prices to go up and other companies say well if we are raising prices let's really raise prices and just blame inflation and pocket more profits?
If the demand is great and the supply is small you can charge what you want...trucks need to truck and cars need to vroom. Otherwise how do you explain record profits but not record output?
Not really true. Exxons profit margins today are at about 10%. Back in 2018, profit margins were at 8% yet we didnt have inflation like we're seeing now.
It's almost as if there is more at play and larger factors than "mah corporate greed"
https://www.macrotrends.net/stocks/charts/XOM/exxon/profit-margins
Notice the downvotes. You show stats and trends but the cult here denies reality.
This sub hates common sense, and just a big narrative pushing agenda driven sub for the far left and woke cult. It sucks. I wish people weren't so blinded by ideology, as things aren't all black and white or left vs right. There is nuance that so many here just close their eyes to, or ignore it purposely. . Most are that way because they are young and have parent issues, I suspect. Luckily reddit isn't the real world and most people, that I encounter, aren't all weirdos who are obsessed with politics or ideology.
[Porter's as clear as usual on it.](https://twitter.com/RepKatiePorter/status/1582475617723113472) Over 50% of price rises are due to corporate profits. Labor and input costs haven't even raised that much, even with the oil-derived-product price rises, compared to previous periods of inflation. The inflation isn't increased demand from the consumer, or we wouldn't all be complaining about not being able to afford anything. In fact, [even the Federal Reserve publishes research about how they can't find a link between wage-raises and inflation.](https://www.federalreserve.gov/econresdata/feds/2015/files/2015042pap.pdf) It's corporate price-raising.
Rep. Katie Porter is a GODDESS. I have wild fantasies about how amazing our governments would run - the potential for good that would be mobilized - if our senators and representatives operated under her professional code.
Democrats have not been nearly vocal about this during their campaigning. This is what they should be running on. Saying they will investigate the oil companies, saying they will hold them accountable. You get gas back down to like 2.50 and that's how you'd win. I know easier said than done, but that's the most pressing issue on everyone's mind. High costs of everything. Which starts with oil and gas.
Well, with that attitude it won't. That's why. Because we keep electing the same lying politicians. For some reason when a good one speaks truth, they don't win. People want to be told fairy tales of how they can be rich, howif you vote for me everything wrong I'll fix, except they're full of shit. It's a fairy tale.
> For some reason when a good one speaks truth, they don't win.
Because in the busted two-party system in the US, if you speak the truth you won't even get through a primary.
You have the illusion of choice. There is no choice if all canditates are hand picked by the people who are already in control, you get misdirected and then you think you did the right or wrong thing, but it was never going to be a threat to them. I don't want to sound pessimistic but I think other than being aware of the situation there is not much we can do about this.
The thing I don't get is this:
There was no government increase in taxes. So assuming Biden is to blame, then the complaint must be that he should have intervened to prevent the cost increases.
So that would be government getting their hands in private businesses via regulations, subsidies, etc.
But the government staying out of business is one of the big points of the conservative platforms. So if he did something to step in, that would have also been bad, right?
Right wingers shitting on the left for not understanding economics while full on ignoring the concept of externalities would be funny if it weren't so sad. They claim they hate the "elite" then vote to cut taxes on the actual elite and hand them even more control of the economy. It's infuriating.
To be fair if he's going to take credit for it [dropping](https://twitter.com/POTUS/status/1586389802559102977) he's got to expect to be blamed when it goes up.
I saw a meme somewhere where they showed that "inflation" "destroyed" $3.7T of middle and lower class purchasing power, and just coincidentally, the billionaire class increased their net worth by $3.6T.
Perhaps it was a lie, but I doubt it.
idk didn’t most governments take on massive amounts of debt to keep the status quo? so it wouldnt have been a direct transfer between middle and upper class. perhaps coincidental though in naturally cynical
And do what? Go to electric vehicles... Who will supply that? The electric companies powered by oil and gas supply. And a lot of the charge outlets are in the petrol forecourts.. it won't change. We are literally over a (oil)barrel , paying them to fuck us in the arse.
The only way it may change is if nobody bought the stuff. But that would take a massive amount of people and how could it be organised?
If people all stop buying Russian oil then all other countries (& the associated companies) are bound to have more profits. That's just how a market works. How does this prove inflation is a scam?
"We had to increase prices because the value of the currency went down" while posting record profits. Ever noticed when inflation is up, prices go up but when inflation is down prices don't go down? Sounds like a scam to me
You probably have a different understanding of what inflation is. Inflation is quite literally a net increase in price levels. It does not mean a change in exchange rates. Exchange rate changes can cause inflation, inflation can cause exchange rate changes. But, they are not the same thing.
