June 27, 2008
NEW YORK -- Oil futures climbed briefly to a new record above $142 a barrel Friday on expectations that the weakening dollar, a major factor in crude's stratospheric rise, will extend its decline and add to oil's appeal, according to the Associated Press.
Retail gas prices inched lower overnight, but are likely to resume their own trek into record territory now that oil futures have broken out of the trading range where they had been for nearly 3 weeks.
Posted by Peter C. T. Elsworth 
at 9:51 AM | Permalink
June 25, 2008
Some drivers across the nation apparently are cutting their speed slightly to squeeze more mileage out of $4-a-gallon gasoline, according to a USA Today review of preliminary state traffic data for the first five months of 2008.
Average speeds along some stretches of interstate highways were down in Tennessee, Virginia, Washington and Wisconsin and unchanged on others, electronic monitoring showed.
Of 20 states providing data on speeding citations issued by state troopers, the number of tickets was down in 13 states — Arkansas, California, Delaware, Iowa, Kentucky, Montana, Nevada, North Dakota, Oklahoma, South Carolina, Tennessee, Texas and Washington — and up in seven — Alabama, Connecticut, Idaho, Mississippi, New York, North Carolina and Ohio.
The state agencies emphasized that the data are preliminary and apply only to roads patrolled by state police.
Transportation experts and some law enforcement professionals caution that it's too soon to establish a link between gas prices and driving speeds.
Posted by Peter C. T. Elsworth at 3:51 PM | Permalink
June 20, 2008
When Eric King moved from his apartment in Pittsburgh to a single-family home with a lawn, he bought a manual lawn mower instead of the usual gas-powered kind. He figures he's putting money in his pocket and saving trips to the filling station.
He's got plenty of company, according to the Associated Press.
Sales of manual - or push reel - mowers with the cartwheeling blades are on the rise this year. Officials attribute the surge to increased environmental concerns because of emissions from gas-powered mowers, the faltering economy that makes the generally less expensive push reels more attractive, and $4-a-gallon gasoline.
Posted by Peter C. T. Elsworth at 9:45 AM | Permalink
June 17, 2008
ARLINGTON, Va. — As the price of fuel continues to climb, more drivers are trying to save 20 or so cents a gallon by using regular or midgrade gasoline, even when their owner’s manuals recommend premium, according to The New York Times.
For gas station managers, fuel suppliers and motorists across the country, the run on the cheaper fuel has led to more uncertainty at the pumps, as some stations have run out of the cheaper grades.
Posted by Peter C. T. Elsworth at 5:42 PM | Permalink
June 9, 2008
If you think $4.15 or so a gallon is expensive, try crossing the border into Connecticut where the price of regular was around $4.35 a gallon this weekend when I was down in Mystic.
And with the way crude oil prices are going, can $5.00 a gallon be far away? I don't think so, not with crude prices seen at $150 a barrel by July 4th, according to Goldman Sachs.
How symbolic is that? All the guff talked about energy independence over the decades and nothing done about it apart from filling salt domes with crude oil.
Why? because no president has had the desire or the vision or the courage to push through energy saving measures like imposing higher taxes, as was done in Europe after the run-up in oil prices in the early 1980s. Gas prices in Europe may be double those of the United States, but nobody is driving a hogmobile.
Instead U.S. politicians kowtowed to consumers who didn't want to pay more at the pump and to the auto companies who wanted to continue feeding at the trough of profits from gas-guzzling SUVs.
Well, here we are about to celebrate Independence Day with crude oil prices possibly at $150 a barrel. Maybe even more.
Looking on the bright side, Rhode Island is a small state, so we don't have to travel that far to go to work or to the beach.
By contrast, big rural states, especially in the south and stretching up thorugh the Plain States, are distinguished by rural poverty and big distances which are often driven in old, clapped-out cars and trucks that are hopeless gas guzzlers. For the most part, public transportation is not available, or indeed feasible.
By contrast, we in the Northeast may be least affected because we "make more money and drive shorter distances, or ... take a bus or train to work," according to The New York Times.
As a result, a much higher percentage of the rural's poor's household budget goes to gasoline compared to the average household in more densely populated regions, the Times said.
So spare a thought for those who are a lot worse affected by the high gas prices than we are here in Rhode Island.
- Peter C.T. Elsworth
Posted by Peter C. T. Elsworth at 12:22 PM | Permalink
June 2, 2008
Gasoline prices in Rhode Island have risen for the 10th straight week, surpassing the $4 mark by nearly two cents, according to AAA Southern New England, according to projo.com
The average price for a gallon of regular, unleaded gasoline is $4.019 at the self-service pump, up five cents from last week, according to AAA's weekly survey.
Rhode Island hit an average of $4 per gallon Thursday, and the Ocean State is now among 13 states averaging at least $4 per gallon, AAA says.
The price has climbed 88 cents the beginning of the year.
Posted by Peter C. T. Elsworth at 11:03 AM | Permalink
May 30, 2008
PROVIDENCE — Warren Graves allows that his Ford Focus gets good mileage — about 31 miles a gallon — but he grimaced into the setting sun last night as he pumped $20 worth at a Hess gasoline station in the city’s Jewelry District, according to The Providence Journal.
“Look at that,” said Graves, nodding toward the reading on the pump, which showed that he got a hair more than 5 regular gallons for his $20, which cost him $3.94 per gallon.
“It’s too much money, I know that,” said Graves. “But I don’t have much choice, I drive to Boston every day.”
As regular gas hovered at $4 per gallon yesterday, motorists in Southeastern New England tightened their belts another notch, vowing to take public transportation more, ride bicycles, pare down vacation plans and grouse a bit about the soaring cost of fuel for cars, trucks and SUVs.
Posted by Peter C. T. Elsworth at 11:04 AM | Permalink
May 29, 2008
NEW YORK -- Oil prices fell sharply Thursday after the Energy Department reported unexpected declines in crude oil and gasoline supplies last week, but said the drop in crude inventories was due to temporary delays in unloading oil tankers along the Gulf Coast. according to the Associated Press.
A stronger dollar and concerns about gas demand also weighed on prices.
Retail gas prices, meanwhile, rose to a new record above $3.95 a gallon.
Light, sweet crude for July delivery fell $4.23 to $126.80 a barrel on the New York Mercantile Exchange, their lowest level since early last week.
Posted by Peter C. T. Elsworth at 3:02 PM | Permalink
May 28, 2008
Gasoline prices in Rhode Island continued to surge higher this week, and now are at the cusp of crossing the $4-a-gallon mark, according to The Providence Journal.
The average price of self-serve regular gasoline was $3.989 a gallon, breaking the record high set only last week.
Yesterday’s price was up 13 cents from last week, and up 95 cents from one year ago.
Posted by Peter C. T. Elsworth at 9:40 AM | Permalink
May 27, 2008
NEW YORK — As consumers began hitting the road Friday for the Memorial Day weekend, they faced the sobering reality that it costs $72 to fill a midsize Honda Accord, up $12 from last year, according to USA Today.
And in a sign that Americans are curbing their driving, data released Friday showed highway miles driven in March fell 4.3% from a year earlier, the first March decline since the late 1970s.
Gas prices took another jump overnight and are up nearly 20%, or 65 cents a gallon, over the past year to average nearly $3.88 a gallon nationally.
But unlike this time last year, when gas prices were at their peak for 2007, pump prices now show no signs of halting their daily assault on the record books.
Posted by Peter C. T. Elsworth at 9:42 AM | Permalink
May 13, 2008
NEW YORK -- Oil prices shot to a new record near $127 a barrel Tuesday on concerns that Iran may consider cutting crude oil production, according to the Associated Press.
Gas prices, meanwhile, rose to a new record over $3.73 a gallon Tuesday, and their advance shows little sign of slowing with Memorial Day weekend, the traditional start of the summer driving season, just 10 days away.
