Prices dipped this week but may move higher again soon03/15/2017 | ConsumerAffairs
Motorists have gotten accustomed to seeing the price of gasoline go up at this time of year. Late winter to early spring is the time oil refineries do maintenance and switch over the summer grade fuel, reducing output and generally raising prices.
But in the last week or so prices haven't been going up. In fact, according to the AAA Fuel Gauge Survey, they've actually gone down a bit.
The survey shows the national average price of regular self-serve is $2.29 a gallon, dow...
But the extra fuel may not be headed for your neighborhood gas station03/07/2017 | ConsumerAffairs
ExxonMobile CEO Darren Woods says the company plans to spend $20 billion over a ten-year period to upgrade and expand oil and chemical operations along the Gulf Coast.
Woods is talking up the economic benefits, with new construction projects at 11 new and existing sites, generating thousands of temporary and permanent jobs. But consumers might be asking if the project will result in increased supplies of gasoline, keeping U.S. prices low and supplies plentiful.
Speculators' hopes that OPEC can reduce the oil glut are fading11/15/2016 | ConsumerAffairs
Consumers have seen gasoline prices drop sharply in the last week, falling more in some states than in others. But in point of fact, prices are just getting back to normal after speculation in the futures market added upward pressure in the two previous months.
The AAA Fuel Gauge Survey shows the national average price of gasoline is $2.16 a gallon after falling over the last 10 days. That's down a nickel from a week ago and nearly a dime lower than a month ago. But it i...
Motorists expected to party like its $1.998 a gallon12/21/2015 | ConsumerAffairs
The national average price of self-serve regular, tracked daily by AAA, dropped below $2 a gallon Monday, to $1.998, for the first time since March 25, 2009.
While drivers in the southeast have been paying well below that for months, motorists in other parts of the country have seen prices fall in recent weeks but are still paying north of the $2 mark.
More than two-thirds of U.S. gas stations are now selling gas under $2 per gallon, and AAA says drivers can find at least...
Fed proposal could make gas prices less volatile in the future09/26/2016 | ConsumerAffairs
In a little noted action Friday, the Federal Reserve published a proposed rule that it said would toughen the existing requirements and limitations placed on investment banks and some other traders who speculate in the commodities market.
The Fed said it is proposing the action because of its concerns over potential “catastrophic, legal, reputational, and financial risks” these firms could suffer, possibly posing system risks to the financial system. Most likely policym...
Gasbuddy survey finds consumers could be pocketing a lot more08/03/2016 | ConsumerAffairs
Gasoline prices are lower for this time of year than they have been in recent memory. Consumers should be pocketing significant savings.
But are they? Gas price website GasBuddy surveyed consumers' fuel-purchasing habits and has concluded that consumers may be saving, but they are actually paying more than they should.
The biggest threats to consumers, the site claims, are procrastination, craving convenience, and being creatures of habit.
How can following long-establishe...
The national average price has shot up eight cents a gallon in the last month10/13/2016 | ConsumerAffairs
It's fall, when oil refineries are turning out cheaper winter-grade gasoline. Oil prices remain at $50 or less a barrel and supplies are ample.
So why is the price at the pump rising in many areas?
According to the AAA Fuel Gauge Survey, the national average price of self-serve regular is around $2.25 a gallon, up about two cents from a week ago and eight cents higher than a month ago. That's a big jump in 30 days, especially at a time when prices are usually headed lower...
Region likely to be spared rising fuel prices11/02/2016 | ConsumerAffairs
Monday's explosion at a Colonial Pipeline facility in Alabama was a much worse mishap than the leak that occurred there in early September. The explosion killed one employee and injured seven others.
Footage from the scene showed the scope of the disaster, sending gasoline futures prices soaring, since gasoline prices throughout the Southeast surged when the pipeline had to be shut down for eleven days in September. The initial assumption was this interruption would be w...
New report suggests oil prices will go lower before they go higher11/07/2016 | ConsumerAffairs
Gasoline prices are still low by historical norms, but have been slow to drop on seasonal factors. Prices are usually lower in the fall and winter because there is less demand and it's cheaper to make winter-grade gas.