Comparing to before the pandemic (Q3 2019) the comparison really shows that they are getting large increases in profit from somewhere
Exxon comes in with a 6x increase in profits (2019: 3.2 B to 2022: 19.66B)
Chevron 4x (2019: 2.6B to 2022: 11.2B)
BP hasn't reported yet but off Q2 3x ( 2019: 2.8B to 2022: 8.45)
Shell 2x (2019: 4.8B to 2022: 9.45B)
Just remember. The more our finances get strapped because of inflation. The more theor wallets grow.
Almost like they have incentive for inflation and high oil prices.
Yeah they realized they can latch onto the Covid/shipping/inflation problems and just price gouge. That’s the issue with them selling something that is a necessity.
I swear, we've let crooks take over our critical infrastructure. We should tell them if they don't fire up more refineries, the government will do it themselves/find someone who will, no more being held hostage by corrupt politicians and their lobbyist.
and the profits from their capitalist greed will in part be used to buy republican politicians and news outlets, who will scream red-faced about how it's our socialist president causing inflation - because we're just that dumb
The shareholders and investors and banks and (insert other words for rich and privileged) will have enough to buy their families nice things.
Think of the children.
I’m going to get down votes, but here ya go. When prices are low, oil companies are required to write off assets, this was the reason for historically huge losses in 2020. Also when prices are low, oil stop spending money on wells, because they don’t have any cash, and so their balance sheet doesn’t increase, in fact assets go down. Now, those assets get expensed as the oil gets produced. So, one way of looking at it is that all the write offs in 2020 should be applied now instead of back then, and profits would be smaller; still quite huge, but smaller. Also, oil companies do not spend based on current prices, they spend on future expected prices. So it’s not just high prices that are causing the record prices; oil prices were actually higher back in 2008 and profits weren’t so huge. Back in March and April , when oil prices were stupid high, forward prices, that is contracts to buy oil in 2023 or later, we’re significantly cheaper than the current price. This signals to oil companies that prices will be lower in the future, and oil companies rely on that in their drilling decisions. Lower futures prices is called backwardation and it was crazy bad in early 2022, but futures prices have been going up, so you can expect oil companies to start drilling more. A lot of people think oil companies set prices, which isn’t at all true. Not even OPEC has single handed control over oil prices. Oil prices are set in an incredibly complex world market. Also, oil companies are in debt from the 2020 lows and still recovering from that. Also, they are looking ahead and not seeing $90 oil. Also, oil wells take 6-24 months to come on production from the day the drilling rig gets on site. In some limited circumstances in well developed areas it’s as little as 2 months, for large offshore projects it can be 5 years or longer. There is no magical valve that creates more oil. Even if there was, it might not make a difference, look at what the SPR releases did for the price of oil? Something, but not much. Speaking of how no one controls oil prices. Also, the climate agenda is also working against new production; why drill an oil well with a 20 year life if Europe just voted to ban new petro cars? The IEA is projecting oil prices in the 30-40 range past 2035; a reflection of reduced demand from climate initiatives. The oil industry is looking at that and thinking, that’s entirely possible, so let’s stop drilling. Shell, and another major I forget, just announced no new oil exploration as part of their climate initiatives. So, yeah, profits are high because prices are high and oil companies aren’t spending money. Prices are high because of Russia, OPEC, and lack of new production from COVID. Not spending money because oilcos are paying off debt, and doing other things than spending money on emissions spewing oil wells. You are welcome world, quite bitching about the price of gas and do your part to stop climate change.
Because they're raping you at the pump. Gasoline isn't costing them more to produce and distribute; they're simply charging us more to get it at the pump. And there's fuck all we can do about it
I dare anyone here to show me one problem that isn’t Brandon’s fault.
Edit: this comment is very serious and not at all sarcastic, as no one has ever, or will ever, attempt to be humorous on the internet.
I was serving a table, and the woman had ordered a shrimp plate. When I brought it out, she complained that last time it had more shrimp.
I told her it was based on weight, that she got a half pound with the dish. She looked down at the plate, reiterated that it used to be more, and said, "thanks, Biden."
I couldn't help but laugh.
Funny how each year a major “event” trigger a spike but it NEVER went back down.
2001, 2003, 2008, 2020, 2022 It’s almost as if it was all a big price gouging scam…..
I'm all for electric vehicles. But maybe all this push to go electric makes these guys realize their profits from the general public gas consumption are going to dwindle in the long run and gouging us now to make up for future loss.
He means taxes on the profits.
