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Gudivada04
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Post Number: 1593
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Posted on Thursday, June 05, 2008 - 10:32 am:Edit PostDelete PostView Post/Check IP

TSX poised for new heights, Rubin forecast says
JOHN PARTRIDGE

Thursday, June 05, 2008

With its previous target already surpassed, CIBC World Markets is now forecasting that the sustained surge in crude oil prices will drive the benchmark S&P/TSX composite index to a record 15,200 points by the end of this year.

As well, Jeff Rubin, the firm's chief strategist, is dismissing the notion that speculators, not supply and demand fundamentals, are the key drivers in crude's push into three digits.

“I relegate it to where it belongs: a footnote,” Mr. Rubin said in a telephone interview Thursday morning.

Even if speculators actually took physical delivery of all the oil for which they have bought futures contracts on commodity exchanges over the past 5-1/4 years, and the stuff was diverted from the market, it would add up to only about 500,000 barrels a day, he said. That's about a fifth of the increase in Chinese oil demand in that period and less than the depletion in production at Mexico's giant Cantarell oil field.

He also cited the fact that U.S. oil inventories have so far remained within their longer-term range of 50 to 55 days of supply. “If hoarding were raising prices, inventories should be rising, but in fact, they are not,” he said.

“So I really think we're putting the cart before the horse if we think speculation is what has driven oil to triple digits,” Mr. Rubin added, although he acknowledged that speculators are contributing to day-to-day price volatility.

Instead, he said, the price is being pushed up by continued growth in global demand, with the growing appetite in China, Brazil, Russia, India and many other countries more than making up for the price-induced drop in consumption in North America, Europe and Japan.

Crude prices were up $1.98 (U.S.) to $124.28 on the New York Mercantile Exchange Thursday morning, and have already topped the $130 mark several days.

However the price has averaged $108 so far in 2008, and CIBC now is forecasting it will average $115 a barrel for the year as a whole, rising to $130 in 2009.

The firm also expects a continued rise in natural gas prices, to an average $12.50 per million British Thermal Units this year and $14 in 2009.

CIBC's new target for the S&P/TSX is 700 points or nearly 5 per cent higher than its previous forecast of 14,500 by the end of 2008, and Mr. Rubin does not think it will be a smooth ride to the new finishing line.

“I don't for a moment believe that we're out of the period of market turbulence, particularly with the importance of financial institutions in our index,” he said. “However, I think the strength of the other side of the equation, particularly the energy side . . . is still pulling the index up and will probably continue to.”

The index, which hit a record high of 15,047.34 points on May 20, was at 14,791.78 about half an hour after the opening bell Thursday, up 101.32.

CIBC has left its forecast for the index in 2009 unchanged, with a year-end target of 16,200 points. “That's because it's based on a certain set of commodity prices that we're still comfortable with,” Mr. Rubin said.
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Gudivada04
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Post Number: 1592
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Posted on Thursday, June 05, 2008 - 9:06 am:Edit PostDelete PostView Post/Check IP

Ekkado chadivaa Saudi oil fields 80 years kanna munde dry up avvuthaayi anni.Is it true.///

Problem with Saudi is no transparency about the reserves. No one really knows exact decline rates and present reserves. Most of the western analysts and geologists think that Saudi way over stated their reserves in order to get more quotas in OPEC. Also the biggest oil field in the world (Ghawar field) is declining at an alarming rate but they are not telling the outside world. Where as Mexico told the world that their biggest (Canterral) field declining at almost 15% rate. That is one of the biggest in the world. Saudi is using state of the art technology in drilling and reservoir engg. but still could not increase production for the last few years.
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Gudivada04
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Posted on Thursday, June 05, 2008 - 9:01 am:Edit PostDelete PostView Post/Check IP

oil reserves lo rendu types unnayantagaa...//

conventional and unconventional. Middle east has conventional. Canada and Venezuela has both but Canada's most prolific is unconventional (tar sands) type.
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Pokiriraja
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Posted on Thursday, June 05, 2008 - 9:01 am:Edit PostDelete PostView Post/Check IP