The reason prices have been slow to fall has been the crude oil market. Speculators have driven up the price because they believe OPEC is about to freeze production. Less oil on the market and the price goes up, the reasoning goes.
But is there a good reaso...
But prices are still slightly higher than last year11/23/2016 | ConsumerAffairs
According to AAA, more than 43 million Americans will hit the road this Thanksgiving holiday. When they stop to fuel up, they'll find relatively cheap prices at the pump, and the prices could be even cheaper on the return trip.
The AAA Fuel Gauge Survey shows the national average price at $2.13 a gallon, nearly a dime cheaper than a month ago, but six cents more than last Thanksgiving weekend. The price of diesel fuel is actually down from last year.
Gas prices are higher...
Oil prices rising because non-OPEC producers agree to cut production12/13/2016 | ConsumerAffairs
Consumers have enjoyed relatively low gasoline prices for more than two years, thanks to a huge oil glut that drove down prices.
But consumers should prepare to pay more to fill up their cars and trucks next year. While all attention was focused on whether OPEC could agree to cut production, and whether members would cheat, little attention was paid to non-OPEC members, like Russia. In something of a surprise, these countries have agreed to significantly reduce output.
So, what does that mean for the low gas prices we've been enjoying?06/09/2016 | ConsumerAffairs
For consumers, the last two years have been “the good old days” when it comes to gasoline prices. A growing glut of oil on the world markets led to huge price declines. That, in turn, dropped gasoline prices from more than $3 a gallon to below $2 a gallon in just over a year.
That move also accomplished something else. It drove most investors out of the oil futures market. In the parlance of Wall Street, oil became a “bear market,” meaning the bet was prices would go dow...
There were lines at Nashville gas stations over the weekend09/19/2016 | ConsumerAffairs
Over the weekend, there were lines at gas stations in Tennessee as many stations ran out of fuel. Meanwhile, gasoline prices soared in wide areas of the Southeast.
This flashback to the late 1970s comes courtesy of a leak in Line 1 of the Colonial Pipeline, which carries fuel between Houston and High Point, N.C. and supplies Georgia, Tennessee, South Carolina, North Carolina and Virginia.
It will be several more days before supplies return to normal, but in a Tweet over t...
Gas prices aren't going back to $3 a gallon anytime soon09/29/2016 | ConsumerAffairs
The news that OPEC ministers have agreed in principal to capping production sent oil prices surging on world markets late Wednesday.
Bloomberg News reported the oil ministers, meeting in Algeria, agreed in principal to try to cap production at around 33 million barrels a day. For the first time in two years, the world's major oil producers appear to be on a path that would reduce output and raise prices.
But the consensus among industry analysts appears to be that this is...
National average price poised to drop below $2 a gallon12/14/2015 | ConsumerAffairs
World oil prices are in free-fall once again, hitting levels not seen since the financial crisis of 2008.
Back then, it was fear that the economy was collapsing that drove oil lower. Today, it's the fact that the world has more oil than it knows what to do with.
Reuters reports Brent crude plunged 4% to below $36.40 a barrel for the first time since December 2008. For Brent, that's just 14 cents above the post-financial crisis lows.
Falling oil prices have had a similar ef...
It's great for consumers but is making markets extremely nervous01/26/2016 | ConsumerAffairs
Oil is a lubricant that usually keeps machines running smoothly. Lately, however, it has held an oversized influence over all things economic – and the results have been far from smooth.
When oil prices fell below $30 a barrel last week, world stock markets nearly panicked. While cheap oil is normally seen as a good thing, investors are worried the low price will drive many oil companies out of business, leaving the banks that have made big loans to them high and dry.
What's that going to mean for gasoline prices?08/19/2016 | ConsumerAffairs
Motorists are still enjoying relatively low gasoline prices, but they should keep a wary eye on the price of oil. This week it has marched consistently higher, with Brent crude now topping $50 a barrel.
That's significant because the main reason gas prices are so low is the over-abundance of crude oil. For the last two years, Saudi Arabia has been trying to put U.S. shale oil producers out of business, and it has been fairly successful. The result has been a huge oversup...