One of my employees just received a phone call from one of his friends. His friend works at a gas supply station. (the ones with the HUGE tanks) that fills up the gas trucks that distributes gas to gas stations.

Anyway, he said their order just came in and it was .94 cents a gallon more than normal. Apparently, the pipelines are going to be shut down and as consumers, we can expect to pay roughly a dollar more per gallon at the pumps in the next day or two.

I don't understand this... when demand goes up, supply goes down... thus prices increase.

Well, just because the pipelines are going to shut down for a few days, the gas is still there, just not being shipped in the next day or so.

Point is, as consumers, we're not going to use more gas in the next day or two than normal.

I could understand if all the gas companies were at the bottom of their barrel.

I don't get it..

Mark

 

With a hurricane bearing down on the key refining and off loading areas of Texas and Louisiana and them evacuating and shutting these facilities down, I'd say that's the so called justification for the run up.....

 

neighbor who works at local gas station has been calling friends and locals. price here to go up $.14 cents per gallon today.
maybe there' something to this rumor.
time to fill up I guess though.

 

when the gas prices were at the highest this summer, demand dropped as more people curtailed their driving. with less demand, prices dropped now the oil big-wigs decided to halt production to drive up prices again. this in addition to the hurricane season (fay and ike) which threatens the refining centers in the gulf is what is driving prices up. I just love when people talk about "free markets" like they actually exist.

 

Local news outlet here in Chattanooga is saying $1.50 increase per gal in next two days. So everyone is out buying gas. Lines are five and six cars long at most stations. Even if the price does not go up we will have a shortage soon if everyone has a run on gas.

 

How do you call that justification? Okay, so the refinery can't ship out gas for 2 weeks. How does raising the prices to the consumer fix that?

Does raising the prices to the consumer give them more gas? Does it cost them more to truck in the gas that isn't available to truck in?

Doesn't make sense.

Mark

 

it also makes no since when Oil is down to $101 a barrel its all a bunch of BS

 

The gas station on the corner is out, I found one and filled up.. it will last me 2 weeks

 

Wow. Glad I filled up yesterday (my first one!), though I'm not sure this will affect us that much in CA since we have "special" gas and refineries here (except that everything seems to affect gas prices in CA, like a butterfly flapping its wings in China).

 

anyone have a link to the story?

 

Yes and no.

Yes the price of oil per barrel did drop today to the lowest level since I think March.

No because it is now a supply problem meaning they can't ship the fuel from the refineries because of the pending Hurricane Ike.It has been reported that several gas stations in Texas have already run out of gas due to the mass exodus of residents fleeing.So the gas price increase will affect others too.

 

Here I found this article on msnbc.com

Link: http://www.msnbc.msn.com/id/12400801

Rest of the article is in the above supplied link.

 

We were watching our local news earlier this evening and they did an excellent job of reporting over and over and over the rumor(complete with a reporter on the scene at a local gas station). They never did do anything to determine if there was any fact behind it, like contacting area gas suppliers to find out what was going on. Then a half hour later they did the same thing, and the gas had jumped almost 25 cents (went from $3.43 to $3.67) at this station. It'll be interesting to see how much it has gone up by the news at 10pm.

EDIT: Just watched the same news, and they were at the same station. The price hasn't gone up any more--yet.

 

We have a friend whose family owns a gas supply business. They just told us that prices are expected to jump this weekend but they expect that prices will drop the first of next week. (But nothing is definite)

 

Gas in my area comes locally and the oil comes from Canada. Price went down $.03 today.

 

It had dropped this morning here, too.

We just ran an errand and the prices in our town haven't gone up (yet), but there sure are a lot of people at the gas stations.

 

yea , seems like a mad rush to the gas stations.....

 

Is nuts.

Just wanted to say hello to a fellow San Antonian. Went to the dealership today because a lady hit my car at starbucks this afternoon. I didnt know they contracted out their body work to laredo paint and body. Oh well, at least its a good shop.

 

The supply of crude oil is high, hence the price of oil dropping. Along with the Saudi's walking out on OPEC vowing to keep production levels up.

Due to the shut down of refineries and pipelines there is speculation of a shortage of refined products, hence the price increases. Some gas station owners raise the price now to cover the increased cost of replacing whats on hand. Now if only they would lower the cost as fast as they increase it when their cost drops by a commensurate amount.

 

one word: speculators. hang 'em all by their tonsils

 

I'd find something a little lower to hang 'em by.

 

Gas prices went up .20 since last night..... I'm sure it'll continue to rise for the next week....

Mark

 

Yeah that big obstruction in the gulf heading right for us is probably the main blame. I live in houston and the gas prices raised 50 cents in 1 day!

 

A local station owner here said in the paper if he had to buy stock for his station today he would have to pay $5.50 per gallon. However, I went by a BP station who was selling for 3.59.

 

I had to get gas today, down to one bar, and there weren't any lines at the station I go to, but then I only put premuim in Ferris. Down the road a ways at one of the budget <cough> Wal-Mart <cough> gas stations the lines were out into the road and in neighboring parking lots. Weird.