Ekkado chadivaa Saudi oil fields 80 years kanna munde dry up avvuthaayi anni.Is it true.
NANADAMURI TARAKA RAMUDIKI HANUMANTHUDHINI NENU
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Musicfan
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Post Number: 8570
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Posted on Thursday, June 05, 2008 - 8:49 am:Edit PostDelete PostView Post/Check IP

oil reserves lo rendu types unnayantagaa...
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Gudivada04
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Posted on Thursday, June 05, 2008 - 8:29 am:Edit PostDelete PostView Post/Check IP

alage US lo unnappudu US$ 0.72 per gallon to start chesa ippudu adi ade place lo US$4.24 per gallon undi... ///

Nenu Canada vachinappudu 1998 lo 48cents per liter undedi. Ippudu $1.3 range lo undi. enda chata.
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Gudivada04
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Posted on Thursday, June 05, 2008 - 8:27 am:Edit PostDelete PostView Post/Check IP

saudi tarvatha canada loo close to 180 billion barrels of oil reserves vunnayi antaga gudi mama..///

Correct. The difference is Saudi has conventional crude where as Canada's reserves are in the form of tar sands. cost of production is in the range of $30 t $40 per barrel. In saudi it used to be less than $2 per barrel and now it is around $10.
There are various projects under construction in Canada now to increase the production to 4 million barrels from present 1.5 million barrels per day. More than $200 billion will be invested in the next 10 years.
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Musicfan
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Post Number: 8568
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Posted on Thursday, June 05, 2008 - 8:17 am:Edit PostDelete PostView Post/Check IP

india lo petrol Rs100 ayyi, US lo gallon $10 rojulu ento dooram ledemo.
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Musicfan
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Posted on Thursday, June 05, 2008 - 5:19 am:Edit PostDelete PostView Post/Check IP

edi emaina alternatives choodadam better for more conservation so that coming generation can see what is petrol/gas/kerosine etc.,
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Musicfan
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Post Number: 8566
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Posted on Thursday, June 05, 2008 - 5:17 am:Edit PostDelete PostView Post/Check IP

nenu India lo two wheeler vadinappudu petrol Rs 8.75 per liter to start chesa,, ippudu Rs 57

alage US lo unnappudu US$ 0.72 per gallon to start chesa ippudu adi ade place lo US$4.24 per gallon undi...

rate at which this price is increasing is almost same everywhere I guess
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Musicfan
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Post Number: 8565
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Posted on Thursday, June 05, 2008 - 5:14 am:Edit PostDelete PostView Post/Check IP

Will we ever see a repeat of the 1970s oil crisis?

No. The 1970s oil crisis was a complex affair reflecting issues particular to that time and it is unlikely to be repeated.

Indeed, we all learned a lot from that experience. We know that if oil prices go too high or too low it will be harmful both to oil producers and oil consumers, both in the short- and long-term.

OPEC is dedicated to providing a stable oil market, with reasonable prices and steady supplies to consumers.

Consider the example of the Gulf Crisis in 1990, when production of several million barrels per day of oil from Iraq and Kuwait was suddenly halted, leading to a rapid rise in world oil prices. Those Member Countries not involved decided to increase their oil supplies in order to make up for the shortfall. As a result, oil prices stabilised and came down again to reasonable levels. However, there is always potential for instability in the oil market.

OPEC continues to seek co-operation among all oil producers and consumers. Such co-operation is necessary to ensure stability}
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Musicfan
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Post Number: 8564
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Posted on Thursday, June 05, 2008 - 5:11 am:Edit PostDelete PostView Post/Check IP

this looks very scary oil reserves for only 80yrs is too scary
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Musicfan
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Posted on Thursday, June 05, 2008 - 5:11 am:Edit PostDelete PostView Post/Check IP

Oil is a limited resource, so it may eventually run out, although not for many years to come.

