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How does the stock market effect gas prices?

Updated: 10/25/2022
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Brwinzenburg

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10y ago

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stock market is one place where immense investments take place, investments in company boosts Stock Market to rise & where risk is determined it falls down, perfectly call the bull market when stock market rises & bear market when falls down.

http://oilprices-today.com

I'm assuming that by gas that gasoline is meant and not natural gas which would change the answer considerably. Also, by stock market if we mean the NYSE (New York Stock Exchange) then it effects it a little bit and that bit is due to the real and speculative profits of oil companies listed on the NYSE and to a lesser effect the industry as a whole. But, by stock market if you also mean the greater set of markets which also include the futures markets then the effect can be great. As we all know the prices of everything are based on speculation of the seller and the buyer. Consequently, when investors go in and buy future options for oil (basically the right to buy or sell oil in the future) at prices different than what would be normally expected, all things constant, then this creates a ripple effect on prices today. Of course the supply of oil to a great extent is determined by "The Oilygopoly" as I like to all them aka OPEC. Consequently, in reality even though prices can at times be determined by the microeconomic events of industry and investors the real players which is the government by taxation and OPEC by fluctuating supply determine the prices of gas but of course the industry doesn't call it gas it's called oil.

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Continue Learning about Economics

Market failure occurs when?

Prices of essential goods such as gas has become very high.


Are the gas prices high because of the Democrats?

* The truly basic cause of high gas, * the stock market; especially the marketing of futures; which is no more than gamboling that prices will go up. * To me it is another failure of governent, allowing comodaties to become part of a gamboling game; for that is what the stockmarked is! * They Are Gamboling With World Prosperity; for investers in comodaties to win, prices must go up; to the detrement of all civilization.


How do gas stations determine what price to set for gasonline?

There are many factors that gas stations use to determine the price of gasoline. One of the biggest factors is the supply of crude oil, less supply will equal higher prices. Interruptions in the distribution network has an effect, such as a natural disaster that makes delivery of gasoline more difficult. The value of the U.S. dollar can have an impact on the overall price of gas. The most complex factor in gasoline prices is the oil trading market, depending on how the oil market is doing will factor into how much is paid at the pump.


Is obama going to change gas prices?

We don't know yet for sure but his energy advisor, Steven Chu, has said numerous times that gas prices should be increased to help "curb global warming". In the summer of 2008, Chu stated that we needed to raise the tax on gas to get it to be the price of gas in Europe to make people drive less. The price of gas was $8 a gallon in Europe at the time. Whether Obama would attempt such a strategy is unknown. Obama has never said he wanted gas prices to be lower, even dismissing eliminating the gas tax during times of high priced gas. Obama most likely will increase gas prices, but not to the extent Chu advises. be looking for the $5.00 gallon gas this summer, the change occurring in May.


Economic problems after World War 2?

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Related questions

How does the stock market effect gas?

If stock us down the economy is weak making gas prices go up so the govt can get money...


Why did the stock market crask?

i would have to say because of gas prices and the economy...


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The amount of jobs available and wages paid will decrease


What company does GASS represent on the stock market?

The letters GASS represent the company Stealth Gas, Incorporated on the stock market. Stealth Gas, Incorporated is an international transportation company.


Which is cheaper oil or gas?

It depends on the current market prices, but generally, gas is cheaper than oil.


What does KOG mean on the stock market?

KOG on the stock market means Kodiak Oil and Gas Corporation. At the moment, it seems that its stock has been raising for quite a good percentage than before.


Market failure occurs when?

Prices of essential goods such as gas has become very high.


Are the gas prices high because of the Democrats?

* The truly basic cause of high gas, * the stock market; especially the marketing of futures; which is no more than gamboling that prices will go up. * To me it is another failure of governent, allowing comodaties to become part of a gamboling game; for that is what the stockmarked is! * They Are Gamboling With World Prosperity; for investers in comodaties to win, prices must go up; to the detrement of all civilization.


How does gas prices effect everybody else please respond?

Peace, Beatrice Boudulaire


How does the prices of gas rising effect your economy?

less disposable income (or in my case, NONE)


What company is represented by the stock market symbol XOM?

The company with the stock market symbol XOM is Exxon Mobile, an oil and gas company from Irving, Texas. The current revenue of the company is $486.429 billion.


How gas prices affect you?

Well, the prices are so high. In the beginning of the year it was around 2.97 or a few more cents. But the prices are crazy and effect*ing my budget.