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How high do you predict gas prices will get this summer?
Asked at Speedway Shell, 1733 Mass. on April 26, 2007
“I’ll guess $3.40 around here. Things seem tenuous with the oil supply, so I can see it getting that high. I hope not, but I can see it happening.”
“I really have no idea, but probably no higher than it’s at in California right now.”
“I’ll say $3.49. I think they’ll continue to rise during the summer along historic trends, but here in Kansas it will stay a bit lower than the rest of the country.”
“I’d say $3 is pretty much the most it will be. I can’t see it going much higher. I think there will be a public outcry to keep it low.”
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Comments
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jonas (anonymous) says…
one millllllliiiiiooon dollars!
Pinky in my mouth!
jonas (anonymous) says…
Won't matter to me in Beijing. You'll have to tell me how high they go.
Unix_Admin (anonymous) says…
$3.89
blue73harley (anonymous) says…
As high as the oil companies think they can get away with.
I truly believe they spike the prices up for awhile then lower them to a point somewhere above where they originally were. That causes us schmucks to eventually make stupid statements like, "$3 gallon isn't so bad". While big oil rakes in obscene profits.
Countdown to someone saying, "Well, our gas is cheap compared to what people in *fill in the blank* are paying!"
jonas (anonymous) says…
Well, our gas is cheap compared to what people in the space station are paying! Do you have any idea what their import tariffs are?! Insane!
average (anonymous) says…
The immediate problem is a refinery crunch. From Katrina to Election 2006, the oil companies deferred as much maintenance as possible. Now, they can't delay maintenance any longer and the delays have lead to several failure induced shutdowns. Combine this with the facts that:
Demand keeps growing (up another 2.5% in the US this year).
The crude oil supply keeps getting lower quality (heavier, sourer... we've simply stopped finding much "good" stuff),
And, no investment was done in increasing refinery capacity (and don't blame the Dems/Ecolobby... the Republicans had full control of the Congress, White House, and most state governments for six years).
Thus, we have a very poor looking unleaded inventory, and will be above $3 by Memorial Day.
The summer will bounce around between $2.95 and $3.75 (breaching $4 in California) depending on the tropical weather outlook.
The crude supply is not quite yet the major factor, though I think we are past peak and will see declining world oil production starting this year.
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
Happy Richter Scale Day to all.
Unix_Admin (anonymous) says…
Das_...That was really funny! (post 6:23am)
average (anonymous) says…
Bowhunter -
I'm not sure if that was directed to me. I don't hold that the Congresscritters have anything to do with gas prices. I think geology and profit-taking have more to do with it. Investment in refineries has mostly been avoided as the oil companies realize there will be less crude available as time goes on. But, every time it comes to refinery shortages, the right wing goes on about "we can't build any more refineries because of the Democrats/ecology idiots", which doesn't make any sense at all, as noted above.
merrill (anonymous) says…
The higher the gas the better for the environment cuz americans respond most to a financial crisis not to more pressing needs such as global warming.
BABBOY (anonymous) says…
Wow, some pretty detailed responses to a simple question. I assume that some of the above are in college in light of the detail in the analysis. No body with a real job could put that much thought into the economic factors of the price of oil.
From just a working guy, the following seems relevant. The oil companies seem to be turning a large profit. I do not think they have been holding back and agree completely with BlueHarley that they will charge as much they feel they can get away without causing people to buy hybrids or start demanding change.
Bowhunter's rant about the democrats is not relevant because I do not think the democrats can do anything to stop it. They do not have veto power to overide King George and that means they do not have the political juice to really put any price freeze on anything. It would be vetoed and called government interference with the free economy or some fiction a long those lines. Further, Bowhunter's line of reasoning could be used by the oil companies to raise the price of oil. I think the only reason oil industry kept the price under $4.00 last year was so as to not embarrass their champion George Bush when the country turned on them last summer.