At the rate of production in 2006, OPEC's oil reserves are sufficient to last more than 81 years, while non-OPEC oil producers' reserves might last less than 20 years. The worldwide demand for oil is rising and OPEC is expected to be an increasingly important source of that oil.

If we manage our resources well, use oil efficiently and develop new fields, then our oil reserves should last for many more generations to come.
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Musicfan
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Posted on Thursday, June 05, 2008 - 5:10 am:Edit PostDelete PostView Post/Check IP

Country Crude oil reserves (million barrels)
Saudi Arabia 264,251
IR Iran 138,400
Iraq 115,000
Kuwait 101,500
UAE 97,800
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Musicfan
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Posted on Thursday, June 05, 2008 - 5:07 am:Edit PostDelete PostView Post/Check IP

What causes high oil prices?

High crude oil prices could be due to a shortage of oil supplies. High prices for oil products - as purchased by end consumers such as motorists - are more likely to reflect other factors, such as taxation.

Crude oil prices react to the balance of demand and supply in the short term, and the rate of investment in the longer term. If investment is not made far enough in advance, oil supplies could be limited in the longer term, thus raising prices. Sentiment is also an important factor: if traders in the oil market believe there will be a shortage of oil supplies, they may raise prices before a shortage actually occurs. Other factors influencing the price of crude oil include accidents, bad weather, increasing demand, halting transport of oil from producers, labour disputes (strikes) as well as other disruptions to production including war and natural disasters.

Crude oil now represents less than a quarter of the price of oil products in many countries. Therefore, taxes have more influence over the price of oil products. When oil taxes are raised, end consumers often mistakenly blame the oil producers, but it is really their own governments that are responsible.

OPEC seeks a stable oil market, without sudden price changes or excessively high or low prices. OPEC regularly meets with other oil producers and with consumers in an effort to improve understanding and trust in the oil industry and to seek policies and measures that do not create unnecessary economic hardship for oil producers or consumers. }
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Freak
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Posted on Thursday, June 05, 2008 - 3:15 am:Edit PostDelete PostView Post/Check IP

saudi tarvatha canada loo close to 180 billion barrels of oil reserves vunnayi antaga gudi mama..
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Musicfan
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Posted on Thursday, June 05, 2008 - 12:53 am:Edit PostDelete PostView Post/Check IP

//I don't know the breakdown for gas prices in India but the overall philosophy should be same.

This is a break up considering crude oil at 130 $ per barrel. Following details are for per liter petrol in Rs.

Basic Price = Rs 21.93
Excise duty = Rs 14.35
Education Tax = Rs 0.43
Dealer commission = Rs 1.05
VAT = Rs 5.5
Crude Oil Custom duty = Rs 1.1
Petrol Custom = Rs 1.54
Transportation Charge = Rs 6.00
Total price = Rs 51.90
For Rs 22 per liter at petrol pumps, people are paying Rs 28 tax extra.
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Vytwo
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Posted on Wednesday, June 04, 2008 - 11:40 am:Edit PostDelete PostView Post/Check IP

petrol ni oepn market lo pedithe kanisam aa pollution koddigha aa traffice anna thagguthundhi emo .

diesel mida subsidy lekapothe it will ipact all other commodities , then it will be difficult for poor people to live .
ban diesel cars.

so dani mida vunchali.

kersone is mainly used by poor people for cooking purposes so subsidy continue.

cookign gas mida thagginchachu subsidy.

emantaru bewarses .
chirutha becomes cat .
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Vytwo
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Posted on Wednesday, June 04, 2008 - 11:38 am:Edit PostDelete PostView Post/Check IP

petrol mida penchali kani diesel pencha kudadu mama.

govt should ban diesel cars now .

petrol ni open market lo pettali .
only subsidy on diesel and kerosene.

cooking gas mida kuda subsidy thagginchavachu.

