Posted on 04/11/2011 3:49:05 PM PDT by NRG1973
Soaring gas prices are starting to take a toll on American drivers.
Across the country, people are pumping less into the tank, reversing what had been a steady increase in demand for fuel. For five weeks in a row, they have bought less gas than they did a year ago.
Drivers bought about 2.4 million fewer gallons for the week of April 1, a 3.6 percent drop from last year, according to MasterCard SpendingPulse, which tracks the volume of gas sold at 140,000 service stations nationwide.
The last time Americans cut back so much was in December, when snowstorms forced people to stay home.
Before the decline, demand was increasing for two months. Some analysts had expected the trend to continue because the economic recovery was picking up, adding 216,000 jobs in March.
"More people are going to work," said John Gamel, director of gasoline research for MasterCard. "That means more people are driving and they should be buying more gas."
Instead, about 70 percent of the nation's major gas-station chains say sales have fallen, according to a March survey by the Oil Price Information Service. More than half reported a drop of 3 percent or more - the sharpest since the summer of 2008, when gas soared past $4 a gallon. Now it's creeping toward $4 again.
(Excerpt) Read more at apnews.excite.com ...
I hope that fewer people travel during the summer this year. It’s the only chance of getting prices to fall.
Gas prices are the lead story on @ABCWorldNews and the other nightly network broadcasts
- via Twitter
It’s about time!
After gas prices peak it will likely be a great time to go short on gasoline and oil ETFs. Once the market goes into a spiral the prices come down fast.
My thinking is that as long as I see people using gas-powered implements to do the job of a broom or rake, gas prices aren’t high enough yet.
Yeah right, what economic recovery?
We’re making progress. I couldn’t find one reference to Bush in the article!
People ARE cutting back. Because the Kenyan has managed events that are raising gas to $7 a gallon, just as he said on the campaign trail back in 2008.
My son brought our old car, a small one to the station last night. $50 didn’t fill it. He doesn’t know how he’ll get to work this week.
Let’s see this slide off the “teflon” president. I saw a graph a couple of years ago, where Bush’s approval ratings exactly mirrored gas prices. I’ll be very surprised if obama gets by with this.
$4.30 in Hollywood. Time to get the bike out..
I'm not sure that any reduction of gasoline consumption in the US will have much of an impact on global oil (and gasoline) prices. Its already been determined that Japan will have to burn some oil (diesel fuel) for electricity because of the damaged nuclear power plants there. Additionally, countries in the Middle East and Far East are consuming more oil.
One thing, though. If people don't drive as much this summer it will definately be a hit to our economy. Nobody just drives around...when we drive we are going somewhere and usually going somewhere to spend money.
That's not what I see when I read the article. It's down from last year, and that's a different deal. Yes, there will be a seasonal variation in the weeks to come, but year-to-year numbers tell a different story.
The reason is as elementary Econ as you can get: Cost up, sales down (all other things being equal).
They're probably including some sort of free gas vouchers in the envelopes with the monthly Welfare checks.
All he has to do is keep his "base" happy, and the heck with all us evil rich (anyone with a job) people.
I'm guessing that the approval ratings polls will dry up faster than the Las Vegas streets after a rainstorm. Or at least the reporting thereof in the LSM.
Look for worse than summer of 2008, that was like the inside of a tomb.
Said on the news that people will go to restaurants less and get haircuts less often.
Watch for a spike in mullets and dreadlocks.
;^)
He needs more than just his base to win re-election. Unless there is Dem voter fraud like we've never seen before.
You could be right! I remember that in 2008 the price for diesel fuel where I live (Central New York State) reached $4.49 in July of that year. Diesel fuel has already reached $4.39 my the local filling station and the price of oil still hasn't come close to a peak. I know that diesel fuel and gasoline have different pricing variables but I think the fact that we are so close to the all time high for the one (diesel fuel) is a good indicator what will happen with the other (gasoline).
That reminds me of the jobless guy who used to live across the street. He used to wash his vehicle every day and then spend 20 minutes drying it with a leaf blower.
I will be keeping a bunch of 5 gal. gas cans full to power up my tiny generator at least until hurricane season is over.
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