Taxes.
and massive refinery fire at Carson CA , Marathon Oil-one of the countries largest
And refining capitity.
Yup. Was going to say exactly the same thing.
Taxes and cost to refine and ship are inflexible.
“Taxes.”
Part of it. Back in the early 90’s, when the economy was manipulated into a new gear to create an appearance of success, everyone bought into it when a forced nirvana seemed to be the answer to our country’s problems. So the public was manipulated and went through the growing pains of wages going up inconsistent with the price of a loaf of bread, and had to catch up, which it did...but continued up from there because people thought that success was based upon the DOW and S&P and not the free market. The DOW high in 1990 was 2999.75. This year it peaked at 29600 in February. The feeling was the higher the stocks, the greater the success of which everyone should reap the benefits. But it cost them over time.
In the beginning, 1990, it was wages catching up to the created expectations. In the current which I hope is the end, it is the created expectations needing to catch up with the wages. As long as the businesses are forced to keep their heads above water using 2019 wage levels, the price at the pump is not going to come down because there is no preparation for loss of balance to pay them. And when a created crash is implemented on a false economy, one with no bail out, we are right back into 1929.
Sound gloomy? On February 13 of this year, the Dow was just under 29600. At this very moment it is at 20505. Is it an adjustment, or a failure? Either one is perceived. We got there through perception, we now need to get back the same way in a least painful way. And the cost of everything is the last thing to catch up.
rwood