Gasoline tops $2.70 a gallon, most since October '08

[DainBramaged]

Gasoline prices are topping $2.70 a gallon on average for the first time since October 2008, according to the American Automobile Association's daily Fuel Gauge Report.
The national average price for a gallon of regular gasoline jumped from $2.685 Wednesday to $2.709, AAA and the Oil Price Information Service said early Thursday.

Pump prices have already surged past 2009 highs as winter storms and a flood of speculative money send oil prices higher. Pump prices hit a year high of $2.695 in October.

With the average gallon of gas is now a shade under $2.71, a typical motorist using 50 gallons of fuel a month will pay about $135 a month to fuel up. Last year at this time consumers were paying only about $85 a month.

Americans are now spending about $1 billion a day on gasoline with most paying 90 cents to a dollar or more per gallon than they did a year ago.

Gasoline has followed crude oil prices higher. Thursday crude was trading above $82 a barrel, a level not seen since 2008. Oil has surged about 15% since mid-December. A barrel is 42 gallons.

http://www.usatoday.com/money/industries/energy/2010-01-07-gasoline-prices_N.htm?loc=interstitialskip

[DJ13]

1. Everything goes up ...... except our pay

[Blue_In_AK]

2. Gasoline has been $3.26 a gallon here,

or more, for months. Suspicions are that the two local refineries are colluding to keep Alaska's prices high. We would be thrilled to pay $2.70 a gallon.

http://www.adn.com/front/story/1074361.html

[juno jones]

9. Yup WA state here

Most of our gas is over $3.00 here because our buisnessmen are more concerned with screwing Canadian tourists than they are with providing their neighbors with a service. 30 miles down the road southwards gas mysteriously drops by 30-40 cents. One of our few remaining industries is refineries, it's not like they have to ship it anywhere.

[prolesunited]

3. They really need to end the speculation and manipulation

just as the economy is starting to show signs of recovery, $4+ gas will bring it back to its knees.

[louis-t]

4. At a time when demand (at least here) is down

and reserves are higher. Gotta love supply and demand.

[ParkieDem]

5. It's really more due to the weakness of the dollar

Since oil is priced in dollars, the price goes up when the dollar falls.

Also, people are flocking to commodities in anticipation of high inflation.

[notadmblnd]

7. according to this graph, the dollar has been gaining strength against the Euro

The dollar has been rising recently, not falling.

http://www.x-rates.com/d/EUR/USD/graph120.html

[taterguy]

8. Demand is only down because fewer people are working

Naturally I'm too lazy to look this up but I doubt that many people are changing how they transport themselves.

They just aren't going as many places.

And from the article: Is 50 gallons really how much a typical person uses in a month? Wow.

[notadmblnd]

6. I guess it's the oil barons turn in line?

hand out to the banks, handout to insurance companies, now handouts to the poor oil industry. Who's next?

[hootinholler]

10. Just paid $2.79/Gal for Heating Oil!

Fucking Heating oil is essentially Deisel without the road taxes. It's robbery.

-Hoot