Record Gas Prices: Some Analysts Predict $3 A Gallon By Year's End

LA Daily News ^ | Mar 1, 2004 | Brent Hopkins

[hardhead]

Los Angeles gasoline prices hit a record $2.178 a gallon for regular on Monday -- up more than 50 cents since Jan. 1 -- and some analysts openly talked about it hitting the once-unthinkable mark of $3 a gallon, possibly by late this year.

The Automobile Club of Southern California reported that the price of gas soared 40 cents in the past month, putting it more than 22 cents above price a year ago and 1.1 cents higher than the previous high of $2.167 on March 21, 2003.

[31R1O]

You hit the nail on the head, my friend.

[Paradox]

I just moved, and purposely chose a place that was fairly close to a train station, which is used as part of a mass transit system here. I go from driving nearly 70 miles per day, now down to 10. Just in time! As a bonus, my employer pays for the monthly transit ticket (saves them money in that they dont have to spend on more parking spaces).

[rwfromkansas]

Gas prices aren't rising here....

Very nice and low.

[RayChuang88]

I've heard that, too. I expect the price to come down because the price has reached a point where sales will actually start falling as people drive less. The refineries should complete their conversion within the next 14 days and I expect by late March 2004 the price of gasoline to drop as much as 25 to 30 cents per gallon.

Personally, I think the best solution is for Bush to announce that the entire USA will use one formula for gasoline and diesel fuel. That way, gasoline can be shipped anywhere in the USA to relieve spot shortages easily.

[rwfromkansas]

If they did go to 3 bucks though, Bush would be screwed unless he hit his energy plan 24/7.

[Saundra Duffy]

If we have to pay over $3/gal for gas, President Bush is a one termer.

[Capt.YankeeMike]

uninformed you are...my SUV gets 28mpg highway, 22 city. not bad
The wily ol Captain

[rwfromkansas]

not even 1.50 here....

[goldstategop]

That's pretty good mileage.

[<1/1,000,000th%]

algore's in LA???

[varon]

I thought with Sadaam out of the picture and the Oil for Food bs abolished that there'd be a glut of oil coming into the market and thus decreasing price?

Yep, and I'll bet you thought we would find WMD also ;-)

[GraniteStateConservative]

The Saudis just adjust their output accordingly, I guess. The OPECers all benefit from high prices, as long as we don't squeal.

[hardhead]

1.63 in NW central Wyoming.

[chuckwalla]

The problem is that oil co. profits soar.
That is the reason for high prices.
There is no unavoidable reason for high prices.
If someone just picked your pocket would you say that crime is higher elsewhere so it's ok to steal mine?

[GraniteStateConservative]

It would be 8-10 years before we even got the oil from there.

[jungleboy]

FYI - Gas prices increasing from $2 to $3 would cost the "average"* consumer approx $60 month.

* Average: 15,000 miles per year at 20 miles per gallon

[richardtavor]

It is puzzling--I am in the business, and Iraq has restored 3.2 MMBO per day--the most that they ever produced is 3.5 MMBO per day. So who is curtailing production? Rumors are that the Saudi Fields are starting to decline (this I doubt). The other rumor is that OPEC is trying to keep the price up so that the US economy will tank and Bush will lose the election--if that were so, OPEC must really hate Bush to spend $billions to defeat him. My own opinion is that the cold winter dipped into the fuel oil supply more than anticipated--and the refineries have not switched yet to gasoline. If that is the case, we should see gas prices dip in late April or early May.

[traumer]

October Surprise ......

[GraniteStateConservative]

That's Bush's answer to the question when he's asked about it this year? It doesn't exactly tickle the ears.

[Gefreiter]

$ 1.81 for premium in Western MA.