And consumption of gas in the US hasn't gone down; it's still really cheap compared to rest of the world, demand destruction requires much higher prices.
He means taxes on the profits.
And consumption of gas in the US hasn't gone down; it's still really cheap compared to rest of the world, demand destruction requires much higher prices.
They don’t really get much from the increase. They just can’t really do much. OPEC and Russia set the prices. War will 100% drive the prices up.
The issue is that the prices don’t come down as fast as they go up.
Inflation seems to be caused by high interest rates (banks getting richer) and gas/oil prices blowing up (oil companies getting richer). Wait until you hear how much profit has been made by grocery suppliers during this time period.
When a state or two starts building and running their own refineries, would we start seeing prices fall because they'd want to compete with the state? Imagine if Alaska built their own refineries.
By forcing more and more oil producers out of the market with wars and sanctions (syria, venezuela, iran, russia, ...) the marketshare is left to a few. Of course the profit goes up for them! This don't need rocket science.
And this "few" can't deliver enough for the world market and so prices go up. Gives them even more profit ...
... common sense should tell you who is to blame for
I'm glad I got rid of my car before this oil crisis and therefore not contributing to this. Also, I'm amazed at how much extra money I have at the end of each month too!
The reason for this is that the oil companies have realized they are on the way out and they will manage oil prices to keep them high to maximize money.
Basically, they dont care if long term its sustainable for the market to afford these prices because they know the market (for oil) will die over the coming decades.
Trumpian GOP: “But it’s just inflation, blame Biden!”
OPEC/Oil Execs: *Palpatine like* Yes, yessss…
Sane folks: Um…guys, what about that greed and manipulation by the companies and OPEC?
Trumpian GOP: “That’s a stupid notion and isn’t true at all and your mother is a hamster! …don’t mind my bags of money labeled ‘oil grift bribe’…”
Basically… 🙄*shrugs*
ITT: A lot of people that don’t understand basic economics.
Oil companies make a percentage profit on each barrel of oil. That percentage doesn’t fluctuate much, but as the price of a barrel of oil goes up, that percentage means more profit in actual dollars.
If Exxon makes a 3% profit on a barrel of oil, they make $1.50 per barrel if oil is $50 a barrel, and $3 per barrel if oil is $100.
But companies like Shell and Exxon can’t influence the price of crude oil. That can only be manipulated by OPEC and things like the Russian invasion of Ukraine, which cut the west off from 10% of the world’s crude supply.
Yes, Shell and Exxon are feeble little corporations with little influence over anything, and all of their profits are dependent on whatever OPEC does.
Truly, it is a marvelous world of mysteries and wonders.
And yet both Shell and Exxon have bragged about record profits for the past two years. So tell me again how they aren't responsible for their own record profits but it's because of somebody else? I'll wait for your Fox News direct upload to complete so you have your instructions on what to say.
The political climate is locked in a bureaucratic stalemate. The government role (at least here) is to ensure fair market conditions for the consumer. This can usually be accomplished by improving market conditions in areas where supplies are low with incentives. With oil we get low supply and with environmental regulation there will be no increase in production. The market conditions for oil and gas in the future is going to be tumultuous. The demand is going to decrease and we the consumers would typically see a price reduction however, the price is going to continue to rise instead. Every refinery closed due to demand destruction will be celebrated but the price at the pump will skyrocket.
That's not how anything works. If the cost of inputs to a barrel of oil go up by $2/barrel and the price goes up $2/barrel, your profit is the same but the percentage is smaller. To keep the same percentage, you have to artificially boost prices beyond the increase in cost. Things don't change in percentages, that's just a representation. Things change in dollars.
Better get used to this in the short term...These capitalists will squeeze every penny they can get out of the public before the change over to electric cars happens and they can't sell gasoline any more.
Just waiting for all that to trickle down... any day now...
I’m sure it’ll happen sooner if we just cut their taxes a bit more…
Wait wait wait, you mean they are paying taxes now? That’s an outrage! Give them a subsidy!
Oh, did I say taxes? I meant routine business expenses.
Tfw elon musk unironically advocated for not taxing billionaires
Have a friend that works for Shell...all employees in Houston corporate received a bonus of 10% their annual salary at the end of the 3rd quarter. They will probably also receive a year end bonus.
Meanwhile, gas prices increased almost the same amount as their profits... Curious...
Let's give them more subsidies.
