Skip to comments.Slump at the Gas Pump Continues Ahead of Summer Driving Season
Posted on 05/13/2017 2:41:55 AM PDT by Paul R.
The bulk of the decline in gasoline prices can be thanked on a recent plunge in crude oil prices as concern over weak demand and high supply has offset sentiment about last Novembers OPEC production cuts. The number of U.S. rigs drilling stands at 877, a rise of 7 in the last week, but 462 more rigs- 111% more- than a year ago. While OPEC cut oil production, U.S. and Canadian oil companies have filled the gap, leaving OPEC to lose market share. How long the charade continues is up to OPEC, who will decide in a few weeks whether or not to extend production cuts. Gasoline demand has also been somewhat weak thus far in 2017, with the Energy Information Administration reporting demand is 3.5% lower so far versus 2016.
(Excerpt) Read more at business.gasbuddy.com ...
I haven’t heard much said about refining capacity lately. During GWB’s admin, that was the big problem cited about gas prices.
I believe a number of US refineries have increased capacity, "maintenance season" seems to be behind us, and now demand is down.
The EIA projects higher demand (and prices), but so far it isn't happening.
Any mention of OPEC Arabs taking it in the shorts (if they wear any) is always a good thing. For too long, the US had made itself a lackey of OPEC, when we have had a good lot of the stuff right here, at home.
Can you imagine what would have been, if nutless Jimmah Cahtuh had told OPEC to fly a kite, instead of having the country suffer as it did?
Here in SW Pa, they’re actually going up ... not by much in the last two or three months, but they ARE going up.
I guess most people aren’t old enough to remember the gas rationing, lines, odd and even days, sweaters and turning the thermostats down.
Iranian hostages, 13% inflation, Peak oil, population bomb, and all the other Malthusian BS. Oh, and Disco. Yeah the 70’s sucked.
I was only a kid but I remember the 70s pretty well.
Other than some TV shows, movies, and non-disco music, not much else was that great.
Gas is off of it’s price point. It will self correct soon enough, by the gas price going down, or the sale of the Dodge Demon going up.
Military pilots could not get their flight hours in, due to not having the fuel necessary .... and this was a T.A.C. ‘ready-to-deploy’ fighter wing!
You forgot velour shirts and platform shoes.
At least we got ‘Who’s Next’.
Not sure why gas prices here went from $2.13/gal to $2.49/gal here OVERNIGHT ... YIKES! That’s quite the price hike!
I’d like to see gasoline e selling g for ten cents a gallon. And I want my money back for all the over priced gasoline that Zero’s reign of error caused.
In October of ‘73 I just had my license for one week! My first tank fill up was 56¢ a gallon. A week later I paid $1.20 a gallon! I think it went down below a dollar again when Clinton was President.
When fuel jumped in the early 00’s, one of my uncles said something very similar.
I hope I live long enough to see OPEC completely bankrupt.
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