Gasoline: Price Gouging?

Gonz

Gonz

molṑn labé
Staff member
USA Today said:
Rising cost of gasoline ignites talk of price gouging By James R. Healey and Barbara Hagenbaugh
USA TODAY


Prices of gasoline at the pump and crude oil from which it's made both spiked Tuesday, showing that petroleum traders remain jittery about war with Iraq, and prompting motorist club AAA to allege price gouging.

Crude oil for March delivery closed at $35.44 a barrel, up a hefty 96 cents from Monday, after hitting a 26-month high of $35.60 during the day. March gas was $1.0559 a gallon, up 2.84 cents.

More immediate, regular-grade gasoline averaged $1.605 a gallon Tuesday, according to transactions at 60,000 service stations published by AAA. That's up from $1.571 Monday, a jump more typical of a week or two. It normally takes weeks or months for oil increases to show up at the pump.

''This looks uncomfortably close to price gouging,'' AAA spokesman Geoff Sundstrom says. ''The fundamentals do not justify U.S. drivers paying the highest gasoline price on record for the month of February.''

''To say that's price gouging is wrong,'' counters John Felmy, chief economist at the American Petroleum Institute, the oil companies' trade group. ''Crude oil is up 24 cents a gallon since November and gasoline prices have gone up roughly 24 cents since November. It's the market at work.''

AAA, which claims 44 million members, says it would support government action against companies that exploit war fears for profit.

Further contributing to the rise in crude-oil prices in the view of some analysts: ExxonMobil CEO Lee Raymond admonished the government Tuesday not to dip into the Strategic Petroleum Reserve to keep gasoline prices down. Some members of Congress and citizens' groups have urged the White House to do so.

Raymond's comments had clout because he runs the world's largest publicly traded oil company.

The reserve currently has 599.3 million barrels, according to the Department of Energy -- enough for a month.

Heating oil to be delivered next month was $1.0576 a gallon Tuesday, up 1.33 cents. Price jumps and cold weather have pinched the northeast USA, biggest user of heating oil.

But the problem might be overstated, Federal Reserve Chairman Alan Greenspan said Tuesday. He said that, while inventories at refineries and in pipelines have dropped, the amount at retailers and in home tanks has increased. He also noted that demand soon will wane as spring weather arrives.

''So in that regard, the outlook, other than the impact of a war, is really, obviously, quite favorable,'' he told members of the Senate Banking Committee.

That shocked energy officials and private analysts, who see only signs of tighter supplies and higher prices.
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Maybe it's too many SUVs & not enough Previas
 
I mentioned this in one of the other threads. The wholesale price went up 1% and the price at the pump went up 35%. They're fucking assholes, hyping a non existant shortage. What fine patriots dubya runs with....:hmm:
 
:retard: Yeah...thats the answer....Everyone who doesn't like the prices just stay home. Jerrek says its OK.
 
my brother told me to go get gas last night because the station up the street was the only only in town that hadn't raised prices to $1.75, i paid 1.53 and was damned happy with it.
I wouldn't drive if i didn't have to, i would much rather take the bus, unfortunately its a pain in the ass to get here by bus and it's still a bit cold to go biking 18mi. (-14C here right now)
 
I have to drive for my job too. I'd like Jerrek to do my job for just one day.....so I could *twirl on my head* when he starts crying halfway through the day.
 
Prices here are about $1.75, which is way high for IN. Last night, at the Murphy station (affiliates with Wal Mart) it was $1.53 & people were lined up 10 deep. :rolleyes:

Squiggy said:
I mentioned this in one of the other threads. The wholesale price went up 1% and the price at the pump went up 35%. They're fucking assholes, hyping a non existant shortage. What fine patriots dubya runs with....
Click to expand...
That's why I posted it. As far as patriots go, I'd bet my last dollar that George's Marathon station & Dubya have no common links, except living in N America. Supply & demand. Buy small cars & save the SUVs for weekends & the price will drop.
 
I thought the idea for a commercial company was to make a profit? Opportunists have been around for years. I'm sorry if I don't share your outrage but we in the UK have been paying far more than you do for years. If I was paying a mere $1.75 /gallon I'd be jumping for joy! :eek:
 
War fears are high, Venezuela is in turmoil, US strategic reserves are at the lowest level in 30 years, the winter is being harder than normal causing an increased usage in heating oil. To me its just a triple witch causing a mass speculative shakeout. Todays rising prices never reflect the here and now. Its always spiking over what is on the horizion. Price drops however are always ex post facto ... dontcha just love how that works?
 
Aunty, you bring up an interesting point. However, look at it from the other side. Don't you think it would be better to get rid of your higher taxes & other costs instead of thinking we're not paying enough (no, that's not what you said exactly but it can be construed as such). It's the same in the great hinterlands of Canada. There is more than enough crude that none of us shoud be paying (fill in amount here). The UK, Europe in general, is way, WAY overtaxed on petrol. Demand your governmetns lower taxes. Throw your tea in the sea & drive cheap.
 
Hmmm...The Texaco station just outside the base gate is having free gasoline for active duty members from 1600 to 1900 tonight (Thursday, 13 FEB 2003). Limited to 6 gallons, though, but I think I'll drop by. :D
 
HOLY SHIT!!!! Here it's about 1.60 for Regular, 1.80 for Premium. Upped my daily driving cost to about 9.00 a day. :disgust2:
 
Oh, one of those :eek6: only thing they're really missing is the arsenal :D

Guess you kinda need one if you wanna transport the whole family in one trip without tying children to the luggage rack, huh?
 
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