Thus, like BlueHarley said, they will charge as much as they can get away with which is what happens in a free economy. So, we need to demand alternative energy sources, complain loudly, and otherwise raise a stink like happened last year. It is the only thing they will listen to in that the last thing an oil company wants is hybrids and electrical cars or any other vehicle that is not dependant on their product.
This comment was removed by the site staff for violation of the usage agreement.
snap_pop_no_crackle (anonymous) says…
Our gas prices are really cheap compared to what people on Planet Mongo are paying.
The_Original_Bob (anonymous) says…
The gas prices this summer will be what they are and there will still be ample demand.
Gootsie (anonymous) says…
In honor of Richter Scale Day, I'd say 4.7 dollars.
GSWtotheheart (anonymous) says…
1. I think it will go higher than it is right now.
2. the gas station pays one price for the fillup of their tanks
3. the gas stations fluctuate the price we pay sometimes on a daily basis, of the gas they have in their tanks (see # 2 above)
4. when prices get really high and then are dropped again, it's a trap to make us appreciate the lower (which is actually a high price) price of gas i.e., it was $3.00 last week, this week it's only $2.89 wheeeeee
5. I never thought I'd see the day of $3 a gallon gas when I can remember paying 78 cents a gallon about 8-9 years ago
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
Depends on how long I can make 432 gallons last.
The_Original_Bob (anonymous) says…
R_I - Are you going to have to cut back on margaritas this summer?
http://www.factorydirect2you.com/ta.h...
staff04 (anonymous) says…
I heard something on the radio the other day that said that some analysts think that since breaching the $3 threshold didn't have much impact on demand or seem to anger the public that much, that it was likely that we would see prices get up around $4/gallon.
Makes me glad I own a small car. I can't imagine having to drop $130 to fill up my Expedition weekly.
conservativepunker (anonymous) says…
$20,000.00 a gallon. (I mean come on, if we're gonna panic and get our panties in a wad, let's do it right.)
paladin (anonymous) says…
Glad ya'll got er figured out by now. That's what we been doin ta the price a eggs n milk fer nigh on a coon's age. Hike er up real high like, then set er back down some and folks is happy. Stupid, but happy. Kinda like my new attitude. Kinda like what the U S gobment does with folkses tax money they haul in durin the year. They give em back a little bit come next year an folks is happy as ticks on the hindend of a big yella dog. Stupid, but happy. Kinda like what that George, the first, said awhile back. It ain't the problem that's the problem, it the perception of the problem that's the problem, stupid.
crazyks (anonymous) says…
Blue Harley is right.
I noticed the last time gas was hovering around $3 a gallon, there was such a hue and cry...and suddenly, oil prices dropped again, and gas prices started coming down.
They went down, and down again...it was almost like in the old days of gas wars...but then it hit $2 a gallon, and stalled. Now, no one a couple of years ago or so would have ever considered $2 a gallon "cheap".
Yet it seemed to stay there. We had a couple of stations here that actually took their price down to $1.85. Then suddenly, in just one day, "something happened" in the world of oil, and the price went back to $2...where it again stalled for awhile.
I personally think the oil companies got scared when it went below $2, and didn't want people to get too used to it. I think they plan to keep the price from going below $2 a gallon from now on.
Every time the price goes up, there's always some kind of excuse. I'm getting tired of excuses. It's not like the oil companies haven't been making a huge profit during the whole thing.
You can talk about research and development and things all day long, but in order to make a profit, your costs must be lower than the money you're making.
prospector (anonymous) says…
Record highs, or not. Factor in inflation, $3.00 is below the historical norm.
R_I, you got me singing Elvis, " There's a Whole Lot of Shaking Going On". TCB baby!
50YearResident (anonymous) says…
Price Gouging at the highest level. Todays News Story
new york (Reuters) - Exxon Mobil Corp (nyse:xom - news) said on Thursday its first-quarter earnings rose over 10 percent as higher profits from its refining and chemical units outweighed lower oil and gas prices.
advertisement
Net income for the world's largest publicly traded company rose to $9.28 billion, or $1.62 a share, in the quarter, from $8.4 billion, or $1.37 a share, last year.