Posted by Peter C. T. Elsworth at 3:09 PM | Permalink
May 12, 2008
Gas prices in Rhode Island have increased another ten cents in the past week to reach another record high, according to AAA Southern New England and reported on projo.com.
The average price for a gallon of regular, unleaded gasoline is $3.709 at the self-service pump, according to AAA's weekly survey. That's 57 cents more than drivers were paying at the beginning of the year.
Diesel fuel drivers are paying even more, an average of $4.46 per gallon.
Meanwhile, oil prices slipped slightly, with light, sweet crude off 65 cents to $125.31 per barrel on the New York Mercantile Exchange, according to the Associated Press.
Oil prices surged nearly $10 last week, touching off concerns about rising prices and their effect on businesses and consumers
Posted by Peter C. T. Elsworth at 10:21 AM | Permalink
May 9, 2008
NEW YORK -- Oil rose above $126 a barrel for the first time Friday, bringing its advance this week to nearly $10, as investors questioned whether a possible confrontation between the U.S. and Venezuela could cut exports from the OPEC member, according to the Associated Press.
Gas prices, meanwhile, rose above an average $3.67 a gallon at the pump, following oil's recent path higher.
Posted by Peter C. T. Elsworth at 2:02 PM | Permalink
May 8, 2008
NEW YORK -- Gas prices jumped nearly 3 cents overnight to a new national record of nearly $3.65 a gallon Thursday, while oil prices paused from their own climb to record highs and succumbed to mild profit-taking, according to the Associated Press.
At the pump, the average price of a gallon of regular gas nationwide rose 2.7 cents to a record $3.645, according to a survey of stations by AAA and the Oil Price Information Service. Diesel prices also rose, adding 0.9 cent to match a record national average of $4.251 a gallon.
Posted by Peter C. T. Elsworth at 12:03 PM | Permalink
May 6, 2008
Chrysler's "Let's Refuel America" program which guarantees anyone buying one of its vehicles in the next few weeks gas at $2.99 a gallon for 12,000 miles a year for three years carries some risk for the automaker.
With the current turmoil in the crude oil market, Chrysler could find itself paying out alot more than the 60 cents or so difference between $2.99 and $3.60 that exists now.
Three years, after all, is a long time when you consider how oil prices have almost doubled to over $120 a barrel in just the last 12 months. And Goldman Sachs is now talking about oil at $150 to $200 a barrel!
While speculation has had a part in driving up oil prices, it is hard to imagine how the high prices are not going to filter down to the pump. And if gas prices do remain higher than $2.99 a gallon, the program will only cut further into the company's profits.
On the other hand, if the price of gas does fall to below $2.99 a gallon - and the gas cards become invalid - Chrysler will have a bunch of unhappy campers on its hands.
Either way there is a risk with oil and gas/diesel prices being as volatile as they have ever been.
And then again the incentive could be undermined if other car companies come out with their own incentive plans on top of existing discounts.
"This is really more about helping customers contend with uncertain economic news," Chrysler President Jim Press was quoted as saying.
Bunk, of course.
What it's more about is a company whose sales were off 23.5 percent last month following an 18 percent drop last year and which has no subcompacts and a limited number of compact/small cars - the Dodge Caliber and Chrysler PT Cruiser - on its books when only small, fuel-efficient cars are reporting increased sales.
- Peter C.T. Elsworth
Posted by Peter C. T. Elsworth at 1:51 PM | Permalink
April 29, 2008
Even though he drives a fuel-efficient car, real estate agent Harlan Comee of Yorba Linda, Calif., says that unrelenting gas-price increases are forcing him to rethink his sales strategy, according to USA Today.
He's narrowed his geographic focus when looking for new homes to represent. And when with clients, he tries to show as many properties in one area as possible to curb some of the back-and-forth trips he used to make. "Now, I try to say, 'We're going to concentrate on the north today,' " he says.
Posted by Peter C. T. Elsworth at 11:16 AM | Permalink
April 28, 2008
Southeastern New England’s beleaguered motorists may not want to hear this, but experts say the price of petroleum products and gasoline will continue to rise for the foreseeable future, according to The Providence Journal.
Forces halfway around the globe — principally the surging economies of India and China — are affecting the price of petroleum products in a way that is expected to push prices at the pump steadily upward.
Posted by Peter C. T. Elsworth at 10:18 AM | Permalink
April 24, 2008
NEW YORK -- Gasoline prices shot up to yet another record at the pump Thursday, while some analysts said the sharp price increases of recent days could soon level off even though gas will continue to rise, according to the Associated Press.
Crude oil prices, meanwhile, stalled in their march toward $120 a barrel, dropping sharply as the dollar gained strength against the euro.
At the pump, the average national price of a gallon of regular gas jumped 2.3 cents overnight to $3.556 a gallon, according to a survey of stations by AAA and the Oil Price Information Service. Prices have risen nearly 14 cents in one week.
Posted by Peter C. T. Elsworth at 1:04 PM | Permalink
April 23, 2008
I went to fill up the car at the Cumberland Farm station in Jamestown last night and was shocked to see the price of regular was $3.52 a gallon. Plus was $3.62 a gallon and Premium was $3.72.
I chose regular.
I was mulling this latest case of sticker shock – and why I should be shocked I don’t know, as I track the price of oil daily and as a Brit I am only too well aware of the declining value of the dollar – when up drives my friend Don Wineberg to fill up his Toyota Prius.
(Actually I have a theory about the price of gasoline and its role as an indicator of inflation. It’s not that gasoline accounts for that much of the average family budget - around 7 percent - but week in, week out, we fill the car or truck up, buying the same amount of the same commodity. So we notice when the price goes up.
I’m told food prices are going up too, but I don’t perceive them moving in the same way. What’s a gallon of milk cost this week compared to last? No idea. A gallon of gasoline? Well, I know it was less.)
“Wait till you see the price, you’re in for a shock,” I said to Don as he got out of his Prius and prepared to gas up.
He certainly was surprised and after filling the car said the $36 he spent on about 10 gallons of gasoline was the most he had ever spent.
Meanwhile, I had just spent close to $60 to fill up my Volvo station wagon.
Okay, we’d both spent the same per gallon and yes, we both joined everyone else by experiencing sticker shock.
But here’s the rub:
After saying that was the most he’s spent on filling his Prius with 10 gallons of gas, he added, “But that’ll take me 500 miles.”
My 17 gallons of gas, on the other hand, will take me less than 400 miles.
- Peter C.T. Elsworth
Posted by Peter C. T. Elsworth at 3:01 PM | Permalink
April 18, 2008
NEW YORK -- Retail gas prices set new records Friday on their seemingly relentless march toward $3.50 a gallon, and diesel prices pushed further above $4 a gallon, according to the Associated Press.
Oil futures, meanwhile, fluctuated as a stronger dollar gave some investors reason to lock in profits from crude's recent record run, while others bought on a view that global supplies are tightening.
Posted by Peter C. T. Elsworth at 11:08 AM | Permalink
April 17, 2008
NEW YORK -- Retail gas prices pushed past a record high $3.40 a gallon Thursday, fulfilling expectations that they'll keep climbing toward $4 as the summer driving season approaches, according to the Associated Press.
At the pump, the average national price of a gallon of unleaded gas rose 1.9 cents overnight to $3.418 a gallon, according to a survey of stations by AAA and the Oil Price Information Service.
Diesel fuel also hit a new record of $4.146 a gallon after jumping 1.7 cents overnight, the survey said.
Posted by Peter C. T. Elsworth at 11:59 AM | Permalink
April 15, 2008
NEW YORK -- Crude oil prices rose to within a penny of $114 a barrel Tuesday, setting a new record as concerns mounted about global supplies, according to the Associated Press.