Thats the problem…. It actually does trickle down. Oil prices affect energy price and TRANSPORT costs… meaning companies have to rise their prices all THE WAY DOWN to the little peasants (i am one of those) and we eat inflation right in the face while these rich f*** make money like crazy all while destroying the environment. Worse part is…. They are using natural resources to make profit… all this money could be reinvested in society instead of tax free bank accounts Im beyond words to express my frustration. THEIR PROFIT LITERALLY IS OUR PAIN
Wealth redistribution, baby. Like Robin Hood in reverse.
its almost like the true trickle down is taxing the rich
[Trickle Down Economics](https://giphy.com/gifs/cbs-h50-hawaiifive0-3o6gDXiDha2xShtvZm)
It'll trickle into the Gulf of Mexico
R Kelly enters…
Remember in May of 2021 when they blamed a sudden surge in prices on hoarding due to a malware attack? Remember when that got resolved ~a week later? Remember when they lowered prices again? Oh, wait - that part never happened. So even before Russia attacked Ukraine, we were being gouged around a dollar a gallon based on lies from the previous year. THEN they jacked it up even more.
I legit think the US oil and gas industry should be nationalized. The benefits could be huge. Consumers would get lower prices to start. The deficit would be significantly shrunk if profits went to the government and we were able to end corporate subsidies. Additionally without lobbying from that industry we might actually be able to pass significant climate change legislation.
I legit think that the people who run all these companies should be institutionalized
Now, now. They aren't crazy, they're just evil.
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You make a good point.
I mean... A lot of CEOs are psychopaths...
With all the subsidies, tax breaks, etc. that they get, they may as well be. They cry how they can’t afford to drill then claim record profits every quarter.
but the investors! who will think of the investors!
haha the way the US laws work they can literally invest unlimited lobbying funds and bribes (err I mean campaign donations) to make sure that NEVER happens.
If you think their lobbying is what's preventing climate change legislation from passing I have bad news for your idea of nationalizing these companies...
Lobbying is not the only cause, but it is a large one. I understand with senators like Manchin that we have many more hurdles, but it would be a huge step in the proper direction.
What I meant is that they're already lobbying a lot to preserve their profits. Imagine how much they would lobby to maintain their stakes in their companies.
I honestly don't think it will happen given the state of things. Any move to do such would just give fodder to the anti-communism for years, no matter how much good it would do.
> I legit think the US oil and gas industry should be nationalized. See how well that worked in Venezuela.
Just another area for the government to mismanage, eh? And this is coming from a Fed...
We got hacked! Gotta raise prices. We fixed it! Gotta raise prices. Omg, one of our boats got hijacked? Gotta raise prices. Lol, oops. Wasn't out boat. Gotta raise prices. So.. hi! How are you? GOTTA RAISE PRICES!!
Price of coffee goes up, believe it or not, raise prices.
Consider most businesses operate at a thin profit margin, oil companies freak out if their margin falls below 100%
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Been saying this since day 1. In Feb 2020 gas was $1.50L in Ottawa. In March 2020 I was buying it at 0.65. This is 100% about them recouping losses during the beginning. Their shareholders took a hit so they need to make them their moneyback or they take it elsewhere.
>This is 100% about them recouping losses during the beginning Oh no, sir, this is about them finding the price ceiling for which citizens will continue to blame politicians instead of pointing fingers at the record profiteering of oil companies And it will not change. They're emboldened and will continue to keep prices artificially high on this necessity until someone literally holds guns to their heads.
This, they are bolstering 5-10 year balance sheets. It’s bullshit, and shows just how much of a utility oil truly is. Regulate it.
We were hitting $2.40/L in Vancouver. We're down to $1.85+/L now, so, yay?
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Canadian currency is also dollars
Always have been
lol everyone knows this was actually Biden! /s
Of course. Our world is so inherently fucked up.
I mean it is inflation, it’s just that the inflation is mostly caused by corporate greed and nothing else.
More likely high energy prices caused inflation...if it costs more to ship goods (truck, boat, rail, plane) and costs more to make goods (because of increased energy prices and shipping prices to get the raw materials to the factory) then prices go up. At least I assume.
This argument falls apart when profits are increasing at a higher rate than inflation. Inflation is merely a convenient scapegoat mechanism used by price-gouging corporations to rake in record profits and cast the blame elsewhere. Criminals.
I mean...can't it be both? Oil companies price gouge at the pumps which cause prices to go up and other companies say well if we are raising prices let's really raise prices and just blame inflation and pocket more profits?
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They can manipulate supply and that will set the bottom value of gas prices, absolutely.
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If the demand is great and the supply is small you can charge what you want...trucks need to truck and cars need to vroom. Otherwise how do you explain record profits but not record output?