The results came in ahead of the average analyst forecast of $1.53 a share, according to Reuters Estimates.
"They're running the ship very well," said Gene Pisasale, who helps manage about $25 billion at Mercantile Capital Advisors, a unit of PNC Wealth Management.
sunflower_sue (anonymous) says…
as high as a hippie at the Wak. Fest
Gootsie (anonymous) says…
good one Sue! Far out, dude.
beatrice (anonymous) says…
I think gas is cheap compared to what people in the future pay.
Bow -- Just because the Dems have greater power in the national government now doesn't eliminate the fact that the GOP and oil companies are still cronies and will remain so, even after a Dem becomes president. I think the fact that our VP is a former CEO of Haliburton pretty much makes that point obvious.
Plus, didn't you forget to point out how high gas prices threaten our safety and especially the safety of mothers?
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
T_O_B,
6,500 mpg (Margarita's per Gallon)
Thats 2,808,000 Margaritas.
Sounds like a good summer to me...
11 seconds to blend a pitcher of ice complete(no lumps).
I'm revved up!!!
Is that EPA compliant?
Kontum1972 (anonymous) says…
ask the VPres., its his oil.
blue73harley (anonymous) says…
R_I - not if you are using a gasoline powered blender.
http://www.totallygross.com/
sgtwolverine (anonymous) says…
It doesn't matter how high they get; if they are one penny higher than they were a day earlier, somebody will complain.
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
blue,
Operamini won't let me load that page
grilled_cheese (anonymous) says…
Just a few small points (which I'm sure someone will take offense to...)
1) Richter Scale Day is like a national holiday for a geologist. Yea!!
2) Haliburton is a service company, not an oil company. They don't "own" any oil or gas, they just complete and service wells to keep them operating.
3) If oil companies really controlled the prices of oil and gas, do you think they would have let oil fall to $9 a barrel 10 years ago? No, I think not. So, they can't control it when oil prices fall, and likewise they can't control when oild prices rise. It's a business, and it's risky, just like any business. They just happen to be having an up time currently. Now, I'm not saying they have 0% control in these matters, I'm just saying only blaming oil companies is careless and ill-informed.
The_Original_Bob (anonymous) says…
R_I -
It's a more souped-up version. I'm almost certain you don't even need a picture after you read this write-up...
"Imagine, you're at a pro football tailgate party or in the infield of the Daytona 500 or even just out camping. You decide it's about time to have a margarita and make some new friends. So, you whip out the party supplies and your Totally Portable TailGator®. You'll never be lonely again."
You'll never be lonely, R_I. Never ever again.
paladin (anonymous) says…
We're a gettin all a them products that goes inta your puppy dog's grub, and yers too, probly, from China. corn meal? Ah, cummon. Anywho, how's bout gettin our gas from China, too. Be cheaper, meby. Bet that'd put a burr under the saddle's a all them rich tycoons. Bet we will someday. Cars, too. All of em. Everthin else, too. We're done fer.
This comment was removed by the site staff for violation of the usage agreement.
samsnewplace (anonymous) says…
Does it really matter? If it was $15.00 a gallon everywhere, we would have to pay it. Once again, the rich get richer and the poor pay through the nose and get poorer.
Gootsie (anonymous) says…
And, R_I, it's only $369.95!
But, will it work on other planets?
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
T_O_B,
What about the floor of the Democratic National Convention?
Mkh (anonymous) says…
I'd estimate that here in KS it will go about $3.75...but who really knows? All I do know for sure is that oil is very cheap compared to what it will be in the very near future.
Global oil production is peaking (or perhaps already has), the next decade will see a tremendous change as the price of oil reserves skyrockets, the economy collapses, and we engage in further resourse wars for the last remaining deposits of fossil fuels.
Enjoy your massive oil consumer lifestyle while you still can, but get prepared for something much much different once the price per barrel gets near $200.
