[xzins]

Any bubble in the price of oil that busts won't hurt the production/supply chain. They insulate themselves by immediately raising daily prices at the pump to reflect the daily price of oil, gas, etc. In fact, they seem much more willing to raise it immediately than they do to lower it when the market goes down.

[steveegg]

In fact, they seem much more willing to raise it immediately than they do to lower it when the market goes down.

That's mandated in Wisconsin. Under our absurd minimum markup law (supported by DemonRAT governor Jim "Craps" Doyle (WEAC/Potawatomi-For Sale) and various RINOS and RepublicRATs), gas stations must tack on the higher of 6% above what they paid for the gas in their tanks or 9.18% above what that day's average terminal price is.

[Lunatic Fringe]

They insulate themselves by immediately raising daily prices at the pump to reflect the daily price of oil, gas, etc. In fact, they seem much more willing to raise it immediately than they do to lower it when the market goes down.

They did a story on the local news and asked a gas station owner how he sets the price for gas. He said he gets in his car at 5:00am, drives up the road to big Shell/Exxon/Mobil/BP corner of gas stations, and sets his price $0.01 less than the cheapest price.

[rightinthemiddle]

There should be more of a disconnect between oil prices and gas prices. There is actually on over-supply of oil right now, since the refineries are behind.

Oil should be lower, in proportion, to the price of gasoline right now.