Wednesday, August 30, 2006

Gas Prices Expected to be Close to $2 by Election Day

This isn't the USA Today headline...they say by "Thanksgiving", but being the cynic that I am, I told a someone at work at the beginning of the Summer when gas was well over $3 a gallon that don't worry it'll be below $2 by election day...and now lo and behold its in the news...

From USA Today:

Gasoline prices are falling fast and could keep dropping for months.
"The only place they have to go is down," says Fred Rozell, gasoline analyst at the Oil Price Information Service (OPIS). "We'll be closer to $2 than $3 come Thanksgiving."

Travel organization AAA foresees prices 10 cents a gallon lower by the end of next week. It reported a nationwide average of $2.84 Tuesday, the lowest since April 20.

Now here are a few questions:

Has the unrest in the Middle East ended?
Is Iraq no longer a threat?
Oil pipeline in Alaska fixed?
Threat of Hurricanes in the Gulf over?
People no longer driving?

Of course the answer to all is no...if anything the news in the Middle East gets worst by the day.


  1. Whenever I drive by rapidly fluctuating prices at gas stations, I wonder the same thing...whassup with this??? Its obvious we don't have all the facts and I can't help feeling like the consumers in this country are being jerked around.

  2. Easy answer to the question.

    Big Oil wants the R's to stay in power. They temporarily drop the price to change the political atmosphere. They forego billions in profits until Nov. 8, then the sky's the limit.

    Occam's razor applies -- the simplest solution is most likely to be correct.

    Remember, you heard it here first.


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