And if you think renewable energy will save us, think again folks...
Mkh (anonymous) says…
Posted by samsnewplace (anonymous) on April 26, 2007 at 11:26 a.m. (Suggest removal)
"Does it really matter? If it was $15.00 a gallon everywhere, we would have to pay it"
---------------------------------------------
Are you serious? YES it matters! Our entire economy is based on oil, if the price was $15 a gallon we'd enter the biggest economic collapse since the Great Depression, possibly even worse. $15 a gallon doesn't mean you pay more at the pump, you pay more for everything, everywhere. Millions of people would be out of work. All the big box stores that import their cheep goods from China would suddenly be too expensive for consumers, the price of food would be insane, etc, etc, etc.
We use oil for everything, not just for our cars, wake up people!
buffalo_star (anonymous) says…
here comes my "when i was young" speech, when i was young we only went to town once a week for food and etc. this life style required planning and wise use of resources but it worked. folks today think because they have a car they should use it all the time for every little errand or impulse (burger king commerical at 11 pm make you hunger) walk more and use less gas, make a plan to conserve and stick to it. don't expect a resource like gasoline to become cheater when its supply gets smaller everyday.
The_Original_Bob (anonymous) says…
R_I -
You know it. You can't tell me Carville hasn't participated in a little pre-convention action.
Mkh (anonymous) says…
Neither congress nor the media has hardly anything to do with the price of oil. The price is determined by one main thing, the amount of reserves available and projected. Unfortunately those numbers are all over inflated so that the oil companies stock prices will stay competive with each other.
buffalo star is a wise man (or woman), I completely agree.
blue73harley (anonymous) says…
lmat is correct about one thing. The automakers have made no great strides in improving fuel economy over the past 10 years. I thought they had but I ran across this article...
http://www.epa.gov/otaq/cert/mpg/fetr...
Mkh (anonymous) says…
Das do you feel threatened that others around you are educated? That must be depressing for you.
samsnewplace (anonymous) says…
Posted by Mkh (anonymous) on April 26, 2007 at 12:02 p.m. (Suggest removal)
Are you serious? YES it matters! Our entire economy is based on oil, if the price was $15 a gallon we'd enter the biggest economic collapse since the Great Depression, possibly even worse. $15 a gallon doesn't mean you pay more at the pump, you pay more for everything, everywhere. Millions of people would be out of work. All the big box stores that import their cheep goods from China would suddenly be too expensive for consumers, the price of food would be insane, etc, etc, etc.
------------------------------------------------------------------------
DUH! Point being......you and I are going to pay whatever gas goes to, and have very little say so in the matter. Where does it end and who puts the clamps on the prices? I don't know of anyone close to me taking a vacation this summer, driving just for the fun of it, or making unnecessary trips out and around town. Most people do plan ahead, shop ahead and stay home, not like there is alot of choice here anymore. We are all too well aware of how close we are to being in another depression, and it's not that far away.
The_Original_Bob (anonymous) says…
Blue - For every Prius made, there are 3 Soccer Mom Assualt Vehicles built.
Das - You win a prize. Not sure what. Give yourself a slap on the back.
Mkh (anonymous) says…
sam:
"you and I are going to pay whatever gas goes to, and have very little say so in the matter. Where does it end and who puts the clamps on the prices? I don't know of anyone close to me taking a vacation this summer, driving just for the fun of it, or making unnecessary trips out and around town. Most people do plan ahead, shop ahead and stay home, not like there is alot of choice here anymore"
-------------------------------------------
Well now I'm really confused. You say we're going to pay whatever, but then you list all these things that people will stop doing. So it sounds like that we won't pay for gas no matter how high it goes. But my point was that in the near future the vast majority of the products you normally buy you'll have to decide if you can afford, either because those products are made from/with/by oil or because they get shipped by oil. Bottom line is, our way of life in America will change drastically, and it won't be by choice.
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
T_O_B,
Soccer Mom Assualt Vehicles? Are these made by Renault?
