Fuel Rumors.

I’ll treat this as a rumor but where there is smoke, there could be fire. Some spot(s) in Texas are said to be running out of diesel and gasoline – this could be just a temporary and local supply chain hiccup, but in my lived experience, all sorts of hiccups are becoming the norm. Another rumor from the same report claims that New Jersey is running out of diesel and gasoline for big companies, as well as of motor oil. The motor oil issue spooked me already some months ago to buy a couple of pints extra in case I need it, when I learned that Toyota relaxed its oil specifications because there was not enough fancy oil available.

The purported low price per barrel of crude may be due to demand destruction, or so it has been speculated. As economies crater (especially Chinese), the world oil consumption presumably goes down, and there is suddenly enough barrels after all. Problem: can official numbers of anything, including fuel supply and consumption, be trusted? And even if the numbers are real, are models correct?

Meanwhile, I saw a video about people no longer affording fun like bowling, boating or going to movies. I think that entertainment downturn is also caused by demoralization. Nobody has time or energy for formerly fun hobbies, even if they had money. And people do still watch TV, play computer games and stream movies. They just are not consuming the new ones. I can sympathize. Call me old-fashioned, but I, too, used to watch more movies before COVID. I think that event fractured the society badly. Having said that, the last movie I saw in theater was Project Hail Mary, which I liked.

The gasoline prices are currently lower but that may be temporary as the action in Strait of Hormuz and elsewhere intensifies.