by Brian Carr on July 12, 2010
Over the past two or three months, we’ve seen wild fluctuations in the economy, stock markets, and commodity markets. People have been spooked that austerity measures will hurt the worldwide economic recovery (which, I would argue, never really started), which, in turn, would drive down consumer spending and demand for pretty much everything.
This, of course, affected the price of both oil and gasoline, as you can see in the chart below:
As you can see, this chart (courtesy of GasBuddy.com) shows pretty wild fluctuations in the price of both oil and gasoline, with the most “violent” fluctuations occurring in the price of oil. That being said, at least the general direction of both prices is downward.
As of this morning, oil futures were trading at $75.70, and the national average price of a gallon of regular unleaded gasoline stood at $2.72, which is down one cent from where it was last month, and exactly where it was one week ago.
Currently, only Hawaii ($3.45), Alaska ($3.38), California ($3.09), and Washington, D.C. ($3.06) are reporting average gas prices above $3 per gallon. South Carolina currently has the lowest average price, at $2.40 per gallon.
Since we’re currently at the peak of summer driving season, it’s hard to envision a scenario where we could see gasoline prices spike higher from current levels. That being said, a rough hurricane season or a major impact from the offshore drilling moratorium could change things and are worth keeping an eye on.
by Brian Carr on May 18, 2010
The price of a barrel of crude oil dropped below $70 yesterday afternoon in intra-day trading for the first time since late February thanks to continued concerns over both the European debt crisis and weaker than expected demand.
However, as the U.S. stock markets rallied to end the session in positive territory, the price of oil finished slightly over $70 per barrel. In trading this morning, the price of oil has climbed to $71.64 per barrel.
Despite this morning’s small rally, the price of oil has fallen significantly over the last two weeks after hitting a nearly two-year high of $87.15 per barrel on May 3.
The corresponding response from gasoline prices has been relatively muted, with prices falling from $2.94 per gallon on May 5, to this morning’s price of $2.87 per gallon. However, since we are nearing the start of the busy summer driving season, I suppose this makes sense.
Currently there are nine states reporting an average gasoline price above $3 per gallon, with Alaska reporting the highest price at $3.59 per gallon. Oklahoma has the lowest state-wide average price at $2.65 per gallon.
by Brian Carr on May 13, 2010
Turns out I may need to eat my words, because now it’s starting to look like $3 gasoline — this year — might not be so inevitable after all.
Thanks to the European debt crisis, over the past two weeks the price of oil has fallen nearly 16% from its 18 month highs, while the U.S. dollar has substantially strengthened in value against most other currencies. These two things bode well for falling gasoline prices.
These factors have yet to make a big difference in the price you pay at the pump, however, since the price of gasoline is down three cents over the past week — from $2.92 to $2.89 — as we head into the busy Memorial Day summer kick-off, it’s obvious these factors are starting to have an effect.
Before we get too happy about maybe not having to deal with $3 gas in the near-term, it should be pointed out that the current price of gasoline is still 62 cents, or roughly 27% higher, than where we were at this point last year.
Currently there are ten states reporting an average price of gasoline above $3 per gallon, with Alaska reporting the highest price at $3.59 per gallon. Colorado is reporting the lowest average price at $2.70 per gallon.
So, where do you think gasoline prices are headed? Leave your comments below.
by Brian Carr on May 8, 2010
Cars are considered an essential assets to most people due to the benefits they offer. Most people would love to have new cars but due to different situations they cannot, in this case, used cars come to the rescue. There are quite a number of dealerships who sell used cars and therefore it is important for the buyer to check out as many as possible before selecting one.
Before selecting any car, it is essential for the client to look at some of the areas of the car. The buyer should first of all check the engine of the car for any conditions as this determines how the previous owner looked after it. Any sign of rust indicates that it was not well taken care of as well as any oil leakage would indicate the same. The oil should be clean and of the right amount as this would show that it is in good condition.
The buyer should also check out the tires and even below the car. Any tire that looks worn out is a no-no as this would show that either it is old or has covered a long mileage. Look under the car for any signs of rust and extreme wear and tear. Make a visual inspection of the tailpipe and have the car under go an emissions test as this would save the client a lot of money in repair expenses.
As any other car, used cars also need to be taken for a test drive. When doing this, the buyer should check the handling in the street and highway as well as the engine performance in terms of noise and body motion control. Check out the ease of operation of the steering and any vibrations. Also look out the brakes for parking, stopping gradually or suddenly and also the brake pedal pressure. Having checked all this, now it is time for negotiating the price.