I wish I had the $$$ to stock up. I have two 250 gallon heating oil tanks at our shop that aren't being used right now, and a pump I can use to fill the truck. Unfortunately I just don't have the cash. Aaaarrrgggg. If the tanks had HEATING OIL in them, I'd still fill-up up there!!!! But they are empty too. :-(

Jim

 

Theres an oriental gas station charging $.75 more per gallon than stations 2 miles away. No idea why. I saw them changing the sign and about ran off the road.

 

I've heard this argument, and disagree. Tell me, if he is projecting what the "next" load is going to cost him how did he ever have the loot to buy the first tank load???

 

$.20-.30 jump? how about $.78 yesterday A.M. gas was $2.72 across the street now $3.49

 

You can disagree all you want. I'm just telling you how the system works. The station owner is watching market price trends from NYMEX as well as forecasts from his wholesaler to estimate what he/she will be paying for the next delivery. This becomes a key factor (as well as competitive pricing in his area) for establishing prices each day.

Rusty

 

Well, I suppose we'll have to agree to disagree then!

So, I buy a product @ $1.00 today, to sell tommorow at $1.25, then I find out that the next time I buy that product is it is going to cost $1.05, I magically deserve to make MORE off of the stock I bought at $1.00??
Oh, okay, now I better understand!!??

Makes me sick.

I'm not even remotely mad at the retailers, heck we have a well established Texxaco that hasn't even sold Gas or Diesel since July.

 

S.O.P. Everybody does it in every aspect of the Retail business, nothing unusual about it.

I bought a bunch of SKS rifles when they first flooded the market, got them for a VERY good price and as such sold them at a good price. I went to a local gun show with a handful that I had left and was selling them for about 35 dollars less than anyone else there.

I didn't make any friends that day with the other Dealers, but I just didn't see the sense in inflating my price when I didn't need to. Now had I been interested in buying more of those rifles to sell, it might have been a different story

Under those circumstances I would have been thinking how I needed to make enough off each one to replace it with another, and still maintain my profit margin. Might seem like gouging to some, but to others it is just good business sense.

 

Might be good busniess sense, I like "fair" and that has gone out the winodw many years ago. It was overtaken by, "Who's gonna stop me?", and I almost forgot, my favorite, "'Cause I can!"

Not much sense in stressing over it, fact is I'll buy at 3, 4 prolly even over $5.00 a gallon. Kids got to eat, Dad has to Appraise Real Estate, right??

 

It really boils down to this. Either the dealer charges enough today to have cash in hand to pay for the price that will be charged for the next delivery, or he/she goes to the bank and borrows the difference between what he/she has in hand (based on the cost of the prior delivery) and the cost of the next delivery. It's a matter of cash flow - does the dealer want to use his/her money or the bank's (at a nominal rate of interest, of course).

As Lary said, it's a decision every business owner has to make for himself/herself.

Rusty

 

Forgive me if i am ignorant, but will diesel be effected the same as gas. In SE Texas, Diesel is finally cheaper than gas, but can i assume diesel will increase as gas does? Everyone reports fuel costs as gas.

 

Click on the NYMEX link I provided earlier to compare relative wholesale costs of diesel (heating oil) versus unleaded gasoline. These costs don't include fuel taxes or transportation costs from the point of delivery as well as local supply/demand factors, so they will vary state to state.

Rusty

 

Same down here in south texas

South south texas as in laredo, its anywhere from 2.41-2.73 for diesel, and i have seen premium as high as 3.49 a gallon, with no station less than 2.99 for regular gasoline..

Tx

 

Went from 2.45 to 2.99 for octain....Diesels 2.75

 

Prices here look like up 10 cents across the board.
Diesel now at $2.61 gallon for 45 cetane.
Regular Unleaded at $2.89.
Premium Unleaded at $3.09

 

jumped $.40 today up to 3.20/gal. here