600 anta cylinder subsidy lo 300 ki istunnaru.


chirutha becomes cat .
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Gudivada04
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Posted on Wednesday, June 04, 2008 - 11:22 am:Edit PostDelete PostView Post/Check IP

http://www.andhrajyothy.com/latestmainshow.asp?qry =/2008/jun/4new39

neyamma, hyderabad lo Rs.57 anta liter petrol i.e., almost $1.35

pagilindi janalaki.
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Gudivada04
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Posted on Wednesday, June 04, 2008 - 10:02 am:Edit PostDelete PostView Post/Check IP

mari tax uu?? meeru tax kaduthu same price ..///

Here is the break down of the gas price in Canada assuming $1 per liter for ease of calculation.

All #s in cents.
Crude cost: 49.5
Refining cost: 14.0
Retailer profit: 3.5
Provincial taxes: 16.5
Federal excise tax: 10.0
GST: 5.0
City taxes: 1.5

So when ever the input cost rises (i.e., Crude and refining costs) the gas price goes up. taxes remain unchanged.

I don't know the breakdown for gas prices in India but the overall philosophy should be same.
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Proofdada
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Posted on Wednesday, June 04, 2008 - 9:59 am:Edit PostDelete PostView Post/Check IP

vaallu vaallu thurakollu..aa matram fitrol panchukooleraa..
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Shadow
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Posted on Wednesday, June 04, 2008 - 9:56 am:Edit PostDelete PostView Post/Check IP

Pakisthan lo kuda petrol subsidized attukunta..ekkado chadiva akkada ltr Rs25 range lo undi ani..not sure how true it is
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Proofdada
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Posted on Wednesday, June 04, 2008 - 9:55 am:Edit PostDelete PostView Post/Check IP

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Indiainfo
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Posted on Wednesday, June 04, 2008 - 9:54 am:Edit PostDelete PostView Post/Check IP

//setha veyyataniki kooda dabbulu kadatham memu ikkada.

eeda kuda dobbinchukuntaru
The great pleasure in life is doing what people say you cannot do
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Proofdada
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Posted on Wednesday, June 04, 2008 - 9:53 am:Edit PostDelete PostView Post/Check IP

mari tax uu?? meeru tax kaduthu same price kadhaa
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Gudivada04
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Posted on Wednesday, June 04, 2008 - 9:53 am:Edit PostDelete PostView Post/Check IP

ippudu maaku ikkada Deisel price petrol kante yekkuva undi. US lo kooda anthe at present.
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Gudivada04
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Posted on Wednesday, June 04, 2008 - 9:52 am:Edit PostDelete PostView Post/Check IP

fogot about tax in india,meedhi subsidised kakunda tax kaduthu 1lt petrol = subsidised india 1lt petrol yela vuntadhi mama?? //

nenu cheppedi adhe, India lo ippudu petrol meeda subsidy ledu. they are giving subsidy on diesel, kerosene and LPG by shafting consumers on petrol anukunta.
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Gudivada04
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Posted on Wednesday, June 04, 2008 - 9:50 am:Edit PostDelete PostView Post/Check IP

Gudi ji,
public schooling Canada lo kuda free na..//

Yes, up to grade 12 it's free. undergraduate nundi pay cheyalsi vasthundi.

unlike in the US private schools are very rare and very expensive. for example in our city (population one million) there are only about 4 private schools and the cost for elementary level is $25k per year.
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Proofdada
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Posted on Wednesday, June 04, 2008 - 9:47 am:Edit PostDelete PostView Post/Check IP

