Crude oil prices vs. Retail gasoline prices

**Dave in PA** · September 14th, 2008, 11:40 AM

According to an article on CNN money reports, crude oil prices slide below $100 per barrel on the NY Mercantile Exchange, settling out just over $101. The last time crude prices were around that price was Feb/March, and retail gasoline prices were between $3.00 and $3.20 per gallon for regular grade gasoline, according to historical data from the Department of Energy.

I mention this, because while Pres Bush said the authorities will be investigating price gouging on gas, post Ike, gouging is happening. Where I am in Florida, where the Gov has stated there has been no inventory disruptions, gas prices have gone up from 3.59 to 3.99 per gallon.

**brian** · September 14th, 2008, 02:38 PM

yeah. i read something the other day, that while oil is down, gas prices will be up????

it's raising up here as well.
i saw it down around $3.39 some places. but now it's starting back up, some places jumped $0.10 over nite. most places, at this moment, are running around $3.59.
i'm, unhappily, expecting to $4.00++ plus by the end of the week.
what i've seen so far, which is not much, has been that the TX coast was pounded.

**Pector55** · September 14th, 2008, 03:01 PM

Is there disruption in transportation from refineries to the stations or something along those lines? I have seen weird ancillary disruptions in a supply chain cause what seem to be odd price increase before.

**MOUNTAINORACLE** · September 14th, 2008, 03:16 PM

In my book it's called price gouging!!!!!!!!!!!!!!!!!!

oracle

**Dave in PA** · September 14th, 2008, 03:27 PM

In most books it's called price gouging. I read the news snippet about the crude prices dropping below $100 briefly, then I wanted to see what the retail price was at the same crude price. I have no problem with free trade and supply and demand, BUT when the oil industry says it's out of their hands, the price is driven by stock market speculators. Then the retail price should reflect more closely the retail prices when comparable crude prices. In this case, $3 to $3.20.

**brian** · September 14th, 2008, 03:43 PM

Originally Posted by Pector55

Is there disruption in transportation from refineries to the stations or something along those lines? .

something like 95% of teh refineries in the gulf are currently shut down.

**ALS** · September 14th, 2008, 05:12 PM

Right now Sunday trading oil is down to $99 a barrel. Wholesale Gasoline is up 11 cents to $2.66 per gallon. With shipping, profit, and taxes add about 65 cents to that. 49.5 cents is taxes.

Bloomberg energy prices

Oil is down because for the next two months or more the oil usage in western Texas is going to drop dramatically.
Businesses are damaged some beyond reopening. Others will be closed for up to two months or more due to the almost total destruction of the electrical grid. No electricity at work means in most cases no job. Thus no need to drive to work.

**Montell C. Williams** · September 14th, 2008, 05:30 PM

I saw on Fox News yesterday that since the last time crude oil prices were at this level prices went up 30% but have only gone back down 9%. They had a spokseman from the Dept. of Energy who said that you should go to their web site and report anyone who has raised the price more than 20 cents since the hurricane and they will eventually be fined for price gouging.

If the price has only gone down 1/3 as much as it went up I think we are getting screwed and according to the DOE spokesman the refineries have lowered the price as much as it went up so guess who is screwing you, your friendly local dealer.