The high gas prices early this summer were also due to a lack of refining capacity. Diesel was $1.79 around me when 89 octane midgrade unleaded was $2.17-- they are usually identical in price. If you look now, diesel is creeping up: presumably because of refineries squeezing more gasoline from crude, higher crude prices, and stockpiling for next winter.
Gas prices
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Propflux01
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Gas prices are determined in futures, not in direct pricing. It usually takes about 3 weeks for the prices to reflect what todays oil costs. Any sooner, and it is just plain out gouging.
What Schmoe is really asking is what I asked in another thread acouple of days ago. Have you ever in the past seen the price of crude go up and not be followed by an immediate jump in price at the pump. The answer is no!
Usually the oil companies take the opportunity to immediately raise the price at the pumps to gouge extra profits and don't lower the prices until well after the crude prices have dropped.
This change in behaviour is entirely new. I too want to know what is going on.
It's called a Presidential Election.
According to BusinessWeek, eljefino and Tim H. are on the mark. Inventory is up because the refiners worldwide saw an opportunity to make $$ when the pump prices were high and the futures market jumped on in the spring. Now demand has fallen and the inventories remain high, so the price has remained stable.
Patman
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We've been enjoying a lot of low gas prices here lately. We still end up having a big swing in prices from morning to night though, but it's a trend which happens every day and it's been going on for many weeks now. In the morning the price is 79 to 82 cents per liter, and in the evening it is down to 67 to 69 cents, and some parts of the city even get down to around 65. It's strange to see gas prices that low with oil at an all time high. The last time it was over $40 per barrel, we paid over 90 cents per liter for gas!
Our prices are between 96-105 cents per litre with the expectation that prices will rise more. They are saying $50- per barrel is not far away.
It appears our prices are tied to prices at the main refineries in Singapore.
Fortunately (or not) our prices cycle through the week, not daily. Prices will slowly come down then within hours everyone will be up 10 cent per litre. Then the cycle starts again.
It appears our prices are tied to prices at the main refineries in Singapore.
Fortunately (or not) our prices cycle through the week, not daily. Prices will slowly come down then within hours everyone will be up 10 cent per litre. Then the cycle starts again.
OK, we've seen higher gas prices about two or three months ago and crude was going for about 35 to 40 bucks a barrell. Now crude is around 44 bucks a barrell but the gas prices have NOT gone up. What's up with that? Seems like it would be the perfect excuse for gas companies to raise the prices, but they haven't? I don't get it.
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