Just wondering if Assualt is French for Assault....
snap_pop_no_crackle (anonymous) says…
Toyota has to kill 15 harp seals to make 1 Prius. I heard that on the internet, so it's gotta be true.
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
snap,
15 cute cuddly baby harp seals?
I take it there is no pleather option.
blue73harley (anonymous) says…
T_O_B - you are right but the graph shows trucks (which includes SMAVs) and cars separately. The fuel mileage trend has been fairly flat. My guess is that cars are getting heavier, built with more "luxury" items as standard equipment and more safety stuff (side curtain air bags, ABS, traction control, sphincter guards, etc.). They are also more powerful. The standard for V6s these days seems to be at least 200hp.
Azure_Attitude (anonymous) says…
As high as the oil companies want it to be.
Toyota has now surpassed GM as the top auto manufacturer. Big surprise. The oil companies screw us so we have to turn to better made, more fuel efficient cars from the Japanese.
American auto makers could have been innovators in auto fuel efficiency but chose not to be and let the Japanese run away with the technology. Poor things though the oil companies had love for 'em. Not so much, huh?
Looks like big oil is screwing everyone.
My dems are finally gowing a pair. I hope they use it and snatch back all the corporate welfare Dim Dub's handed out to these monetray rapists.
samsnewplace (anonymous) says…
Mkh.... Necessities of life such as driving to and from work we will do,..... so yes we will pay at the pump, at the grocery store, etc.....
The_Original_Bob (anonymous) says…
Blue - Yeah yeah. I was agreeing with you. Just pointing out for every hydroeletricalvegatableoil car built, it doesn't offset the big vehicles. Oddly enough, my truck didn't come with standard sphincter guards.
R_I - I am a great speller. It's not my fault I spell words wrong. I can only see out of one eye and have something like 8 fingers and 3 thumbs and a pretty strong tolerance for the Clan McGregor.
snap_pop_no_crackle (anonymous) says…
Would you be amazed to discover that George Soros recently bought stock in Haliburton?
http://today.reuters.com/news/article...
Mkh (anonymous) says…
I certainly don't want to look like I'm taking the side of the Big Oil Companies here...but I think if you just say that Big Oil is screwing us your really missing the point. Yes Big Oil is making an enormous profit off of the consumer, but it is the Consumer's fault. Look at the massive Demand that we give them for oil, we are the ones who are screwing ouselves because we will not live without using oil for everything. And now we are backed into a dangerous corner. The world will never again produce more oil than it consumes, and as China, India, etc become more and more based on industry and technology there will be a very expensive struggle to maintain the economies of nations.
Right now I'd argue that Big Oil is the main thing keeping our fragile economy afloat, only because they are lying through their teeth and people are believing it and continuing to invest their future in oil.
And as far as car companies it's the same thing, only recenlty have people stopped buying SUVs in such tremendous numbers. Why would Detroit have stopped building SUVs in the '90s when people were lining up to buy them? However they missed the change in the buyer's market and now they are doomed. Too bad, but they will only be one of the first of many oil based industries that will not survive in this new century.
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
T_O_B,
I understand...
You should try my keyboard, it only has 12 keys and some of those you have to press more than once...
sgtwolverine (anonymous) says…
Azure, I don't think anyone has actually run away with fuel-efficient technology yet. I say that because I don't think any automaker has actually solved any problems (no, I don't think hybrids are a solution), so I think it's a bit early to declare Honda and Toyota victorious and American companies dead.
blue73harley (anonymous) says…
Here is a "green" alternative for ya. An 800 hp bio-diesel...
http://www.autoweek.com/apps/pbcs.dll...
blue73harley (anonymous) says…
Or for a mere $100K, this all electric sports car could be in your garage this fall. 0 to 60 in less than 4 sec.
http://www.autoweek.com/apps/pbcs.dll...