U.S. retail gasoline and diesel prices also struck new highs.
Light, sweet crude for May delivery rose as high as $113.99 a barrel on the New York Mercantile Exchange before backing off to $113.75, up $1.99 from Monday's record settlement price of $111.76 a barrel.
Meanwhile, retail gasoline prices rose to a new average national record of $3.386, according to AAA and the Oil Price Information Service. Prices were highest in California, where mid-range and higher grades are now averaging more than $4 a gallon.
Posted by Peter C. T. Elsworth at 2:56 PM | Permalink
Gasoline prices in Rhode Island continue to climb and have reached the highest ever recorded by AAA, according to The Providence Journal.
According to AAA’s weekly survey, self-serve regular gasoline is averaging $3.24 in Rhode Island, 4 cents pricier than last week’s average. That price beats the previous record –– set in the aftermath of Hurricane Katrina –– by a penny.
The prices, however, are not adjusted for inflation and the state still lags the national average of $3.37. Last year at this time, regular was averaging $2.79 in the Ocean State. AAA, which conducts the survey weekly, suggests shopping around for the best deals because the prices ranged from $3.16 to $3.33.
Posted by Peter C. T. Elsworth at 9:57 AM | Permalink
April 9, 2008
NEW YORK -- The upward trend in energy prices showed no sign of abating Wednesday as gasoline set yet another record at the pump and crude oil topped $112 a barrel for the first time in the futures market, according to the Associated Press.
The national average price of a gallon of regular unleaded gas rose 1.2 cents to a record $3.343 a gallon, according to a survey of gas stations by AAA and the Oil Price Information Service.
With the peak summer driving season still to come and gas following crude higher, the fuel may well reach the retail price of $4 a gallon that the Energy Department has been forecasting.
Posted by Peter C. T. Elsworth at 1:52 PM | Permalink
April 8, 2008
NEW YORK -- Retail gas prices will peak near $3.60 a gallon in June, but prices at such lofty levels will make many Americans think twice about hitting the road this summer, the Energy Department said Tuesday, according to the Associated Press.
Posted by Peter C. T. Elsworth at 10:00 AM | Permalink
April 4, 2008
NEW YORK -- Retail gas prices surged to a new record above $3.30 a gallon Friday and appear poised to rise further in coming weeks as gasoline supplies tighten, according to the Associated Press.
Oil prices, meanwhile, supported the gas price rally by jumping more than $1 to around $105 a barrel after a dismal employment report sent the dollar lower.
Posted by Peter C. T. Elsworth at 11:27 AM | Permalink
April 3, 2008
NEW YORK -- Gasoline prices extended their record run at the pump Thursday, but took a breather in futures trading as investors collected profits from the previous session's huge advance, according to the Associated Press.
Crude oil futures, meanwhile, fell as the dollar stabilized and prompted selling by investors who previously bought crude as an inflation hedge.
At the pump, the national average price of a gallon of gas rose 0.2 cent overnight to $3.289 a gallon, according to AAA and the Oil Price Information Service. That's the latest in a string of records set as gas prices have followed surging oil futures higher.
Posted by Peter C. T. Elsworth at 4:30 PM | Permalink
March 24, 2008
CAMARILLO, Calif. -- A survey says the national average price for gasoline rose 7 cents over the last two weeks, according to the Associated Press.
The average price of self-serve regular gasoline on Friday was $3.26 a gallon, mid-grade was $3.38 and premium was $3.50. That's all according to the Lundberg Survey of 7,000 stations nationwide released Sunday.
Of the cities surveyed, the cheapest price was in Newark, N.J., where a gallon of regular cost $3.03, on average. The highest average price was in San Francisco at $3.66.
Posted by Peter C. T. Elsworth at 10:18 AM | Permalink
March 14, 2008
Aloha! The price for regular unleaded in paradise nears $4 a gallon
NEW YORK -- The rally in energy prices gained momentum Friday, with retail gas prices rising further into record territory and diesel and heating oil futures setting records of their own amid concerns about strong global demand and tight supplies, according to the Associated Press.
Crude oil prices fell modestly as a downturn in the stock market and worries about the economy prompted some profit-taking. But with the Federal Reserve expected to cut interest rates again next week, analysts expect the dollar to weaken further, propelling crude to new records.
At the pump, gas prices set records for the 4th straight day, rising 1.3 cents Friday to a national average price of $3.28 a gallon, according to AAA and the Oil Price Information Service. Average prices are nearing $4 in some parts of Hawaii.
Diesel, meanwhile, rose 2.9 cents to a new record national average of $3.938 a gallon. Heating oil, a fellow distillate and close cousin of diesel, jumped to new records on the New York Mercantile Exchange.
Diesel, used by trucks, trains and ships, is used to move the vast majority of the world's goods. While the U.S. economy appears to be slowing, the global economy continues to grow.
"Demand for diesel worldwide has been incredible," said Phil Flynn, an analyst at Alaron Trading Corp., in Chicago.
April heating oil futures rose 6.43 cents to $3.1891 a gallon after earlier setting a new trading record of $3.222 a gallon.
Oil prices fell for a change Friday, following stocks lower after Bear Stearns Cos. acknowledged serious financial problems, and the Federal Reserve and JPMorgan Chase & Co. said they were working on a bailout.
Light, sweet crude for April delivery fell 39 cents to $109.94 on the Nymex Friday after rising earlier to within pennies of its latest trading record of $111, set Thursday.
Posted by Peter C. T. Elsworth at 11:45 AM | Permalink
AP Photo
Mike Sweeney, in black truck, arrives at a gas station to fill up his truck in Kahului, Hawaii. Sweeney recently moved from Denver and was hit with the other side of living in paradise with his first visit to the gas pump. Residents on the island of Maui are paying more for a gallon of gas than anywhere else in the nation.
"After seeing the total, I won't be smiling," Sweeney said as he watched the numbers on the Chevron pump spin faster than a slot machine. The pump finally stopped at $97.20, which put 24.5 gallon to fill his Chevrolet Avalanche.
See the AP Video report
-- By the Associated Press
Posted by Pam Cotter at 9:27 AM | Permalink
March 11, 2008
NEW YORK -- The cost of filling up your gas tank has hit a new record. Average prices at the pump are at a new high of almost $3.23 a gallon, according to the Associated Press.
According to AAA and the Oil Price Information Service, the average national price of a gallon of gas rose half a cent overnight to $3.2272. That is slightly higher than the previous record of $3.2265 a gallon, set last May.
Gas prices are following crude oil futures into record territory. Oil prices are surging as the falling dollar attracts investors who see crude futures as a hedge against inflation and the weak dollar.
Light, sweet crude for April delivery briefly climbed to a new record price of $109.72 a barrel on the New York Mercantile Exchange Tuesday morning.
Posted by Peter C. T. Elsworth at 9:56 AM | Permalink
March 10, 2008
CAMARILLO, Calif. -- A survey says the national average price for gasoline rose 9 cents over the last two weeks, according to the Associated Press.
The average price of self-serve regular gasoline on Friday was $3.19 a gallon, mid-grade was $3.31 and premium was $3.42, according to the Lundberg Survey of 7,000 stations nationwide released Sunday.
Posted by Peter C. T. Elsworth at 10:27 AM | Permalink
February 27, 2008
Gasoline prices, which for months lagged behind the big run-up in the price of oil, are suddenly rising quickly, with some experts saying they could approach $4 a gallon by spring, according to The New York Times.
The increases could not come at a worse time for the economy. With growth slowing, energy increases that were once easily absorbed by consumers are now more likely to act as a drag on household budgets, leaving people with less money to spend elsewhere. These costs could worsen the nation’s economic woes, piling a fresh energy shock on top of the turmoil in credit and housing.
