Experts: $4 a gallon gas coming soon

[Bush_Eats_Beef]

Experts: $4 a gallon gas coming soon
Pricing analysts say consumers can expect even higher prices at the pump.
August 31, 2005: 4:11 PM EDT
By Grace Wong, CNN/Money staff writer

http://money.cnn.com/2005/08/31/news/gas_prices/

NEW YORK (CNN/Money) - Consumers can expect retail gas prices to rise to $4 a gallon soon, but whether they stay there depends on the long-term damage to oil facilities from Hurricane Katrina, oil and gas analysts said Wednesday.

"There's no question gas will hit $4 a gallon," Ben Brockwell, director of pricing at the Oil Price Information Service, said. "The question is how high will it go and how long will it last?"

OPIS tracks wholesale and retail oil prices and provides pricing information for AAA's daily reports on fuel prices.

Brockwell said with gasoline prices now exceeding $3 a gallon before even reaching the wholesale level, it "doesn't take a genius" to expect retail prices to hit $4 a gallon soon. "Consumers haven't seen the worst of it yet," Brockwell said.

[ugarte]

1. Motorists will probably swallow this

but I can't see truckers taking it. Some shit's gonna fly.

[hatrack]

2. Hell, it's already here

According to another thread (sorry, don't have the URL) Faux is reporting stations in Atlanta charging $5.69 per gallon.

[Ladyhawk]

3. If so, goodbye dreams of being in Modesto Symphony Chorus...

Oh, well. :shrug:

[EVDebs]

4. This is starting to match the adjusted $80/bbl in the '70s

"The OECD model predicts that a $10 per barrel rise sustained for more than 12 months lowers the level of US GDP by 0.2% and adds 0.4% to inflation. For the eurozone and Japan, the consequences are more marked - 0.4% off GDP and 0.4% on inflation"

from:
Economics - Oil well that ends well
Dennis Turner, chief economist at HSBC, Financial Director 30 Sep 2004
http://www.financialdirector.co.uk/financialdirector/features/2049895/economics-oil-ends

We still need to conserve our way out of this mess. Getting mired in Iraq over oil wasn't too bright either.