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Why are gas prices going back up?

Everything runs in cycles and the oil industry is not excluded. And now there's an oil workers' strike in the US. BP will make out well on this and they are probably intentionally taking advantage of the current situation. Oil prices are low, supplies are high and a disruption in the flow will fix both of those problems. Striking workers earn no wages, no unemployment and no health insurance.

(Bloomberg) -- U.S. oil workers at two BP Plc plants in the Midwest are joining the biggest strike at refineries across the nation since 1980 as negotiations on a new labor contract were suspended until next week.

Workers at BP’s Whiting refinery in Indiana and the Toledo plant in Ohio that it co-owns with Husky Energy Inc. notified management that they’ll be joining the strike at 11:59 p.m. on Saturday, Scott Dean a spokesman for BP, said by e-mail Friday. The United Steelworkers, which represents 30,000 U.S. oil workers, has suspended negotiations with Royal Dutch Shell Plc, bargaining on behalf of employers, until next week.
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http://finance.yahoo.com/news/u-oil...s-212941410.html;_ylt=A0LEVjXsjNdUozAAo_0PxQt.
 
It will only take that much longer for crude to be processed and make it back out onto market, backlogging the surplus of crude that much further.
 
WildHeart said:
It will only take that much longer for crude to be processed and make it back out onto market, backlogging the surplus of crude that much further.
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Good point. Do you think it will result in a short term spike followed by another dip?
 
If we stack out so many rigs, lay off workers, it takes time to get a crew together, not to mention capital..then the drilling, fracing, the infastructure to get crude to refineries ect.ect.ect.. if they don't predict the rise and get back at it, these short lived wells will go dry by the time market perks back up. Not that they don't have high paid men in such positions to make that call, but that's why the nature of this industry is feast or famine.
 
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