“The effect of high oil prices today could be the difference between having a recession and not having a recession,” said Kenneth S. Rogoff, a Harvard economist.
The depth of the nation’s economic problems became clearer Tuesday with the release of figures showing that prices at the producer level rose 1 percent in January from December, driven in large measure by energy costs.
Compared with a year ago, prices were up 7.4 percent, the worst producer price inflation in the United States since 1981.
Posted by Peter C. T. Elsworth at 10:10 AM | Permalink
February 25, 2008
The price of diesel fuel hit a record Friday — and gasoline prices are leaping so fast they could set records this week, according to USA Today.
Rocketing retail fuel prices are the result of the week's $100-a-barrel crude oil prices and tight supplies as refineries switch to producing costlier summer-blend, clean-air gasoline that's required by federal regulations.
The nationwide average price for diesel Friday was a record $3.541 per gallon, according to data collected daily at more than 85,000 fuel stations by the Oil Price Information Service (OPIS) and published by travel organization AAA.
The average for regular-grade gasoline Friday was $3.115, up 2.9 cents overnight and 6.2 cents in two days.
Posted by Peter C. T. Elsworth at 9:59 AM | Permalink
February 22, 2008
NEW YORK -- Gas prices jumped Friday to their highest level since June, a possible preview of what many analysts believe will be a record spike in pump prices this spring, according to the Associated Press.
But the current price surge could be short-lived. While gas prices have risen sharply in recent days in response to oil's dramatic climb to a new record above $101 a barrel, gasoline supplies have quietly grown to their highest level in 14 years.
At the pump, gas prices rose 2.9 cents overnight to a national average of $3.115 a gallon, according to AAA and the Oil Price Information Service.
Posted by Peter C. T. Elsworth at 10:39 AM | Permalink
February 18, 2008
Gasoline prices rose back above $3 a gallon Monday for the first time in nearly a month as crude oil prices have risen on demand worries, according to USA Today.
The national average price of regular gasoline rose to $3.014 a gallon Monday, according to AAA, after topping $3 over the weekend. That is almost a penny lower than a month ago but about 76 cents higher than a year ago.
For most of February, the average hovered just below $3; the lowest average price was $2.953 a gallon Feb. 11.
Posted by Peter C. T. Elsworth at 1:13 PM | Permalink
February 12, 2008
For the first time since November, the average price of gasoline in Rhode Island has dipped below $3 a gallon. But the reprieve may be temporary with oil prices rising the past few days and the annual spring run-up just around the corner, according to The Providence Journal.
The average price of regular, self-serve gasoline was $2.999 a gallon yesterday, down 4 cents from last week, according to a survey of local dealers by the state’s Office of Energy Resources.
The average price has fallen 16 cents from its most recent peak of $3.159 a gallon on Jan. 7.
Home-heating oil rose 2 cents a gallon to $3.329 a gallon, according to the Office of Energy Resources, 10 cents below the all-time high of $3.429 a gallon, also on Jan. 7.
Posted by Peter C. T. Elsworth at 9:58 AM | Permalink
February 5, 2008
NEW YORK - Despite a flailing U.S. economy and a national housing crisis, gasoline prices are the leading factor in changing American consumer spending, according to a survey by the National Association of Convenience Stores, according to Reuters.
Forty-five percent of U.S. consumers said soaring gasoline prices have effected their spending more than rising energy and food costs, the flagging economy or the national mortgage and lending crisis, the survey found.
The survey, released on Monday, was of 1,215 Americans on behalf of the National Association of Convenience Stores (NACS).
On average the tipping point for the average consumer to cut back on gasoline use is $3.71 a gallon, according to the survey.
Posted by Peter C. T. Elsworth at 9:34 AM | Permalink
January 23, 2008
WASHINGTON (Reuters) — Gasoline prices sank to a one-month low, after falling 5.1 cents over the last week to $3.02 a gallon amid worries about a weak economy, the government said Tuesday, according to Reuters and reported by USA Today.
The national price for regular gasoline remained up 85 cents from a year ago, the Energy Information Administration said in its weekly survey of service stations.
Lower pump prices reflect cheaper crude oil, whose price
Posted by Peter C. T. Elsworth at 10:18 AM | Permalink
January 8, 2008
WASHINGTON — The average U.S. retail price for gasoline jumped 5.6 cents to $3.11 a gallon over the past week, the government said on Monday, reflecting record high oil costs that topped $100 a barrel last week, according to Reuters and reported in USA Today.
The national price for regular gasoline rose to the highest level in two months and was 80 cents above a year ago, the Energy Information Administration said in a weekly survey of service stations.
Rising pump prices are the result of expensive crude oil, which reached $100.09 a barrel last Thursday and now accounts for about two-thirds of the cost of making gasoline. Oil prices have retreated since then and settled at just over $95 a barrel on Monday at the New York Mercantile Exchange.
Posted by Peter C. T. Elsworth at 1:02 PM | Permalink
December 14, 2007
WASHINGTON -- Consumer inflation surged by the largest amount in more than two years in November, led by gasoline prices. The cost of clothing, airline tickets and prescription drugs also jumped, according to the Associated Press.
The Labor Department said its closely watched Consumer Price Index rose 0.8 percent last month, the biggest one-month increase since a 1.2 percent surge in September 2005, when the country was hit by rising energy costs in the wake of Hurricane Katrina.
Posted by Peter C. T. Elsworth at 9:45 AM | Permalink
December 11, 2007
NEW YORK -- Gas prices fell below $3 a gallon Tuesday for the first time since Nov. 4, extending a trend that's expected to last through the heavily traveled Christmas and New Year's holidays, according to the Associated Press.
Oil futures, meanwhile, rose above $90 a barrel as traders anticipated the Federal Reserve will cut interest rates Tuesday afternoon. News that several crude oil pipelines in the Midwest were shut down due to ice storm also boosted crude prices.
Posted by Peter C. T. Elsworth at 1:42 PM | Permalink
December 6, 2007
NEW YORK -- The pressure of higher gasoline prices on consumers eased further Thursday as retail gas fell a cent and edged back toward a national average of $3 a gallon. Crude oil futures advanced, according to the Associated Press.
Prices at the pump averaged $3.034 overnight, according to AAA and the Oil Price Information Service. Retail gas has been falling for several weeks since peaking at $3.112 as crude oil was approaching $100 a barrel.
Analysts expect gas prices to keep falling as long as oil is also generally in a decline, and they say gas could return to mid-October levels of around $2.76 a gallon.
Posted by Peter C. T. Elsworth at 1:11 PM | Permalink
December 4, 2007
The price of oil — within winking distance of $100 a barrel last week — has fallen and can't get up. Futures prices for light, sweet crude hovered around $88 a barrel Tuesday.
If prices continue at less than $90, gasoline retailers could afford to pass along the past week's 20-cent drop in their wholesale prices, according to USA Today. The price of oil accounts for roughly two-thirds the price of gasoline, the latest government data say.
Posted by Peter C. T. Elsworth at 12:47 PM | Permalink
November 16, 2007
NEW YORK -- Gas prices fell slightly overnight for the first time in weeks, raising doubts about a view that pump prices are destined to rise by another 10 cents to 15 cents in coming weeks to catch up with skyrocketing crude prices, according to the Associated Press.
Oil futures, meanwhile, rose Friday on investors' belief that supplies aren't as plentiful as a government report at first suggested.
The national average price of a gallon of gas fell 0.3 cent overnight to $3.109, according to AAA and the Oil Price Information Service. That decline followed several days in which increases in the price of gas were less than in previous weeks.
"The increase has slowed down somewhat," said Troy Green, a spokesman for AAA.
