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TOP CONTRIBUTOR | Gas is down 40% per barrel since july so how come i dont see this at the pump? |
So how come we have'nt seen gas prices fall fourty percent at the pump??
in july i paid about 4.25 per gallon
now i'm paying about 3.77 a gallon
i'm happy it went down, but how come it didn't fall fourty percent??
Additional Details
ALEX-
prices are down from 147 to 80 dollars a barrel!! thats about fourty percent! NO averages over there hun... just the FACTS |
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jack99skellington
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Corporate Greed. Last time it was $80 per barrel, gas cost $1.89/gallon here. Now it's $2.73. Oh so quick to raise it. Oh so slow to bring it down.
edit: I'm in Missouri, where all gas has 10% ethanol by volume, and low taxes, so we usually have very low prices. At it's highest it was $3.79 here. |
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anpadh
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Gas prices have nothing to do with the actual price of crude oil, what others are charging, or the profit margin. It is very simple, really. People have gotten used to paying about $4 per gallon, for gas, across the U.S. No matter what, people have to drive -- work, groceries, school, etc. -- everyone drives. Gas station owners are not stupid. They have figured this out. They are not going to drop prices just because they are buying at cheaper prices. They are going to keep the prices as high as people are willing to pay. Even if, let's say, one gas station is selling at $3.05 per gallon, the guy across the street can still sell for $3.95 per gallon because the guy selling at $3.05 is going to be over-crowded and he is going to run out of gas pretty quick.
Gas prices will fall, eventually, but only if prices stay low for about 6 months or so and gas stations realize they simply cannot sell at high prices because the guy across the street can continuously get and sell gas at substantially lower prices. |
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SM
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3.19 (& dropping) Raceway Jackson, FL. |
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Marysue
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Simple answer: prices don’t fall as fast as they rise b/c the station owners are trying to recoup their losses from when gas was so high.
Most gas stations are franchises and the owners only make a few pennies on each gallon. When prices were at their peak, the owners were often taking losses because they knew customers wouldn’t balk at paying the true cost. It’s worse when your station has different supplier than the guy down the street.
What if he’s getting his gas for $3.00/gallon and your supplier is charged $3.25? Are you supposed to bring down your prices to match the guy down the street even though you’re going to lose money on every sale?
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OU812
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Gas is $3.09 here (Western Tennessee) So I'm seeing it |
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Scott
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I was just about to ask the same thing!!!! I'd love to know what gas prices were when oil was @ $86 per barrel. I just filled up here in SoCal at $3.47 pg. |
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Stephanie C
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it depends on where you live. if you are in the south east it is still slightly higher because of the oil rigs being down because of the hurricanes. in hilton head sc it is still over $3.00 |
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what?
 |
because while gas was rising, oil companies were doing whatever they could to keep gas prices down. many gas stations were taking huge losses.
now, they have to make that up. you don't want them to have to go out of business, do you? |
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BLUEJAY57
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2.69 in kc |
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TaylorProud
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It is $2.69 in Independence MO today!!!!! (near Kansas City) |
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Hannah S
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We have gas is freacken 2.99!!!! |
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Murzy
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i just paid $2.93 today NJ |
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Paul in San Diego
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Give it a coupla-few weeks. I read today that the price of gas should fall pretty quickly over that time, assuming oil prices stay low. But, don't expect the price reduction to exactly mirror the fall in oil prices. Remember, prices quoted today are usually on oil futures. Who knows where the price will actually be next week, next month, etc.? |
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2Awesome4U
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Give it a chance to make it to the refinery and then to the pump first, cupcake. What you're paying for at the pump is gas based on the price it was purchased at. |
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Vic J
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Gasoline is traded on the stock market in 3 month contracts.
So, we are buying gas based on the last contract price.
The market is NYMEX, and the contract name is RBOB.
Also, the gasoline companies don't lower prices until demand drops. |
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Chris
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i live in alabama and this is what im seeing. most of the has stations that r ran by foreign ppl which where i live r most all of them like chevron, bp, texaco, dfm. these gas stations have gas around 3.57 per gallon. but there is a gas station called jet pep and it is american ran and american owned and there gas is 3.27 per gallon. idk why this is but honestly i think the others r price gauging bc they know we have to have gas so they get the price just enough so we will pay for it but they still make a big profit. |
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Tommy M
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they are ripping us off !!
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Alex
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Prices are down an AVERAGE of 40%. Thats the NATIONAL AVERAGE. Every town is different. Larger cities will see a different rate than smaller ones. Different parts of the country will be less affected. |
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