Monday, May 31, 2010
The Price of Gasoline Remains Stable. Why?
Have you noticed that there has been no wild increase in the price that you pay at the pump in the recent past? Usually at this time of year - just prior to Memorial Day there is a fairly substantial increase in the price per gallon. Not this year. This year we have not heard so much about the "summer blend" that costs more to produce, refinery turn arounds, and unit shutdowns, strikes in the oilfields, rebels in Nigeria, unrest in some Krapistan or other, blah blah blah. This year in fact we have very serious issues that would normally cause a rather sharp increase in the price we pay at the pump. There is of course a massive oil leak in the Gulf of Mexico that appears unabated and there is real saber rattling on the Korean Peninsula. Usually this type of scenario along with the normal increase this time of year would put the price through the roof. Why has it not this year? Could it be that the oil industry is scared shitless of the Obama administration and dares not jack prices? If so, is this a silver lining to Obama's utterly disastrous term? Trying to "play ball" won't help them (oil industry) though. They are in the sights of the radicals, especially now that they have made themselves such an easy target. I'll wager that things will soon be getting pretty hot for the industry - probably to the detriment of us all.