Gas prices are tied closely to the price of crude oil, which jumped 42 percent from late August to a record of $98.62 a barrel last week. But oil has since traded in the low $90s.
Posted by Peter C. T. Elsworth at 12:42 PM | Permalink
November 15, 2007
WASHINGTON -- Gas prices near record highs at a time of year when they typically decline will not deter drivers from hitting the road this Thanksgiving, AAA said Thursday, according to the Associated Press.
The travel agency expects a record 38.7 million Americans will travel 50 miles or more from home over the five days beginning Nov. 21. That is a 1.6 percent increase over last year. Roughly 80 percent of those trips will be by car, and motorists will pay about 90 cents a gallon more for gas than they did last year.
Posted by Peter C. T. Elsworth at 2:23 PM | Permalink
November 14, 2007
NEW YORK -- Millions of Americans planning car trips for the Thanksgiving weekend are finding they need to once again factor soaring gas prices into their budgets, according to the Associated Press.
Gas at the pump is within striking distance of May's all-time record of $3.227 a gallon, having risen 0.6 cent overnight to a national average of $3.111, according to AAA and the Oil Price Information Service. Fred Rozell, retail pricing director at the service, said gas may rise another 10 to 15 cents a gallon in the coming weeks as it catches up with oil prices that have soared close to $100 a barrel.
"We think there's room for the price nationally to set a new record," said Geoff Sundstrom, an AAA spokesman.
Posted by Peter C. T. Elsworth at 3:49 PM | Permalink
November 13, 2007
WASHINGTON — Gasoline prices could rise as much as 20 cents in the next few weeks as the price at the pump catches up with the recent surge in oil costs, the head of the Energy Department's analytical arm said Monday, according to USA Today.
"We haven't seen the full pass-through yet," Energy Information Administration head Guy Caruso said.
Oil prices have risen approximately $20 a barrel in the past two months. Retail gasoline costs have increased about 30 cents a gallon in that time. The agency's models suggest gas prices will likely rise another 20 cents in the next two or three weeks to fully reflect the jump in oil costs, Caruso told reporters.
A few factors are helping to keep gas prices from jumping along with oil. Europe's gasoline inventories are fairly high, providing a cushion to world supplies. And U.S. gasoline demand softens in the fall and winter, helping "mute the price increase," Caruso said.
Posted by Peter C. T. Elsworth at 11:28 AM | Permalink
October 16, 2007
Seen the latest prices for crude oil? Over $88 a barrel!
I cut my professional teeth in the early 1980s as an oil reporter in New York City for Energy Intelligence, Platts Oilgram and Reuters, so I always follow the basic price of crude oil which to me is a key economic indicators.
Back then, $39 a barrel was the highest price that crude oil had ever reached - in early 1981. But that was before the spot market let alone the oil futures markets of today.
And as the price closes in on $90 a barrel, prices will soon be the highest they have ever been - even adjusting for inflation.
What's driving them? Simple supply and demand.
The supply pressure comes from uncertainty. The Middle East remains by far the biggest source of crude but also the most politically volatile region in the world. We've made a hash of Iraq which is now in chaos, Iran cocks a snook at the world with its nuclear plans and genocidal declarations about Israel and Osama bin Laden pursues his ultimate goal - the takeover of Saudi Arabia.
Consquently any blip in that region reverbrates through the market sending oil prices up.
Meanwhile, demand keeps going up. The industrializing third world, especially the mega-economies of China and India, have put pressure on oil supplies in recent years. And here in the U.S., we continue to wallow in low energy prices.
Europe has already cut into demand by taxing energy to the point that a gallon of gasoline is now the equivalent of $8 a gallon. You don't see many SUVs in Europe!
But as prices continue to go up, research into alternatives is bound to increase. It's simply a matter of economics. It's one thing to do R&D into alternative energy because of CO2 emissions and the ozone layer; it's another to do it because the price of oil is becoming exorbitant. The former is driven by enlightened self-interest; the latter by simple self-interest.
And that's where the analogy of the last whale comes in. For while we came close, we would never have killed off all the whales. It would have been too expensive to chase down the last one.
And so it is with oil. At a certain point, it becomes too expensive and we are forced to look for an alternative. To be sure, that time is a long way off but when crude prices are over $88 a barrel, it may not be that far off.
- Peter C.T. Elsworth
Posted by Peter C. T. Elsworth at 3:39 PM | Permalink
The price of oil was higher Monday than it's ever been, presaging increases for gasoline and other fuels — though not for long if oil speculators get cold feet and additional supplies hit the market as expected, according to USA Today's James R. Healey.
The closing price of $86.13 per barrel eclipsed the previous record of $83.69, set Friday. West Texas Intermediate — light, sweet crude — for delivery next month traded as high as $86.22 a barrel during the day, also a record.
Adjusted for inflation, the highest price recorded by the U.S. Energy Information Administration is $93.09, in January 1981.
The retail price of gasoline "would be about $3 this time of year if $86 oil is sustained," says Stephen Brown, director of energy economics at the Dallas Federal Reserve. Instead, the nationwide average for regular is $2.762, the EIA reported Monday. That was 0.8 of a cent less than last week, but 53.6 cents more than a year ago. A separate survey by AAA showed the average at $2.757 Monday, down 0.4 of a penny overnight.
Posted by Peter C. T. Elsworth at 10:37 AM | Permalink
October 15, 2007
Gasoline prices in Rhode Island trickled down another penny this week, according to AAA Southern New England and reported in the Providence Journal.
The average price for regular, unleaded gasoline is $2.679 per gallon at the self-service pump, according to AAA's weekly survey.
The average price also dropped a penny last week.
That's the lowest it has been since April 2, AAA said.
Rhode Island's average is eight cents below the national average, according to AAA.
Posted by Peter C. T. Elsworth at 11:56 AM | Permalink
September 27, 2007
NEW YORK -- Oil and other petroleum futures surged Thursday amid supply concerns sparked by a decline in crude inventories at a key Oklahoma terminal and the confrontation between the West and Iran, according to the Associated Press.
The U.S. is trying to raise support for new U.N. sanctions against Iran over its nuclear programs. Iranian President Mahmoud Ahmadinejad says the nuclear issue is "closed," and has vowed to defy any U.N. sanctions.
Many traders are betting the West will take action against Iran before the end of the year, and worry that economic sanctions or a military strike will result in the disruption of oil supplies from the Middle East, Gheit said.
November light, sweet crude jumped $2.58 to settle at $82.88 a barrel Thursday on the Nymex, while October gasoline rose 6.65 cents to settle at $2.0939 a gallon.
Posted by Peter C. T. Elsworth at 3:24 PM | Permalink
SAN FRANCISCO -- Enriched by high oil prices, Chevron Corp. will spend up to $15 billion buying back its own stock - a commitment that pleased shareholders and rankled critics clamoring for bigger investments in projects that might help lower energy costs, according to the Associated Press.
The three-year repurchase program announced Wednesday served as yet another reminder of the cash cascading into the oil industry while motorists have been trying to cope with higher gasoline bills.
The dichotomy has triggered Congressional threats to repeal some of the industry's tax breaks or impose a special tax on profits above a certain threshold.
Posted by Peter C. T. Elsworth at 9:25 AM | Permalink
September 21, 2007
NEW YORK -- Oil prices fell Friday as investors sold to lock in profits, but analysts doubt oil's record-breaking run is over and say gasoline prices are about to start following crude higher, according to the Associated Press.
Gasoline prices have so far held steady or even fallen despite a rally that boosted oil to new records for eight straight trading sessions on the New York Mercantile Exchange.
Posted by Peter C. T. Elsworth at 4:33 PM | Permalink
September 20, 2007
NEW YORK -- Crude oil prices surged further into record terrain Thursday, breaching $83 a barrel as the weak dollar and some worrisome weather in the Gulf of Mexico spurred buying, according to the Associated Press.