The technology for practical all-electrics just ain't there yet.
lubyloo (anonymous) says…
I don't know, but I'll bet that they won't be under $2/gallon ever again.
hawklet21 (anonymous) says…
I'm guessing they'll get about as high as Trinity on her pain pills... hehehe. She's out for a few weeks due to back surgery, fyi!!
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
blue,
You gonna re-power that Ford Escape?
There is a guy out in California that converts vehicles to "plug in hybrids".
You could ship it to him and have it back by Oct. 11th.
That would be a good day for an outing....
The_Original_Bob (anonymous) says…
Get well, Trinity!
sunflower_sue (anonymous) says…
blue, that is one sweet ride! Would it be wrong for me to say that I want me a big muscley bio-rocket to drive me home???
and the countdown begins...
sunflower_sue (anonymous) says…
Hawklet, be sure to wish Trinity a speedy recovery!
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
Hawklet,
Take care of Trin.
ms_canada (anonymous) says…
We wish you a speedy recovery, trinity.
Our new Honda Accord is so good on gas consuption, we can't believe it. So much better than our little Ford Taurus was. Good thing cause our gas price is highhhhh!!!
Gootsie (anonymous) says…
Get back in a hurry T! Your conga line needs you!
WTF with the format????
sgtwolverine (anonymous) says…
Whoa. I leave for a soccer game (in the rain) and LJW redesigns the site on me. I was gone for only an hour and a half; I thought you all were keeping an on eye the LJW staff! Who let this one slip through?
Actually, I really can't say I have a problem with the new look.
ms_canada (anonymous) says…
Whoa, I thought the new look had something to do with the fact that I bought a new monitor this am. Now sgt. I know that is not the case.
Just a bit of trivia or nonsense. I just looked on the Edmonton Folk Music festival site to see who was coming in Aug. and discovered that a group called Crocked Still will be here and they are also going to be at your Wakarusa Festival in June. How do you all like that?? I have never heard of them.
sgtwolverine (anonymous) says…
Hey, that would be kind of fun if getting a new monitor made websites look brand new.
RETICENT_IRREVERENT (Ronaldo Ignacio) says…
Wow,
Kinda bright....
I Think they should have redesigned the OTS page to resemble a excel spread sheet, this page looks nothing like the other programs I use at work...
Sigmund (anonymous) says…
The higher the price the less use, the less CO2.
You wanted a smaller carbon footprint, you got it.
The Dem's are giving you what you wanted.
Did you think cheaper prices would lead to less use?
Now sit down and shut up you hypocritical morons.
Pywacket (anonymous) says…
What in the sam holy hill did they do to their website? That's about as jarring as when the grocery store upends itself and you have to relearn the location of everything from creamed herring to Murphy's Oil Soap.
Is all this whiteness necessary? For a minute, I thought we'd been transported up to Ms Canada's realm. Would it were true...
I'm guessing that the price of gas will remain below the price of a Sonic fresh fruit slush (per gallon) all summer. And since I'm fond of augmenting those lemon-berry slushes with a healthy splash of tequila, I may just let the auto give the resulting concoction a try if gas prices ever DO get higher.
The_Original_Bob (anonymous) says…
I wear my sunglasses at night. Well, not until tonight.
And the worst part... it's freaking UNC blue. Egads.
Otherwise, the physical format looks better.
sgtwolverine (anonymous) says…
Ha! Py: "Is all this whiteness necessary?" It sounds like you've been watching hockey.
Okay, okay, I'll admit it: I've been watching hockey. (Ottawa beat New Jersey.)
Pywacket (anonymous) says…
Sgt~ Come to think of it, that's the same comment I made about the populace when I moved here from MI. (I'm a whiter shade of pale, myself, but dang!! There's no meaningful diversity down here!)
Go, Ottawa!!
KawValleyKid (Nick Yoho) says…
Yawn.....this is what, the fifth thread on gas prices?
I'm more concerned about the cost of a half gallon down at Steve's brewery!
Here is an interesting graph showing gas prices were lowest during election week Nov.2006
http://www.smirkingchimp.com/thread/7665 apparently this can also be found at alternet.org