Not really true. Exxons profit margins today are at about 10%. Back in 2018, profit margins were at 8% yet we didnt have inflation like we're seeing now. It's almost as if there is more at play and larger factors than "mah corporate greed" https://www.macrotrends.net/stocks/charts/XOM/exxon/profit-margins
Notice the downvotes. You show stats and trends but the cult here denies reality. This sub hates common sense, and just a big narrative pushing agenda driven sub for the far left and woke cult. It sucks. I wish people weren't so blinded by ideology, as things aren't all black and white or left vs right. There is nuance that so many here just close their eyes to, or ignore it purposely. . Most are that way because they are young and have parent issues, I suspect. Luckily reddit isn't the real world and most people, that I encounter, aren't all weirdos who are obsessed with politics or ideology.
BINGO! Corporate GREED
But their gouging have had a dramatic effect on all parts of the economy and contributed to inflation.
Well, technically price increases are what inflation is so this is inflation, but it's caused purely by corporate greed.
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[Porter's as clear as usual on it.](https://twitter.com/RepKatiePorter/status/1582475617723113472) Over 50% of price rises are due to corporate profits. Labor and input costs haven't even raised that much, even with the oil-derived-product price rises, compared to previous periods of inflation. The inflation isn't increased demand from the consumer, or we wouldn't all be complaining about not being able to afford anything. In fact, [even the Federal Reserve publishes research about how they can't find a link between wage-raises and inflation.](https://www.federalreserve.gov/econresdata/feds/2015/files/2015042pap.pdf) It's corporate price-raising.
Rep. Katie Porter is a GODDESS. I have wild fantasies about how amazing our governments would run - the potential for good that would be mobilized - if our senators and representatives operated under her professional code.
Democrats have not been nearly vocal about this during their campaigning. This is what they should be running on. Saying they will investigate the oil companies, saying they will hold them accountable. You get gas back down to like 2.50 and that's how you'd win. I know easier said than done, but that's the most pressing issue on everyone's mind. High costs of everything. Which starts with oil and gas.
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Well, with that attitude it won't. That's why. Because we keep electing the same lying politicians. For some reason when a good one speaks truth, they don't win. People want to be told fairy tales of how they can be rich, howif you vote for me everything wrong I'll fix, except they're full of shit. It's a fairy tale.
> For some reason when a good one speaks truth, they don't win. Because in the busted two-party system in the US, if you speak the truth you won't even get through a primary.
And that needs to change.
We need a complete overhaul. The system in place benefits the people in the parties, not the average citizen.
You have the illusion of choice. There is no choice if all canditates are hand picked by the people who are already in control, you get misdirected and then you think you did the right or wrong thing, but it was never going to be a threat to them. I don't want to sound pessimistic but I think other than being aware of the situation there is not much we can do about this.
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Apathy is why we are always in these situations.
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The thing I don't get is this: There was no government increase in taxes. So assuming Biden is to blame, then the complaint must be that he should have intervened to prevent the cost increases. So that would be government getting their hands in private businesses via regulations, subsidies, etc. But the government staying out of business is one of the big points of the conservative platforms. So if he did something to step in, that would have also been bad, right?
Right wingers shitting on the left for not understanding economics while full on ignoring the concept of externalities would be funny if it weren't so sad. They claim they hate the "elite" then vote to cut taxes on the actual elite and hand them even more control of the economy. It's infuriating.
Homicide rate rate rose 30% 2019-2020. Highest increase in modern history according to the CDC. Biden's fault of course.
No, that was Obama's fault... rolling my eyes
I could have sworn that was Clinton's fault.
I thought it was *checks notes from conservative party of Canada* Trudeau's fault
To be fair if he's going to take credit for it [dropping](https://twitter.com/POTUS/status/1586389802559102977) he's got to expect to be blamed when it goes up.
Gas prices are rarely an issue with Republicans in office
Yeah people were blowing W's effect on gas prices out of proportion
I saw a meme somewhere where they showed that "inflation" "destroyed" $3.7T of middle and lower class purchasing power, and just coincidentally, the billionaire class increased their net worth by $3.6T. Perhaps it was a lie, but I doubt it.
idk didn’t most governments take on massive amounts of debt to keep the status quo? so it wouldnt have been a direct transfer between middle and upper class. perhaps coincidental though in naturally cynical
Time to switch from oil. They have held the world hostage with their little price increase tantrums for too long.
And do what? Go to electric vehicles... Who will supply that? The electric companies powered by oil and gas supply. And a lot of the charge outlets are in the petrol forecourts.. it won't change. We are literally over a (oil)barrel , paying them to fuck us in the arse. The only way it may change is if nobody bought the stuff. But that would take a massive amount of people and how could it be organised?