Gasoline futures jumped as well.
Posted by Peter C. T. Elsworth at 4:42 PM | Permalink
September 11, 2007
NEW YORK - Higher U.S. gasoline prices may slim more than just wallets, according to a new study from Washington University in St. Louis and reported by Reuters News Agency.
Entitled "A Silver Lining? The Connection between Gas Prices and Obesity," the study found that an additional $1 per gallon in real gasoline prices would reduce U.S. obesity by 15 percent after five years.
The report, written by Charles Courtemanche for his doctoral dissertation in health economics, found that the 13 percent rise in obesity between 1979 and 2004 can be attributed to falling pump prices.
Gasoline hit a low of less than $1.50 per gallon in 2000 before moving back to a record high of $3.22 in May 2007.
Higher gasoline prices can reduce obesity by leading people to walk or cycle instead of drive and eat leaner at home instead of rich food at restaurants.
Posted by Peter C. T. Elsworth at 5:31 PM | Permalink
August 22, 2007
SAN FRANCISCO — Nearly two dozen gas station owners in California sued Shell Oil, Chevron and Saudi Refining, on Tuesday, claiming the companies conspired to fix prices for 23,000 franchise owners nationwide, according to the Associated Press and reported by USA Today.
The case filed in U.S. District Court in San Francisco seeks class-action status for the plaintiffs. It is similar to another lawsuit filed in 2004 by other California gas station owners that was thrown out by the U.S. Supreme Court last year. The new group of plaintiffs hopes the court will consider a slightly different argument.
Like the previous case, the plaintiffs in this case say chairmen of the three oil companies met privately nearly every month starting in March 1996 for the "purpose of forming and organizing a combination."
The lawsuit alleges executives destroyed documents from the meetings, and a defunct joint venture violated U.S. antitrust laws and caused artificially high wholesale gas prices in nearly every state from 1999 to 2001.
Posted by Peter C. T. Elsworth at 10:58 AM | Permalink
August 21, 2007
Recent studies have found that we Americans prefer big vehicles and - manna to the auto manufacturers - small cars are not as safe as big cars.
Duh.
Of course we prefer big vehicles. Gas, after all, is still very cheap in the U.S. Yes, I know it is now hovering around the $3 a gallon mark, but that is less than half the price that it is in Europe. And when you are paying $8 a gallon, you can be sure that you are not going to drive a gas-guzzling SUV.
Why is gas so expensive in Europe? Because the governments tax the heck out of it. Here such a notion is anathema to a large portion of the body politic - in addition to the auto, oil, steel, rubber and plastics industries - and for a very good reason.
Unlike the Northeast and other urban centers - where small cars do make sense - most Americans live surrounded by vast expanses of space unimaginable in Europe. Small, economic cars don't make a lot of sense in Texas, for example, where the Chevy Suburban was always referred to as the state vehicle when I lived down there in the late 1980s.
And many Americans have rural roots they revere and for them a pickup is the only way to go. Many may use their pickups mostly for driving to and from work in the nearest city, but that is beside the point. The vehicles serve an emotional role, as indeed all vehicles do.
So forget about raising taxes on fuel. It is not going to happen and even if it did it would still be a nominal amount compared to European levels.
And so we will continue to have the best of both worlds, being able to afford to run big cars and SUVs and pickup trucks and, as an added bonus, having bought them, be comforted that we are safer in them.
Only two things cast a shadow on this self-indulgent picture: If you think the price we are paying in the Mideast - the lives of our military personnel, the maiming of thousands of others, the same of countless more Iraqis, the billions of dollars to equip our forces and run the war in Iraq and Afghanistan, the billions of dollars in aid we grant to Egypt, Israel, Pakistan and others to keep the peace - if you think all that blood and money is ALL about George W. Bush's war on terror and has NOTHING to do with the supply/price of crude oil and the price of gasoline you pay at the pump, then I would like to know the name of your drug dealer because you are obviously getting good stuff.
Personally, I think all that blood and money is a pretty high tax to pay for our cheap gasoline.
And the other shadow is the nebulous business of global warming which, while blindingly obvious to a simpleton like me, remains a debatable propostion in some quarters of our petro-driven administration.
- Peter C.T. Elsworth
Posted by Peter C. T. Elsworth at 12:37 PM | Permalink
August 20, 2007
According to AAA Southern New England, we'll see cheaper prices at the pump for the fifth straight week, according to projo.com
The company's survey shows prices for regular, unleaded gasoline averaging $2.769 per gallon at the self-service pump. That's down five cents from last week and 19 cents from last month.
Posted by Peter C. T. Elsworth at 12:12 PM | Permalink
August 14, 2007
If you're considering an end-of-summer vacation, go ahead and unfurl your road maps.
The average price of a gallon of regular gas this week is $2.77, down nearly 23 cents from this time last summer, according to the Energy Information Administration and reported by USA Today columnist Sandra Block.
Oil analysts warn, however, that a major hurricane or refinery breakdown could send gas prices sharply higher. In addition, the recent bridge collapse in Minneapolis has prompted some lawmakers to propose raising the federal gas tax to pay for bridge repairs. (President Bush said he opposes the idea.)
And if you're counting on the tax credit to reduce the cost of buying a hybrid, pay attention to the calendar. The tax credit begins to phase out after an automaker sells 60,000 vehicles.
Once a manufacturer's sales hit the limit, buyers are eligible for the full credit until the end of the quarter in which the threshold was reached and through the next quarter. Then they're eligible for half the credit for six months. For the next six months, the credit will shrink to 25% of the full amount, then it will disappear.
Posted by Peter C. T. Elsworth at 10:01 AM | Permalink
August 9, 2007
Ford CEO Alan Mulally created a stir in Traverse City yesterday among auto industry leaders and the news media by expressing interest in a 50-cent-per-gallon gasoline tax proposed a day earlier by U.S. Rep. John Dingell, according to the Detroit Free Press.
That's a headline-grabber, but may not really be the most important news out of his comments. He also voiced concern about a recent dip in total U.S. car and truck sales to levels not seen since 1998.
Posted by Peter C. T. Elsworth at 9:17 AM | Permalink
July 27, 2007
Gas prices fell overnight to their lowest level since late May, while energy futures rebounded as investors kept a wary eye on equity markets, according to AP
A Commerce Department report showing the economy grew by 3.4 percent in the second quarter served to support oil prices, as did the weak dollar, which drove investors to commodities such as oil and gas as a safe haven.
Light, sweet crude for September delivery rose 79 cents to $75.74 a barrel on the New York Mercantile Exchange. The contract fell 93 cents on Thursday in sympathy with the stock market, analysts said.
Posted by at 2:28 PM | Permalink
July 23, 2007
Gas prices dropped below a national average of $3 a gallon over the weekend, while energy futures had their own decline on Monday on suggestions that OPEC may increase its output, according to the Associated Press.
Hasan Qabazard, research director of the Organization of Petroleum Exporting Countries, told Dow Jones Newswires he thinks oil is fairly valued at $60 to $65 a barrel, leading some to conclude the cartel may be open to reversing its long-held position that oil supplies are adequate.
Posted by at 12:49 PM | Permalink
Gasoline prices have dropped 2 cents over last week, after rising the two previous weeks, according to AAA Southern New England, according to the Providence Journal's projo7to7.
Today’s AAA survey of prices throughout the state found self-serve, regular unleaded gasoline averaging $2.95 per gallon. That puts Rhode Island prices 5 cents below the national average for regular unleaded gasoline. At this time a year ago, the average local price for gas was $3.08.
Posted by at 12:43 PM | Permalink
July 18, 2007
Food costs went up again but consumers finally got a break at the gas pumps in June, helping to lower inflation to the smallest increase in five months, according to the Associated Press.
