Gas Not Dropping Below $1.50 Until Nov.

Reuters ^ | 09-08-03

[Brian S]

Mon September 8, 2003 01:45 PM ET By Tom Doggett

WASHINGTON (Reuters) - U.S. drivers can expect high gasoline costs through the autumn, with the national monthly pump price not falling below $1.50 a gallon until November, the government said on Monday.

Gasoline costs, which hit a record high of almost $1.75 a gallon two weeks ago, should fall to a monthly average of $1.67 in September, $1.55 in October and then finally drop below $1.50 in November, the Energy Information Administration said in its monthly energy forecast.

Pump prices jumped in August because of strong demand, and at the same time the power blackout closed several refineries and there was the shutdown of a major gasoline pipeline in the Southwest.

"This month, pump prices should begin to recede because many of the local supply problems have been alleviated and the driving season winds down following the Labor Day weekend" the Energy Department's analytical arm said.

Meanwhile, demand this winter for heating oil, electricity and natural gas should be lower, but consumers will be paying more overall to heat their homes with natural gas, EIA said.

The agency said it expects this winter to be normal, which should reduce demand for heating fuels compared to last year's much colder weather.

"We're assuming normal weather, so that's going to be warmer (temperatures from last year) and that means demand is lower," said EIA analyst Dave Costello.

As a result, the season's heating bills should also be lower. The one exception is for natural gas, which is expected to have less demand, but will cost much more to use, according to Costello.

"The natural gas (price) will be enough higher that it will offset the decline in demand for natural gas and the bills will actually be higher," he said.

[The_Victor]

U.S. drivers can expect high gasoline costs through the autumn, with the national monthly pump price not falling below $1.50 a gallon until November, the government said on Monday.

That's interesting, considering I've been paying $1.49 for over a week now.

[oceanview]

and then they will gouge on heating oil prices, claiming they didn't refine enough of it to meet demand. nothing will be done, we can use our tax cuts to spend on higher energy prices instead of helping the economy.

[lilylangtree]

High of $1.75? It was higher. Try $1.88 for regular and over $2 for premium. Interesting when the announcement that DOE was asked to investigate the price dropped a penny the next day. Collusion? You bet with no real gas shortage.

[ZGuy]

Diesel is as low as $1.21 now (in Georgia). The rest of the country averages out in the $1.40 range. And no smog checks too! I will never own another gasoline vehicle.

[lepton]

Interesting when the announcement that DOE was asked to investigate the price dropped a penny the next day

A penny is evidence of collusion? Where I live you can see shifts of 5 cents most every time a new shipment comes in.

[SW6906]

Seattle Costco (cheapest gas around)

Two weeks ago: Regular $1.91/Super $2.09

Today: Regular $1.77/Super $1.89 (I think)

[BSunday]

Gas Not Dropping Below $1.50 Until Nov.

Gas is going to drop below $1.50 some day? Awesome!

[sinkspur]

Regular gas is at $1.40 here in the DFW Metroplex. I'd bet it's even cheaper in Oklahoma, with lower gas taxes.

[BSunday]

In Norfolk at the Navy Exchange, the Citgo station is at $1.56 right now. Everyone else is at $1.59

[WestPacSailor]

Georgia usually has the lowest gas prices in the South, if not the country. Even here in the Communistwealth of Virginia we're already below $1.50...got it for $1.48 last night.

I checked my favorite reference site, www.gaspricewatch.com, but it appears to be temporarily closed for construction.

[DittoJed2]

Paying $1.47 now in Ohio.

[WestPacSailor]

BSunday, Do you live in Va. Beach?

[eyespysomething]

Funny, I just filled up at $1.41

[PhiKapMom]

I never have paid $1.50. Paid between $1.40 and $1.45 for the last few weeks!

[OXENinFLA]

http://www.fuelgaugereport.com/

Note the crude price drops while the National avg. continues to rise.

Can we say PRICE GOUGING yet?

[WestPacSailor]

Can we say PRICE GOUGING yet?

I have been saying that for years, but nobody listens to me...not even the voices in my head.

Also, what is it with "mid-grade" gas? Has anyone bought/driven a car that called for 89 octane? I've only ever seen 87 (regular, for most cars & trucks) and 92/93 (for high performance cars). Isn't 89 just a marketing gimick to make people pay for gas they don't need?

[BSunday]

Nope, in Norfolk. Did you do your west pacs on a sub or a target?

[stylin19a]

Pump prices jumped in August because of strong demand, and at the same time the power blackout closed several refineries and there was the shutdown of a major gasoline pipeline in the Southwest.

Rules for explaining gasoline prices...high or low:

1. mention refinery problems...fires/shutdown etc...
2. fail to mention any reduction in the cost of a barrel of oil (last week it was noted oil under $30.00 a barrel).
3. Mention a "catastophe" (blackout/pipeline shutdown) that had nothing to do with rise in the price of gasoline in the first place. Never consider the rise was already here before said "catastrophe"
4. Never predict with any degree of certainty when and how long the prices will go up, but predict with an exact degree of certainty when and how much they will go down.

</disgust off>

[WestPacSailor]

Did you do your west pacs on a sub or a target?

LOL! Targets...BIG TARGETS. One in '86-'87,and another in '88 on Carl Vinson (CVN 70), '90, '91 on Peleliu (LHA 5). Also did two Med Cruises on Enterprise '96, '98-'99.

How 'bout you? Old school WestPac sailor?