OIL DROP BRINGS NO RELIEF TO THE PUMP
Tim Campbell
By JOHN AIDAN BYRNE
Last updated: 2:18 pm
August 3, 2008
Posted: 4:07 am
August 3, 2008
Motorists who have watched the price of crude oil drop 15 percent in
the past three weeks while the average price at the pump has come down
just 3 percent are getting drilled, two leading energy analysts
claim.
The two claim that owners of the US's 160,000 gas stations are not
dropping retail gas prices in line with the drop in oil because they
want to fatten their anemic margins.
"Of course, motorists are getting hosed," says Weeden & Co.'s Charles
Maxwell, who's known as the "dean" of energy analysts.
"The dealers at the pump will often wait several days before passing
along the drop in crude prices - and I don't blame them," Maxwell
said. "If their competitors aren't going to drop the price, the dealer
isn't."
Jeff Lenard, a spokesman for the National Association of Convenience
Stores, whose members own 2,200 gas stations, admitted that some of
his members are slow to drop pump prices as oil prices fall.
"They need to make money, otherwise they won't be in business," said
Lenard.
"We wouldn't look kindly on gas stations not passing along a drop in
the price of oil," says AAA's Robert Sinclair.
"The chart and data we gathered absolutely proves that as oil goes up
gas rises at a faster rate, and as oil goes down gas falls at a slower
rate," says Gerry Mastrianni, managing director of the Florida-based
trading firm. "The reason is price gouging at the pump."
The price of oil rose to $125.10 a barrel on Friday, falling from its
July 11 high of $147.27. The average price of a gallon of unleaded gas
dropped to $3.96, according to the US Dept. of Energy. It hit a high
of $4.34 on July 7.
http://www.nypost.com/seven/08032008/business/oil_drop_brings_no_relief_to_the_pump_122827.htm
Starkiller
Ironically, around here, I can find regular at $3.61 a gallon and
premium is at $3.83. Diesel is down to $4.25. At Hagees (pronounced
Ha-Jeez) I believe they are Algerian. They have two stations, both
BP franchises, within 200 yards of each other. They're are selling it
for just a few cents above wholesale. They make a greater profit
margin selling what convenience stores sell for the ridiculous prices
they charge.
It should be noted, though, that the highest regular sold for in this
area at the recent peak was around $4.10 a gallon.
And the fact that the Valero refinery is here means that the finished
product only has to be transported a few miles to hit the local
stations which costs the station owners less.
I always thought that refinery was a handy thing to have around.
Regards
Starkiller
Eddie Haskell
"Tim Campbell" <tim...@sbcglobal.net> wrote in message
news:b907ea72-6b64-4c84...@56g2000hsm.googlegroups.com...
> OIL DROP BRINGS NO RELIEF TO THE PUMP
Lies.
Area gas prices still giving up gains
Bizjournals.com, NC - 1 hour ago
Area gasoline prices dropped again over the weekend and could fall as low as
an average of $3.75 per gallon by the Labor Day holiday weekend if crude oil
...
Metro gas prices continue to slide
Atlanta Journal Constitution, USA - Aug 2, 2008
By STAFF REPORT Saturday morning's metro area average was $3.86 for regular
unleaded, according to AAA's gas station survey - down 24 cents a gallon
from ...
Prices at the pump still falling
Bizjournals.com, NC - Aug 1, 2008
The average price for gas in New Mexico fell 12 cents during the past week,
from $3.99 per gallon of unleaded fuel to $3.87, according to AAA New
Mexico's ...
Gasoline prices fall for second consecutive week
Bizjournals.com, NC - Aug 1, 2008
Gasoline prices in Texas fell this week for the second week in a row,
according to the AAA Texas Weekend Gas Watch. Drivers in Austin are now
paying an ...
AAA Texas: State Gasoline Prices Continue Rapid Downward Trend
MarketWatch - Jul 31, 2008
IRVING, TX, Aug 01, 2008 (MARKET WIRE via COMTEX) -- For the second week in
a row, gasoline prices at the pump fell significantly in Texas, keeping in
line ...
Gasoline Drops Below $3.90 a Gallon
Consumer Affairs - Aug 1, 2008
By Joe Benton The national average price of a gallon of regular gasoline
dropped to $3.89, marking 15 consecutive days of declines. ...
Gas prices fall in Texas
El Paso Times, TX - Aug 1, 2008
AP IRVING, Texas - Gas prices in Texas have fallen for the second week in a
row, reflecting the recent fall in wholesale crude prices. ...
-Eddie Haskell
Starkiller
wrote:
Dropped another couple cents here today.
Regular BP now at $3.58 a gallon near my house.
Up the road 10 miles it's $3.53 at Murphy USA.
http://www.memphisgasprices.com/
'A government big enough to give you everything you want, is
big enough to take away everything you have.'
"You cannot enrich the poor by impoverishing the rich."
Tim Campbell
> On Mon, 4 Aug 2008 13:21:53 -0500, "Eddie Haskell" <h...@rrat.com>
> 'A government big enough to give you everything you want, is
> big enough to take away everything you have.'
>
> "You cannot enrich the poor by impoverishing the rich."-
"Big-business that is big enough to give you everything you want,
will become big enough to take away everything you have."*
*as our politicians have merely become the representatives of the
corporations who placed them in their positions.
"Yet you can enrich the rich by impoverishing the poor."