The Labor Department reported Wednesday that the Consumer Price Index edged up a virtually minuscule 0.2 percent in June following a 0.7 percent surge in May, which had been the biggest jump in 20 months.
Posted by at 10:56 AM | Permalink
July 13, 2007
You think gas prices are high in New England?
The Midwest is getting pounded by big jumps in gasoline prices — so big that they have pulled the collective U.S. average back above $3 even though prices elsewhere are lower and often still falling, according to the Associated Press.
Statewide averages in the Midwest zipped 5 cents to 7 cents a gallon overnight, travel organization AAA reported Thursday. Prices usually move less than 1 cent.
Problems at refineries in and near the Midwest have tightened supplies enough to drive up wholesale prices, which kicks up prices at the pump.
Posted by at 11:47 AM | Permalink
July 11, 2007
Gasoline prices are exploding in some regions, zooming as much as 20 cents in a day in the Midwest as a key Kansas refinery remains flooded and as gasoline stations recover big increases in wholesale costs they've been swallowing for at least a week due to problems at other refineries, according to USA Today.
Posted by at 3:27 PM | Permalink
Gas prices jumped 2.5 cents overnight as the closure of two refineries in the Midwest continued to curb gasoline supplies in the Midwest and Plains states, according to the Associated Press.
Oil and gasoline futures, meanwhile, settled lower after a government inventory report presented a mixed picture of the domestic refining industry.
Posted by at 3:21 PM | Permalink
July 5, 2007
Think gas is expensive? It's even more expensive on hot summer days. Gasoline expands as temperatures rise. That means motorists get less energy from a gallon of so-called "hot fuel" than from a cold one, according to USA Today.
When Brent Donaldson, a restaurant owner in Kansas City, Mo., discovered that fact earlier this year, he joined hundreds of consumers in more than a dozen states who are suing oil companies and gas retailers, alleging that they have been overcharged by billions of dollars.
The lawsuits allege that higher temperatures of gasoline cost consumers between 3 and 9 cents a gallon extra at the pump.
Posted by at 11:08 AM | Permalink
July 3, 2007
The average price of regular, self-serve gasoline in Rhode Island as of yesterday was $2.919 a gallon, down a penny from last week, according to the state’s Office of Energy Resources, according to the Providence Journal. The price has dropped a total of 16 cents over the past four weeks.
And the average price is 9 cents lower than it was at this time last year.
But looking further back, gasoline clearly has become awfully expensive. Two years ago, the fuel was a relative bargain at $2.289 a gallon. A trip from Providence to Acadia National Park in Maine will now cost about $101 in gasoline, compared with $79 during the July 4 holiday week in 2005.
Experts say they are not sure which way gasoline prices are headed, as there are conflicting signals that indicate prices could go up or down.
Posted by at 2:21 PM | Permalink
June 28, 2007
Oil futures rose above $70 a barrel in New York trading today for first time since Sept. 1 and retail gasoline prices stopped falling after a government report showed that gasoline inventories dropped unexpectedly just as the summer driving season is about to peak, the Associated Press reports.
Posted by at 1:46 PM | Permalink
June 21, 2007
U.S. refiners are producing far less gasoline than they are capable of making because of planned and unplanned maintenance, USA Today reports.
That has led to a greater reliance on imports and has made U.S. gasoline supplies vulnerable to further disruptions, such as hurricanes, during the busy summer driving season.
U.S. refineries churned out 87.6% of the gasoline that they were capable of producing last week, down from 89.2% the week before and 5.7 percentage points below a year ago, the government said Wednesday.
Posted by at 12:11 PM | Permalink
June 20, 2007
The average price of regular-grade gasoline has fallen below $3 a gallon for the first time since May 3, according to AAA, the travel organization that tracks prices daily, USA Today reports.
That outdates the government's forecast last week that the average would stay above $3 all summer. But it doesn't guarantee prices will keep falling, especially as oil prices rise.
Posted by at 10:50 AM | Permalink
June 19, 2007
The breathtaking cost of gas has companies adopting programs to curb commuting costs and employees developing more economical alternatives to driving to work, according to USA Today.
Employers are taking action as average national gas prices persist above $3 a gallon. Nearly 90% of employees drive to work, according to the U.S. Census Bureau.
Thirteen percent of companies offer transit subsidies, and 7% subsidize carpooling, according to a 2006 survey by the Society for Human Resource Management. Twenty-six percent allow telecommuting on a part-time basis.
Posted by at 2:31 PM | Permalink
June 18, 2007
A push from Congress and the White House for huge increases in biofuels, such as ethanol, is prompting the oil industry to scale back its plans for refinery expansions, according to the Associated Press.
That could keep gasoline prices high, possibly for years to come.
With President Bush calling for a 20 percent drop in gasoline use and the Senate now debating legislation for huge increases in ethanol production, oil companies see growing uncertainty about future gasoline demand and little need to expand refineries or build new ones.
Posted by at 10:09 AM | Permalink
June 15, 2007
Gasoline prices hit near-record levels recently, and the government says the average will stay above $3 all summer, sending motorists shopping for lower-price fuel and making them wonder if they're hurting their engines burning the cheap stuff, according to USA Today.
Their anxieties have lately been fueled by a $35 million Shell marketing campaign, warning that discount fuel is the petro-chemical equivalent of the road to hell.
And those anxieties are likely to go unresolved, because there seems no easy answer to the simple questions: What is bad gas? How can I avoid it?
Posted by at 1:19 PM | Permalink
Gasoline futures extended their rally today, raising the prospect that prices at the pump will reverse course and again head higher in the coming weeks, according to the Associated Press. Oil futures moved above $68 a barrel.
Retail gasoline prices, which typically lag the futures market, fell again by 1.4 cents overnight to a national average price of $3.029 a gallon, according to AAA and the Oil Price Information Service. Prices peaked at $3.227 a gallon on May 24.
Posted by at 1:05 PM | Permalink
June 8, 2007
Consumer confidence tumbled to a 10-month low as gyrating gasoline prices and persisting problems in the housing market gnawed at people's sense of economic well-being, the Associated Press reports.
The magnitude of the drop shown in the latest RBC Cash Index was surprising given the healthy state of the nation's job market, which is usually an important factor coloring consumers' perceptions of how the economy and their own financial fortunes are faring.
But nagging worries about gasoline prices, if the yearlong housing slump will worsen and drag down home prices further and whether the economy will, in fact, snap out of its sluggish spell, are taking a toll on confidence, economists explained.
"There is too much uncertainty. That is the mindset of consumers right now," said Brian Bethune, economist at Global Insight
Posted by at 12:37 PM | Permalink
June 1, 2007
Gasoline and oil futures rose today on continued concerns that domestic refineries aren't producing enough gasoline to meet peak summer driving demand, according to AP.
Retail prices, on the other hand, continued their retreat from last week's record highs. The national average price of a gallon of gas fell to $3.184 a gallon, down 0.7 cent overnight and off 4.3 cents since the May 24 record of $3.227.
Posted by at 2:34 PM | Permalink
May 31, 2007
With gas prices well over $3 a gallon nationwide, many drivers are lining up to buy small cars, but hundreds of thousands of consumers aren’t giving up anything to downsize, according to The New York Times. Instead, they are simply adding pint-size transportation to their driveways, parked alongside their S.U.V. or pickup.
Posted by at 11:02 AM | Permalink
May 22, 2007
The average American motorist is driving substantially fewer miles for the first time in 26 years because of high gas prices and demographic shifts, according to a USA Today analysis of federal highway data.
The growth in miles driven has leveled off dramatically in the past 18 months after 25 years of steady climbs despite the addition of more than 1 million drivers to the nation's streets and highways since 2005, USA Today reports.
