What the hell are they talking about? My diesel has gone up $1.20 since Sunday, regular unleaded is almost up a dollar and that's in the bright red state of Texas

[–] came_apart_at_Kmart@hexbear.net 5 points 3 days ago (1 children)

the thesis seems to be about how the closure of Hormuz and its more easily processed crude oil is driving a shuffling of the global demand for refining capacity.

basically, the gulf coast of the US has refining capabilities that have more demand placed on them globally when the "easy" crude supply dries up. more countries need the wide refining capability of US gulf coast infrastructure, so the demand for gasoline and diesel gets bid up well ahead of crude oil.

the guy makes the case that since there are no export restrictions on US infrastructure, our domestic capacity for refining crude into gasoline and diesel will be bid up and he expects to see the prices of diesel and gasoline in the US climb higher and faster than crude prices.

i don't know who he is or if any of this is true, but he sure seems like the kind of quiet weirdo who has a specialist's deep understanding. he also seems like he doesn't want to alarm anyone, which is its own kind of alarming lol.

like a guy coming up to your table and saying, "everybody stay calm, it's probably not even happening, but..."

[–] ClassStruggle@lemmy.ml 1 points 3 days ago

He is or was in the upper ranks of oil companies, an industry expert