EU countries thoo compare seyyakandi...setha veyyataniki kooda dabbulu kadatham memu ikkada.petrol ku tax kattadam loo achryam ledhu..
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Proofdada
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Posted on Wednesday, June 04, 2008 - 9:46 am:Edit PostDelete PostView Post/Check IP

ante world loo middile east thesethee..gas subsidised only US loonena..inkekkada vundadha other than india??. fogot about tax in india,meedhi subsidised kakunda tax kaduthu 1lt petrol = subsidised india 1lt petrol yela vuntadhi mama??

kompadesi nuvvu kooda same Qing vesava yeti
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Shadow
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Posted on Wednesday, June 04, 2008 - 9:44 am:Edit PostDelete PostView Post/Check IP

Gudi ji,
public schooling Canada lo kuda free na
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Gudivada04
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Posted on Wednesday, June 04, 2008 - 9:41 am:Edit PostDelete PostView Post/Check IP

Canada lo cell ph, internet, gas, insurance anni ekkuve anta kada US tho compare chethey. last month maa manager toronto move ayyadu..athanu cheppadu..///

very true. due to less polulation and vast area to cover the expenses for those services are high. Also less competition is another reason. universal health coverage and good public schooling are the positives to counter these higher prices else where. at the end, consumer has to pay for everything.
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Gudivada04
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Posted on Wednesday, June 04, 2008 - 9:37 am:Edit PostDelete PostView Post/Check IP

EU countries lo on average $8 per gallon anta gada. Of course most of those countries lo car lekunda bathikeyochu due to excellent public transit. ikkada north america lo car lekunda etta bathaggalam?
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Shadow
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Posted on Wednesday, June 04, 2008 - 9:36 am:Edit PostDelete PostView Post/Check IP

Canada lo cell ph, internet, gas, insurance anni ekkuve anta kada US tho compare chethey. last month maa manager toronto move ayyadu..athanu cheppadu
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Tingari_xx
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Posted on Wednesday, June 04, 2008 - 9:35 am:Edit PostDelete PostView Post/Check IP

nannu team1 lo vesaru baa, edaina hurricane vaste nannu remote place ki office olle tisuku pothaaru..annatlu hurricane preparation soopincharu, oka company di file foto sooparu, jurassic park lo dinosaru tinesinatlundi aa office ni
For everything , there is a first time and next time
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Gudivada04
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Posted on Wednesday, June 04, 2008 - 9:34 am:Edit PostDelete PostView Post/Check IP

canada loo petrol subsidised kadha?? i think so leekapothe sachipotharu anukunta...///

evadu cheppindi? no subsidies here. maaku energy prices US kante ekkuva. It's all free market. taxes ekkuva avatam valla maaku gas price ekkuva untundi. US lo average gas price ippudu $3.6 per gallon undi that translates to about 95 cents per liter. maaku minimum $1.25 per liter undi.
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Tingari_xx
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Posted on Wednesday, June 04, 2008 - 9:33 am:Edit PostDelete PostView Post/Check IP

repu eppudo mexico mafia , army kalsipoyi valla territory meeda dandayatra sesi mechico lo kalipeste , appudu mana mafiaso keerthi latin america ki kooda veltundi
For everything , there is a first time and next time
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Shadow
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Posted on Wednesday, June 04, 2008 - 9:33 am:Edit PostDelete PostView Post/Check IP

tokkolodi 5Rs pergitheney gola d'thunnaru, eeda 1$ kanna ekkuva perigindy
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Pda
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Posted on Wednesday, June 04, 2008 - 9:31 am:Edit PostDelete PostView Post/Check IP

maa new mechico ki endi baa bemmandam.. peace ga vuntadi manchi weather.. cheapest and best

gattiga oka hurricane vatte nuvvu varada badhitudu type la sankalo ettukoni ellali mee south FL lo
Everything should be made as simple as possible, but no simpler.
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Beer
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Posted on Wednesday, June 04, 2008 - 9:29 am:Edit PostDelete PostView Post/Check IP