Miles driven in February declined 1.9% from February 2006 before rebounding slightly for a 0.3% year-over-year gain in March, data from the Federal Highway Administration show. That's in sharp contrast to the average annual growth rate of 2.7% recorded from 1980 through 2005, the paper says.
Posted by at 10:57 AM | Permalink
May 21, 2007
The average price of self-serve regular gasoline hit a record high of $3.18, rising more than 11 cents over the past two weeks, according to a nationwide survey released Sunday, the Associated Press reports.
The latest figure topped the record of $3.07 set two weeks ago, which had been the highest price since the average cost of a gallon of gas hit $3.03 on Aug. 11, 2006, according to the Lundberg Survey of 7,000 gas stations across the country, AP said.
The latest price also beat the previous inflation-adjusted record of $3.15 per gallon in March 1981, AP said
Posted by at 9:36 AM | Permalink
May 18, 2007
Gasoline prices set more records at the pump today, while gasoline and oil futures prices turned mixed after the previous session's big advance, according to the Associated Press.
Retail gasoline prices rose 1.5 cents overnight to a national average price of $3.129 per gallon, a new high, according to AAA and the Oil Price Information Service.
Posted by at 2:40 PM | Permalink
May 17, 2007
U.S. families paid $1,000 more on average for gasoline last year than in 2001, as higher prices at the pump ate up a hefty portion of the increase in their paychecks, two consumer groups said yesterday, USA Today reports.
The average U.S. household paid $2,277 for gasoline in 2006, up 78% from 2001, according to estimates from the Consumer Federation of America and Consumers Union, the publisher of Consumer Reports. The numbers are similar to other estimates, including those from Moody's Economy.com.
Posted by at 9:49 AM | Permalink
May 16, 2007
Record gasoline prices have exposed the shortcomings of the aging U.S. refining system, but there are no quick fixes, a panel of energy experts told lawmakers Tuesday, according to USA Today.
That suggests gas prices will be vulnerable to refinery outages through the summer and one expert said gas shortages are possible, the paper reports.
Posted by at 10:38 AM | Permalink
The average U.S. household is already spending $1,000 more per year on gasoline than it did five years ago, two consumer groups say in testimony they plan to present to a House Judiciary Committee task force today, according to the Associated Press.
That's an increase of 85 percent, and rural households have been hardest hit because they spend about 20 percent more on gas than urban residents, the Consumer Federation of America and Consumers Union said, citing Labor Department figures, AP reports.
Posted by at 10:27 AM | Permalink
May 14, 2007
Gas prices vary widely across the USA. There are several reasons for the disparity, according to USA Today, including competition, taxes, gasoline blends, distance from refineries and even land values.
Nationwide, the average price for regular gasoline on Friday was $3.042 per gallon, up fractionally from the previous day, according to motorist club AAA. That price was nearly 9% higher than a month ago and about 5% higher from the same date last year.
Posted by at 10:24 AM | Permalink
May 11, 2007
Inflation at the wholesale level eased slightly in April even though gasoline prices surged for a third straight month, according to the Associated Press.
Wholesale prices rose 0.7 percent last month, down slightly from a 1 percent jump in March, the Labor Department reported Friday. The big force driving the increase was an 8.2 percent jump in gasoline prices, which followed increases of 8.7 percent and 5.3 percent in the two previous months.
Posted by at 9:38 AM | Permalink
May 9, 2007
The average U.S. gasoline price will hover near the $3 mark this summer and will set a record for the season, according to USA Today citing the Energy Department.
The average U.S. price for a gallon of regular gasoline will be $2.95 this summer, up 11 cents from the average last year and 14 cents higher than the price predicted a month ago, the Energy Information Administration, the Energy Department's statistical arm, said in a monthly report.
Unanticipated refinery closings heading into the busy summer driving season along with strong demand for gasoline worldwide led to the higher price forecast, the EIA analysts said.
Posted by at 10:21 AM | Permalink
May 8, 2007
With gasoline prices again reaching $3 a gallon, you might expect people to say they’ve had enough. But for the most part, Americans aren’t doing much more than complaining, according to The Providence Journal's Timothy C. Barmann.
average price of a gallon of self-serve regular grade gasoline in Rhode Island yesterday was $2.999 a gallon, according to a survey of local dealers by the state Office of Energy Resources. That’s up 10 cents from last week. Nationally, the average price broke a new record at $3.07 a gallon, up nearly 20 cents from two weeks ago, according to a survey by oil analyst Trilby Lundberg.
Posted by at 10:28 AM | Permalink
May 7, 2007
Trilby Lundberg's biweekly survey of gas prices nationwide has some unwelcome news for drivers, according to thecarconnection.com. The Lundberg survey says we're now paying the highest prices ever for gasoline on average across the nation-and it's not even peak driving season.
Lundberg reports that the average price of a gallon of gas nationwide is $3.07 a gallon, about 20 cents higher than last week. Two weeks ago, the number was $2.87.
Posted by at 10:27 AM | Permalink
April 30, 2007
Gas prices across the nation are $2.95 a gallon, the highest level since August, while the price of crude oil is averaging around $68 a barrel this morning on the New York Mercantile Exchange.
What's going on? It's a mix of greed, politics and supply and demand, according to the Detroit Free Press.
Posted by at 2:49 PM | Permalink
April 26, 2007
The Associated Press’ report last week that $4 a gallon gas was on its way should send a shudder through every reader of TheCarConnection.com.
As thecarconnection.com's blog states: "While we’re not global-warming enthusiasts like some of our readers and colleagues, we do believe that using less gasoline helps lower prices and will one day disentangle us from dealings with medieval dictatorships in the Middle East, South America and western Africa. And frankly, the specter of $4 gas makes a $50 fill-up for our Prius a little frightening."
Posted by at 12:24 PM | Permalink
April 10, 2007
The national average price for gasoline rose for the 10th straight week, according to USA Today. Based on figures from the U.S. Energy Information Administration, the paper said drivers paid an average of $2.802 a gallon for regular gasoline in the week ended April 9, up from $2.707 the previous week.
AAA, which also tracks gasoline prices, said the national average was $2.792 a gallon Tuesday. Retail gasoline prices are up 11.9 cents from a year ago at this time. Prices have risen 54.2 cents over the past 10 weeks, following a previous five-week decline.
Posted by at 10:13 AM | Permalink
March 30, 2007
Gas prices may be rising ahead of the summer driving season - in addition to the tensions in Middle East - but consumers seem to be taking the hikes in stride, according to the New York Times. The price of gas has climbed over the last two months to a national average of more than $2.60 a gallon. It has topped $3 a gallon in many parts of the country, particularly along the Pacific Coast.
Posted by at 9:57 AM | Permalink
March 27, 2007
Gasoline prices are on the rise again, according to USAToday, citing figures from the Energy Information Administraton, the statistics arm of the Energy Department
The average for a gallon of unleaded regular was $2.61 yesterday, up 3.3 cents in a week and is 11.2 cents more than a year ago.
A different survey more or less agrees, the paper said. A daily tally of prices at some 80,000 stations by the Oil Price Information Service, published by travel group AAA, showed the U.S. average was $2.581 Monday, up 0.4 of a cent overnight, up 3 cents in a week, and 7.8 cents more than the year-ago average.
Posted by at 11:30 AM | Permalink
March 8, 2007
Gasoline prices have jumped above $3 a gallon in some parts of California and Hawaii, and may hit that level in other parts of the country when the busy summer driving season approaches, according to the Associated Press.
Analysts say drivers should brace for more increases in the coming weeks. Crude oil, which makes up about half the price of gasoline, is trading above $60 a barrel. Higher demand, refinery maintenance and fears about springtime shortages are also driving up prices, particularly on the West Coast.
Posted by at 12:39 PM | Permalink