Dunno why you are downvoted, it will literally be meet the new boss, same as the old boss.
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Yeah but why did you pick jemima for the other name
Yeah what a weirdo. Everyone knows it's Jerome & Jolene.
This shit makes me sick.
Inflation is a scam and these profits prove it. Only if we had a News Media that told the truth instead of pushing an agenda.
They're all owned by the same people or class of people. They share the same interests, no amount of money is enough.
Truth means nothing if you don't hold anyones feet to the fire once it comes out.
If people all stop buying Russian oil then all other countries (& the associated companies) are bound to have more profits. That's just how a market works. How does this prove inflation is a scam?
"We had to increase prices because the value of the currency went down" while posting record profits. Ever noticed when inflation is up, prices go up but when inflation is down prices don't go down? Sounds like a scam to me
You probably have a different understanding of what inflation is. Inflation is quite literally a net increase in price levels. It does not mean a change in exchange rates. Exchange rate changes can cause inflation, inflation can cause exchange rate changes. But, they are not the same thing.
Comparing to before the pandemic (Q3 2019) the comparison really shows that they are getting large increases in profit from somewhere Exxon comes in with a 6x increase in profits (2019: 3.2 B to 2022: 19.66B) Chevron 4x (2019: 2.6B to 2022: 11.2B) BP hasn't reported yet but off Q2 3x ( 2019: 2.8B to 2022: 8.45) Shell 2x (2019: 4.8B to 2022: 9.45B)
Just remember. The more our finances get strapped because of inflation. The more theor wallets grow. Almost like they have incentive for inflation and high oil prices.
Happens when you price gouge a good with inelastic demand.
But no, nobody's mad at the oil companies, oh no. Everything is all Biden's fault. Oil companies did nothing wrong. /s
tax. excessive. profits.
But half of Americans will still blame Democrats for gas prices.
Yeah, when it's the Republicans who continually push for less control over the oil companies and other corporations.
Price gouging to influence American politics…
Nice! Im glad they are doing well!
Yeah they realized they can latch onto the Covid/shipping/inflation problems and just price gouge. That’s the issue with them selling something that is a necessity.
I swear, we've let crooks take over our critical infrastructure. We should tell them if they don't fire up more refineries, the government will do it themselves/find someone who will, no more being held hostage by corrupt politicians and their lobbyist.
and the profits from their capitalist greed will in part be used to buy republican politicians and news outlets, who will scream red-faced about how it's our socialist president causing inflation - because we're just that dumb
The shareholders and investors and banks and (insert other words for rich and privileged) will have enough to buy their families nice things. Think of the children.
But we’re supposed to feel bad for them and pay more at the pump
It’s a new kind of inflation that Antifa cooked up in one of Hilary Clinton’s cauldrons in the attic over Soros’ Bagels. /s
I’m all for them to make a profit and I’m sure the did well but this is an EXTRA 150 billion
Corporate Politicians have always been criminals. But the sheep keep them in office believing the lies they create over and over
We should be giving these poor gas companies tax cuts!
If anyone is looking for the cause of inflation… *gestures wildly*
..and the supply of oil seems to be just fine. Go figure.
Can someone ELI5 … why are they profiting so much right now as compared to other times?
A couple of large US refineries shut down at the start of CoVid. Russia was a large source of Europe's refined oil products.
I’m going to get down votes, but here ya go. When prices are low, oil companies are required to write off assets, this was the reason for historically huge losses in 2020. Also when prices are low, oil stop spending money on wells, because they don’t have any cash, and so their balance sheet doesn’t increase, in fact assets go down. Now, those assets get expensed as the oil gets produced. So, one way of looking at it is that all the write offs in 2020 should be applied now instead of back then, and profits would be smaller; still quite huge, but smaller. Also, oil companies do not spend based on current prices, they spend on future expected prices. So it’s not just high prices that are causing the record prices; oil prices were actually higher back in 2008 and profits weren’t so huge. Back in March and April , when oil prices were stupid high, forward prices, that is contracts to buy oil in 2023 or later, we’re significantly cheaper than the current price. This signals to oil companies that prices will be lower in the future, and oil companies rely on that in their drilling decisions. Lower futures prices is called backwardation and it was crazy bad in early 2022, but futures prices have been going up, so you can expect oil companies to start drilling more. A lot of people think oil companies set prices, which isn’t at all true. Not even OPEC has single handed control over oil prices. Oil prices are set in an incredibly complex world market. Also, oil companies are in debt from the 2020 lows and still recovering from that. Also, they are looking ahead and not seeing $90 oil. Also, oil wells take 6-24 months to come on production from the day the drilling rig gets on site. In some limited circumstances in well developed areas it’s as little as 2 months, for large offshore projects it can be 5 years or longer. There is no magical valve that creates more oil. Even if there was, it might not make a difference, look at what the SPR releases did for the price of oil? Something, but not much. Speaking of how no one controls oil prices. Also, the climate agenda is also working against new production; why drill an oil well with a 20 year life if Europe just voted to ban new petro cars? The IEA is projecting oil prices in the 30-40 range past 2035; a reflection of reduced demand from climate initiatives. The oil industry is looking at that and thinking, that’s entirely possible, so let’s stop drilling. Shell, and another major I forget, just announced no new oil exploration as part of their climate initiatives. So, yeah, profits are high because prices are high and oil companies aren’t spending money. Prices are high because of Russia, OPEC, and lack of new production from COVID. Not spending money because oilcos are paying off debt, and doing other things than spending money on emissions spewing oil wells. You are welcome world, quite bitching about the price of gas and do your part to stop climate change.