Evaro Okaru epudo kapudu nadavara munduga ato ito eto vipu
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Tingari_xx
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Posted on Wednesday, June 04, 2008 - 9:28 am:Edit PostDelete PostView Post/Check IP

aunu baa, aakhariki new mechico lo kooda batakachu europe kante
For everything , there is a first time and next time
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Tingari_xx
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Posted on Wednesday, June 04, 2008 - 9:28 am:Edit PostDelete PostView Post/Check IP

naaku shock frd septe, denmark lo germany,UK kanna tax lu ekkuva ani.. ee tax lu bharinchaleka kada sports persons etc vomerica ki lagetutaaru
For everything , there is a first time and next time
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Pda
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Posted on Wednesday, June 04, 2008 - 9:28 am:Edit PostDelete PostView Post/Check IP

Europe la kante Assam lo happy ga bathakochu antaava pidannai
Everything should be made as simple as possible, but no simpler.
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Proofdada
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Posted on Wednesday, June 04, 2008 - 9:27 am:Edit PostDelete PostView Post/Check IP

yeemo theldu pda gaa..manaku carlu gatra levu kadhaa..kikiki...
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Tingari_xx
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Posted on Wednesday, June 04, 2008 - 9:26 am:Edit PostDelete PostView Post/Check IP

pda ga
london lo vending machine lo vunde coke kooda 1 pound. akkada job lekunda one month survival ante doola teeripotundi..clothing matram chala cheap
For everything , there is a first time and next time
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Proofdada
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Posted on Wednesday, June 04, 2008 - 9:26 am:Edit PostDelete PostView Post/Check IP

pda gaa adee kaadhu ikada cost of living kooda adirpoddi me eomelika thoo comapre seesukuntee...migiledhi sank kindha bochee..
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Pda
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Posted on Wednesday, June 04, 2008 - 9:25 am:Edit PostDelete PostView Post/Check IP

pidannaiGermany la 2.5$ per liter aa
Everything should be made as simple as possible, but no simpler.
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Tingari_xx
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Posted on Wednesday, June 04, 2008 - 9:25 am:Edit PostDelete PostView Post/Check IP

correct e sippesh, UK 3rd expensive place anta..

http://money.cnn.com/2008/05/01/news/international /usgas_price/?postversion=2008050109
For everything , there is a first time and next time
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Pda
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Posted on Wednesday, June 04, 2008 - 9:24 am:Edit PostDelete PostView Post/Check IP

germany lo gas ki ekkuva pay chestunnaru anta janam.. 2.5$ per liter ani sadiva ninna... next britain lo.. Euro strong ani sankalu guddukovatame.. cut settee maree worst ga vundi akakda
Everything should be made as simple as possible, but no simpler.
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Proofdada
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Posted on Wednesday, June 04, 2008 - 9:23 am:Edit PostDelete PostView Post/Check IP

canada loo petrol subsidised kadha?? i think so leekapothe sachipotharu anukunta...
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Beer
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Posted on Wednesday, June 04, 2008 - 9:22 am:Edit PostDelete PostView Post/Check IP

Subsidy ante. Tax lu takkuvanukunta.. Diesel ki baga subsidy istundi kada Indian Govt. In UK they tax 60% on fuel ani vinnanu. entavaraku nijamo teliyadu.. .. kani UK lo fuel prices chala ekkuva.
Evaro Okaru epudo kapudu nadavara munduga ato ito eto vipu
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Gudivada04
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Posted on Wednesday, June 04, 2008 - 9:17 am:Edit PostDelete PostView Post/Check IP

jeethalu perigayi, udyogalu perigayi kada. balance chesukuntarule janam. India will do fine.///

jonny bether, mana circle lo unna jananni chusi nuvvu ala anukuntunnav. overall ga janam paristhithi chala kastam ga undi bether. nelaki 15k salary vache janam kuda cities lo bathaka leka rojuku 2 hrs each way travel chesi jobs ki elthunnaru. ika rural areas lo maree daarunam. food price inflation tho baaga impact ayye countries lo India #1.

