When will gas prices stop rising?
Some analysts are puzzled by the increase, and one says the national average could easily top $4 a gallon this spring.
The start of 2013 has been tough for consumers. Many saw a chunk missing from their take-home pay when payroll taxes increased. Now they're getting hit at the gas pump, with fuel prices climbing by nearly 14% since Jan. 1 to an average $3.75 a gallon.
What's behind the jump? Refinery shutdowns are leading "to tighter supply, which also has driven up prices," a spokeswoman for AAA told The Wall Street Journal.
Hess (HES) is shutting down its Port Reading, N.J., refinery, while other refineries have reduced supply because of planned repairs. Refineries often use winter for maintenance, given historically lower demand for gasoline as drivers cut back in poor weather, the Journal notes.
There's one trend analysts are agreeing on: Prices aren't likely to reverse direction anytime soon.
"Traditionally, gas prices rise anywhere from 40 to 60 cents a gallon in late March through early May," GasBuddy.com oil analyst Patrick DeHaan told the New York Post. He says if that happens this year, "it will easily send the national average over $4 a gallon."
That's already a reality in some areas. Residents in Southern California are paying the highest prices in the country, with Santa Barbara drivers paying an average of $4.32 a gallon, according to GasBuddy.com. The cheapest gas is found in Billings, Mt. -- a hub for state's oil boom -- where a gallon sells for an average of $3.17.
Some consumers are paying even more: A few locations have reported gas prices of more than $5 per gallon. One station in Los Angeles on Monday was selling regular unleaded for $5.19 a gallon.
At that price, a car with a 17-gallon tank would require more than $88 to fill up. With big bucks flowing into gas tanks, it's possible that consumers will look to cut back in other areas -- and that could create a challenge for the stock market and the U.S. economic recovery.
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The gas prices will stop going up and up when these gas companies such as Exxon who just announced they made a $44+ billion in profits stop getting greedy.
The Chimp in the White House has admitted he would like to see gas at $8 a gallon, as that is the point where his precious wind and solar energy becomes competitive. We are sitting on about 200 years worth of natural gas that could replace most gasoline and diesel, but Obama his moonbat followers don't want us to drill for it.
They say a nation gets the government it deserves, so live with it. Me, I'll just keep cashing my fat dividend checks. LOL!
FUNNY HOW OBAMA IS NEVER BLAMED FOR ANYTHING! HE'S NEVER THERE WHEN THEY
VOTE AND HE NEVER GIVES A COMPLETE PLAN OR BILL EXCEPT FOR OBAMACARE AND
RAISING TAXES ON MIDDLE CLASS! AND NOW HE'S SAYING HIS ADMINISTRATION IS THE
MOST TRANSPARENT???? WHO BELIEVES A WORD THIS LYING SOCIALIST SAYS?????????
HIM AND HIS NAZI EPA AND GREEN NUTJOBS WON'T GIVE UP ON THEIR FAILED GREEN ENERGY CRAP! IT'S NEVER WORKED AND NEVER WILL BE ABLE TO SUPPLY CHEAP ENERGY!
AND THAT'S EXACTLY WHAT OBAMA AND THE LEFT WANT! HIGH FUEL ENERGY PRICES AND
NOW FOOD PRICES ARE SKYROCKETING! I LIVE BY THE GULF COAST AND SEE HOW MUCH
DAMAGE HIS ANTI CHEAP ENERGY AGENDA HAS DONE TO JOBS! SO ALL YOU LIBS WHO ARE
TRYING TO SAY HE HAS NOTHING TO DO WITH IT YOUR A BUNCH OF BRAINDEAD MORONS!
LIKE HE HAD NOTHING TO DO WITH OBAMACARE? OR SOYLANDRA? OR BENGHAZI????
A in last Friday’s Wall Street Journal does just that, asking simply why gas costs what it does. The author – an analyst for a taxpayer watchdog group – gives a quick rundown of the basics, like crude oil costs, which can account for roughly three-quarters of the price consumers pay at the pump. Then there are expenses for refining, distribution and marketing.
But he also reveals one slice of the gas price pie routinely overlooked by those who criticize energy companies or gas station owners for high prices. He writes, “The truth is that ****governments rake in a larger profit at the pump than anyone,” including companies like ExxonMobil.
A range of government authorities share in the tax revenue from the gasoline consumers buy. To start, there’s the federal gasoline tax of 18.4 cents per gallon. A variety of state and local sales and excise taxes help boost the price as well. All told, American motorists every time they fill up.
Looking at it this way, the author concludes ***that “government makes far more from gas sales than all of the oil companies put together.” ExxonMobil, for instance, earned just 8 cents on each gallon of gasoline and refined products sold in the U.S. during the first two quarters of 2012.
All things to keep in mind the next time you hear criticism of oil companies for the cost of filling up.
Don't worry! It's all just temporary. We all have to die sometime ! That's when we'll 'get a break' !
Let's see.... payroll taxes increased, (Obama said he wouldn't rais taxes on the middle class), gas is going up (Obama won't allow the Canadian oil pipeline), Sequestration will hit us in 10 days (Obama won't quit spending)...I see a theme emerging.....
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[BRIEFING.COM] The stock market ended the Tuesday session on a lower note after generally upbeat earnings took the back seat to geopolitical concerns. The S&P 500 (-0.5%) and Nasdaq Composite (-0.1%) ended on their lows, while the Russell 2000 (+0.3%) displayed relative strength.
Once again, market participants were focused on quarterly reports in the early going, but geopolitical worries overshadowed the impact of mostly better than expected earnings. Specifically, equities ... More
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