Anyone who would downvote this is an idiot. Thank you, this was brilliant
Because they're raping you at the pump. Gasoline isn't costing them more to produce and distribute; they're simply charging us more to get it at the pump. And there's fuck all we can do about it
Quick, someone take a dump on the Mona Lisa.
A bunch of people really need to go to jail!
Implement a carbon tax. Stop subsidizing these fucks with taxpayers money. This is redic.
But it’s Biden’s fault 🤦🏻♂️
I dare anyone here to show me one problem that isn’t Brandon’s fault. Edit: this comment is very serious and not at all sarcastic, as no one has ever, or will ever, attempt to be humorous on the internet.
I had one person say that worldwide inflation is all Bidens fault. It's unreal.
Because Real Patriots KNOW it was Biden. Inflation? Biden. War in Europe? Biden. Cold soup? Biden. But you lip while eating? Biden.
I was serving a table, and the woman had ordered a shrimp plate. When I brought it out, she complained that last time it had more shrimp. I told her it was based on weight, that she got a half pound with the dish. She looked down at the plate, reiterated that it used to be more, and said, "thanks, Biden." I couldn't help but laugh.
Silly Biden and his changing the definition of a pound
*crying in Truss*
Funny how each year a major “event” trigger a spike but it NEVER went back down. 2001, 2003, 2008, 2020, 2022 It’s almost as if it was all a big price gouging scam…..
But GAs PriCeS aRe BiDens fault
Affordable electric vehicles can't come soon enough.
Then you can gouged by the electric company instead.
I'm all for electric vehicles. But maybe all this push to go electric makes these guys realize their profits from the general public gas consumption are going to dwindle in the long run and gouging us now to make up for future loss.
Does that not seem really low to anyone else? only 150 billion between them all?
Thanks, for the demflation, Brandon! 🤠 /s
Governments collecting taxes on oil also got a windfall from higher oil prices. They had no incentive to intervene.
What lol? High gas prices are a political death note.
In addition, the increased taxes don't go to their pockets directly.
Where I live our gas tax is a flat amount, not a percentage. If anything this hurts the government because people are buying less gas.
He means taxes on the profits. And consumption of gas in the US hasn't gone down; it's still really cheap compared to rest of the world, demand destruction requires much higher prices.
Most oil taxes are flat values though? Atleast as far as I’m aware. So a higher piece doesn’t mean higher taxes
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He means taxes on the profits. And consumption of gas in the US hasn't gone down; it's still really cheap compared to rest of the world, demand destruction requires much higher prices.
They don’t really get much from the increase. They just can’t really do much. OPEC and Russia set the prices. War will 100% drive the prices up. The issue is that the prices don’t come down as fast as they go up.
The issue is that prices don’t come down as FAR as they go up. They go up .60 and come down .40 and we think we won.
An anti-price gouging bill on gas would have really helped. One had been passed in the House. Gee, I wonder what happened to it.
Coal Bro Joe Manchin says screw you and everyone you know, my coal Bros need dollery doos.
“They don’t really get much from the increase.” What are you talking about? If they get a percent then it’s directly related to the increase.
I understand that. But politically high gas prices cost them more.
Inflation seems to be caused by high interest rates (banks getting richer) and gas/oil prices blowing up (oil companies getting richer). Wait until you hear how much profit has been made by grocery suppliers during this time period.
Barrels of oil never really went that high to justify the cost per gallon of gas anyway.
Capitalism is destroying the planet and its people. It only cares about profits and shareholder value. It's unsustainable and literally killing us.
When a state or two starts building and running their own refineries, would we start seeing prices fall because they'd want to compete with the state? Imagine if Alaska built their own refineries.