nakoti ardham kaadu. ikkada Canada lo petrol price vachi $1.25 to $1.3 undi on average per liter that means about Rs.52 per liter including all taxes. ippudu india lo kuda almost Rs.50 per liter undi kada, inka petrol meeda subsidy isthunnam antarendi? I think they are making lot of money on petrol there.
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Jonny
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Posted on Wednesday, June 04, 2008 - 4:10 am:Edit PostDelete PostView Post/Check IP

>>>ipudu motham basic items cost antha perugudhi... Inflation kooda baga yekudhii..

jeethalu perigayi, udyogalu perigayi kada. balance chesukuntarule janam. India will do fine.
Truth is a bitch!
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Guts
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Posted on Wednesday, June 04, 2008 - 2:53 am:Edit PostDelete PostView Post/Check IP

ikaaa sinemaaa neee inflation baga perugudhi....

ipudu motham basic items cost antha perugudhi... Inflation kooda baga yekudhii...
KAKATIYUDU - The Legend
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Pokiriraja
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Posted on Wednesday, June 04, 2008 - 2:35 am:Edit PostDelete PostView Post/Check IP

http://specials.rediff.com/money/2008/jun/04oil1.h tm
NANADAMURI TARAKA RAMUDIKI HANUMANTHUDHINI NENU
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Pokiriraja
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Posted on Wednesday, June 04, 2008 - 2:34 am:Edit PostDelete PostView Post/Check IP

Petrol up by Rs 5; PM to address nation


June 4, 2008



The government on Wednesday increased the price of petrol by Rs 5 a litre and that of diesel by Rs 3 a litre. The price of an LPG too has gone up by Rs 50 a cylinder.

The hike will come into effect from midnight tonight (Wednesday).

There is no hike in the price of kerosene.

Customs duty on petrol and diesel cut by Re 1, from 7.5 per cent to 2.5 per cent. Customs duty on crude cut from 5 per cent to zero.

Fuel price hike to bring in Rs 21,123 crore (Rs 211.23 billion); gap of Rs 29,000 crore (Rs 290 billion) remains after all the measures, said the revenue secretary.

Oil producing public sector units -- like ONGC -- to chip in Rs 60,000 crore (Rs 600 billion) through discounts to oil refineries and marketing companies.

The government will issue oil bonds worth Rs 94,601 crore (Rs 946.01 billion) to compensate oil marketing companies' revenue losses, said the revenue secretary.

Petroleum Minister Murli Deora has also proposed double price for extra cooking gas cylinders. He has also proposed a new distribution scheme for LPG cylinders. Only 8 cylinders will be allowed at the current rates. All extra cylinders will cost twice the amount.

The huge subsidy losses faced by the public sector oil companies due to galloping global crude prices, has led the government to impose the hike.

Prime Minister Manmohan Singh will address the nation at 8:30 pm on Wednesday night to explain the reason for the hike in fuel prices.

With political parties, including the Left, opposing hike in fuel prices, the prime minister had warned on Monday that government is not in a position to fully insulate the consumer from the impact of rising oil prices.

"We cannot allow the subsidy bill to rise any further. Nor do we have the margin to fully insulate the consumer from the impact of world commodity and oil price inflation," he had said.

Second hike in four months


This is the second hike in a span of four months. On February 14, 2008 the price of petrol were hiked by Rs 2 and that of diesel by Re 1 a litre. In Delhi, the cost of petrol and diesel rose to Rs 45.52 and 31.76, respectively. In Mumbai, petrol rose to 50.52 and diesel to Rs 36.08. In Kolkata, petrol and diesel prices went up by Rs 48.95 and Rs 33.92, respectively. In Chennai, petrol rose to Rs 49.61 and diesel to Rs 34.40.
NANADAMURI TARAKA RAMUDIKI HANUMANTHUDHINI NENU