Gas prices ease
The drop appears to be coming off of a small decline in crude prices.
Pump prices are just starting to drop, averaging $3.891 a gallon nationwide Thursday. That's down slightly from $3.899 Wednesday and from $3.907 a week ago. Gasoline futures have dropped for four days in a row, ABC News reports, falling more than 6% from their high late last month.
Is this drop in response to President Barack Obama's new proposal to crack down on oil market manipulation? Not at all.
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More likely, prices are following the action in oil, which fell to an eight-week trading low in April on expectations that U.S. supplies are rising, Bloomberg reports. The price of Crude (-CL) for May delivery fell slightly Thursday to $102.25 a barrel. The price for June delivery also fell to $102.70 a barrel.
Crude has been dropping for several reasons. Investors are relieved that Iran seems to be positively approaching talks over its nuclear program. Also, there are signs that global supply is outpacing demand, The Associated Press reports. Saudi Arabia is seeing more output, while Chinese growth is slowing. Finally, demand is weakening in other countries.
We may be seeing a mini-peak in gas prices. It usually takes a few weeks for pump prices to reflect the action in oil, so prices could drop a little more. But talks with Iran can turn on a dime and send oil prices skyward. And we're just heading into the late spring and summer driving season -- traditionally a high period for gas prices.
The White House is watching carefully, as some of Obama's re-election chances are tied directly to what's happening at the pump. Still, Obama's approval rating rose slightly in March even as gas prices rocketed, Bloomberg reports.
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2012 = $100 oil = $4.50 gas
Tell me again how oil prices drive the cost of gasoline. This is about the middle men (refiners and wholesale distributors) deciding they need more profit.
"Stick it to the little man and they will blame it on the speculators while we walk away unscathed with a pocket full of money." Speculation is just a small piece of a bigger puzzle.
It is overcast outside......oil goes up.
Fish not biting.........oil goes up.
Obama bows for the Saudi King......oil goes up.
Anything and everything is excuse enough it appears.........oil goes up.
Gas prices were too high once it went over 50 cents a gallon!
Why are we subsidising corporate companies with research money?
They make 30-40 BILLION dollars PROFIT per QUARTER!
that translates into 120-160 BILLION dollar PROFIT every YEAR
Really, they need a subsidy? They need to pay for their own research, cause they certainly aren't give the American people a 'break' in the price.
Stop Oil Company Subsidies TODAY -
Demand an accounting of price fixing by oil companys and sue them into bankruptcy.
And once again, MSN proves that it's writers/journalists have absolutely no idea what they're talking about. Where'd this one come from, MSN? Door greeter at the local Walmart?
The only thing in this article that makes sense is that Obama's ratings and chances of re-election are tied directly to prices at the pump. If his ratings take a dive, then prices will drop, but don't look for any significant drop.
Whatever miniscule slow drop that does happen will be more than offset by the typical beginning of summer by Memorial Day increase to $4 plus all over again.
GOP members of Congress are in bed with big oil! Time to regulate the oil companies, the speculators. Term limits for the corrupt Congress.
Exxon Ceo makes $35 million .........what an outrage?
Gas should be costing all of us about $1.50 gallon. Overseas events have nothing to do with big oil's hold on our economy. Restrict supply and price gouge the American public is Big Oil's modus operandi!!!
Ive started wondering if the price of crude oil has Anything to do with prices...?
Think Its more about how much the oil companies want their Record Profits to be...
No matter what crude prices may be,,,They will make record profits !
thus, driving up cost of living for ALL Americans...
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