In my area diesel isn't droping with the gas prices. Anyone care to speculate on this? It's 60 cents more per gallon here. Kinda strange.

 

Supply & Demand.
As gasser's heavy drive season is over with the ending of the summer vacations, there's an abundance of gasoline on the market.
Diesel is still needed to power all the trucks and trains that deliver goods all over the nation as well as to power all the farm equipment used in the harvesting of our nation's crops.
It depends on your area.
Here in the DC metro area, gas has dropped to the $1.90's while diesel has dropped to ~$2.40

 

This comment is not in any way to be construed to be a commentary on the war in Iraq/Afghanastan
A disclaimer for those that want to make all fuel price discussions political


The US military is a HUGE consumer of diesel fuel, it powers most of the big equipment being used in the sand pit. That right there accounts for a lot of fuel being burned. Not to mention China/India have GREATLY increased their consumption of diesel as their economies have greatly expanded in recent years.

 

In PA it's because we have the highest diesel fuel tax in the country. $0.35/gal just to the state.

 

Thankyou for noticing... I thought it was just me!

 

An acquaintance of mine works for an oil services company as an engineer (well, a manager now), and I recently discussed the upside down price of #2 in particular and the current energy "picture" in general; the only answer I got was that the prices are dropping because of the looming general elections... even stated that the Administration "must have" called Big Oil and told them to lower their obscene profit margins or else!

How could anyone have slept their way through a whole year of Economics 101 ?

Does seem to be contagious though... good thing I'm immune!

 

If it was that simple shouldn't the Economics text books just be one page that says "It's because of the Republicans/Democrats that _________ is expensive, but thanks to the efforts of the Republicans/Democrats _________ is still affordable."

International markets are very complex, influenced by many factors. It is easy to only see one that people want to see, regardless of weather or not it really is a major factor.

 

Well, I don't want to make the fuel price thread seem political....

... but your point is well-taken!

BTW - I filled up with #2 at $2.54/gallon today; down 11 cents just from the Fox News interview yesterday.

 

You notice I put both parties in there

I think it was $2.39 here today...

 

Well.. I'm not a rocket scientist ... but with distalliate stocks at an all time high.., 18% ABOVE the 5 year averages....AND GROWING during the peak harvest season & retailers stocking up for the silly season..., U would THINK we are CERTAINLY outstripping DEMAND!

Under NORMAL circumstances.. they should be GIVING it away! But then there is the GREED factor!

Therefore, it is MY opinion it will REMAIN upside down & high until political factors intervene like they did for gas, or we unite!

 

Filled up today @ $2.56 gallon on I-75 inbetween Naples and Ft Lauderdale. At either one of those locations it is $2.74 and higher.

 

I think that it is just because the car companies weren't moving the new vehicles and people were starting to buy more diesel vehicles. They dropped the price to keep the companies going. Diesel ranges from 2.79-2.49 here and it is still expensive compared to gas at 2.06

 

Who should be giving what away?
Can you tell us more about this GREED factor?

What do you think we should do to reduce the price of #2?

 

So you think that Big Oil dropped the price of unleaded to bolster sales by New Vehicle?

 

I think that the car industry had something to do with the price of gas dropping. I wouldn't be surprised if it is correlated to the election also.