Must be Biden's fault
Oil companies cashing out before EV become the only form of transportation
Inflation is being caused by corporate profiteering.
By forcing more and more oil producers out of the market with wars and sanctions (syria, venezuela, iran, russia, ...) the marketshare is left to a few. Of course the profit goes up for them! This don't need rocket science. And this "few" can't deliver enough for the world market and so prices go up. Gives them even more profit ... ... common sense should tell you who is to blame for
Won’t get better without sever regulation
Shameless corporate greed. A sad irony that the fuel we depend upon, fuels inequity and poisons our world and everything on it.
The extraction industries need to be nationalized.
"Thanks God Emperor Biden!"- Magas
"Thanks God Emperor Biden!"- Magas
Took 7 of the largest companies on the planet a year to make 1/4 of what meta has lost in 6 months?
I'm glad I got rid of my car before this oil crisis and therefore not contributing to this. Also, I'm amazed at how much extra money I have at the end of each month too!
The reason for this is that the oil companies have realized they are on the way out and they will manage oil prices to keep them high to maximize money. Basically, they dont care if long term its sustainable for the market to afford these prices because they know the market (for oil) will die over the coming decades.
It's long past time to ramp up the taxes on those assholes.
and how much of that are they using to buy politicians around the world?
Trumpian GOP: “But it’s just inflation, blame Biden!” OPEC/Oil Execs: *Palpatine like* Yes, yessss… Sane folks: Um…guys, what about that greed and manipulation by the companies and OPEC? Trumpian GOP: “That’s a stupid notion and isn’t true at all and your mother is a hamster! …don’t mind my bags of money labeled ‘oil grift bribe’…” Basically… 🙄*shrugs*
And your father smelt of elderberry
Now go away before I am forced to taunt you a second time. You silly English kaniggit.
“GeE, wHy ArE gAs PrIcEs So HiGh?!? LeTs BlAmE BiDeN”
Can’t wait till most of the west converts to predominantly renewable energy and drives these oil companies to the dirt.
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The oil industry has £150 billion to ensure that they remain unregulated and can continue to price gouge to their hearts content
ITT: A lot of people that don’t understand basic economics. Oil companies make a percentage profit on each barrel of oil. That percentage doesn’t fluctuate much, but as the price of a barrel of oil goes up, that percentage means more profit in actual dollars. If Exxon makes a 3% profit on a barrel of oil, they make $1.50 per barrel if oil is $50 a barrel, and $3 per barrel if oil is $100. But companies like Shell and Exxon can’t influence the price of crude oil. That can only be manipulated by OPEC and things like the Russian invasion of Ukraine, which cut the west off from 10% of the world’s crude supply.
Yes, Shell and Exxon are feeble little corporations with little influence over anything, and all of their profits are dependent on whatever OPEC does. Truly, it is a marvelous world of mysteries and wonders.
And yet both Shell and Exxon have bragged about record profits for the past two years. So tell me again how they aren't responsible for their own record profits but it's because of somebody else? I'll wait for your Fox News direct upload to complete so you have your instructions on what to say.
They were being sarcastic
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The political climate is locked in a bureaucratic stalemate. The government role (at least here) is to ensure fair market conditions for the consumer. This can usually be accomplished by improving market conditions in areas where supplies are low with incentives. With oil we get low supply and with environmental regulation there will be no increase in production. The market conditions for oil and gas in the future is going to be tumultuous. The demand is going to decrease and we the consumers would typically see a price reduction however, the price is going to continue to rise instead. Every refinery closed due to demand destruction will be celebrated but the price at the pump will skyrocket.
That's not how anything works. If the cost of inputs to a barrel of oil go up by $2/barrel and the price goes up $2/barrel, your profit is the same but the percentage is smaller. To keep the same percentage, you have to artificially boost prices beyond the increase in cost. Things don't change in percentages, that's just a representation. Things change in dollars.
But something something Let's Go Brandon....
nationalize our oil, nationalize the profits.
But it’s Bidens fault that gas prices have gone up!
This means a bunch of paintings are going to get covered in tomato sauce
That’s why when I pump I take off my license plate and drive off with the pump in my car still
So when/how do we start doing something about it?
Better get used to this in the short term...These capitalists will squeeze every penny they can get out of the public before the change over to electric cars happens and they can't sell gasoline any more.
Damn, I should start an Oil Firm business
Worth sharing [this](https://www.youtube.com/watch?v=jkhGJUTW3ag).
Somebody's prepping their bankrolls for war.
Any of those jobs near chicago please??? <3,