As Prices Rise, Some See $2 Gas

[Purveyor]

Source: New York Times

HOUSTON — The five-month slide in gasoline prices has come to an abrupt halt, with gasoline rising by several cents in recent days amid indicators that the national average could jump to $2 a gallon or higher this spring.

A broad shift in the psychology of the oil market seems to be under way. Oil prices are up more than 40 percent since they bottomed out just below $33 a barrel on Dec. 19. The reversal, after months of declines, suggests that production cuts by the OPEC cartel may be having an effect, along with growing tensions in the Middle East and the sentiment by traders that the precipitous drop in prices went too far.

For six days in a row, drivers have been paying a few more cents a gallon than they did before Christmas. The change has been almost imperceptible for drivers who remember prices soaring above $4 a gallon last summer.

But if the price of gasoline continues rising, it may become another headache for consumers worried about their jobs and the dropping value of their homes and investments.

Oil prices are up about 25 percent in the last week alone, in part because of the escalating conflict between Israel and Hamas in Gaza. Rising oil prices have helped push the wholesale price of gasoline up by 40 percent since Dec. 24, leading to predictions by energy experts that retail gasoline prices will spike by as much as 25 percent in coming weeks.

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Read more: http://www.nytimes.com/2009/01/06/business/06gasoline.html?_r=1&ref=business

[Purveyor]

1. Yep. Our mid-michigan price just went to $2.00 this morning. Last week paid $1.54. eom

[Blue_In_AK]

2. Our gasoline never did go below $2 a gallon.

It's been stuck on $2.33.

[Tempest]

8. What was the high when gas prices peaked up there?

My sister and her family are out of the state traveling overseas so I haven't been in touch with what's going on in Alaska for several months now.

[Blue_In_AK]

10. I think it finally topped out at $4.44 here in Anchorage,

which was the cheapest in the state. It was near $10 a gallon out in the villages.

[RaleighNCDUer]

3. Yeah. Tell me it's not deliberate.

Bushco, in the hands of Cheney's energy task force, orchestrates the highest gas prices in memory, then the prices mysteriously plummet in the last 6 months of their administration. They hit a low right about the election. Obama is elected.

Three years from now the repukes will be saying "gas was as $1.51 when Obama was elected - and now the price is more than $3/gallon" (any bets?). What a point to run on in '12.

I love the excuses - "Oil prices are up about 25 percent in the last week alone, in part because of the escalating conflict between Israel and Hamas in Gaza." - both Israel and Gaza are such major oil producers, of course.

jeeze...

[shanti]

4. i knew this would happen

it's funny, but the last time i bought gas was december 2, so i never even got to the lowest level as i'd been CONSERVING GAS!

[benld74]

5. STL MO

Lowest was 1.19 right after xmas a 1 station.
Average at 1.30
Been rising ever since, yesterday 1.39
Today 1.60

[nc4bo]

6. Creeping up like poison ivy here too. From $1.51 to $1.68 in the last 2-3 days.

Lots of big ole playtoy pickups, SUVs and hummers slithered back onto the roadways in December and I'm sure the local dealerships have sold a few huge 8 cyl SUVs during their recent heavy ad promos (can't miss them with the temp tags) and the lure of cheap gas.

sigh.........here we go again. :EYEROLL:

[Tempest]

9. Up over 25 cents in the CA valley in the last 3 days

Local oil people are saying it's going to continue to climb as OPEC's recent cut takes effect.

[blue_onyx]

7. Gas in the Detroit area is about $2 now

I went to the store this morning and in the 20 minutes I was gone, the gas station closest to my house went up by 10 cents a gallon. Has the GOP started blaming the quickly increasing gas prices on Obama yet?

[high density]

11. Whatever demand problems brought it to $33/bbl on Dec 19 remain today

It sounds like the speculators are jumping back in after raping us last year.

[KamaAina]

12. Oh noes! $2 gas?! That could bring the entire economy to a screeching halt!!

oh, wait a minute, Boosh already did that... :eyes:

[radfringe]

13. just when you thought it was safe to take a road trip

way to go, strangle the goose some more... heee-haaa... way to kill what little of the economy is left...
:sarcasm: