Oil Prices Fall to $65 per Barrel, Why Not Gas?
If you have been living in a bubble and don’t know, oil has been dropping in price pretty quick lately. The price of oil plunged close to 65 dollars per barrel here on Wednesday, hitting a 17-month low after news that US energy stockpiles rose across the board last week, traders said.
The market was already facing intense selling pressure on renewed worries about energy demand in the face of slowing global growth and despite a likely OPEC output cut later this week, analysts said.
London’s Brent North Sea crude for December delivery tumbled to 65.28 dollars per barrel, which was last seen on May 20, 2007. You can read more about oil prices here:
Here is my question, I seem to remember gas prices at the pump going up almost everyday when the price of a barrel of oil was skyrocketing, so why haven’t the prices at the pump been falling just as fast on the way down? I know, I know, it’s a stupid question because the answer is so easy, because they are full of @!$%!
I remember the talking heads on the major news telling us that we should expect a .50 price increase at the pump for every $20 the price of a barrel of oil goes up. Well, shouldn’t we expect to see prices at the pump drop .50 for every $20 a barrel falls in price, just like it did on the way up? Yeah, I know…..



Jason – You would think it should fall as fast as it goes up but it never seems to happen that way!!