Are you crossing a state line to get to that gas 90 minutes away? If not, it is the decision of the station proprietor.

Nope nky to mt sterling?

Where is the supply and demand Clyde? We are the biggest gasoline consumer. Speculators, never receive one barrell of oil they are bidding on.

 

I'm not sure what you mean. Are you saying that because US demand has dropped that prices should as well?

So there is plenty of oil, but not low-cost oil? Would not speculation, as I pointed out in my first scenario, not cause that? If not, why?

 

The economy has nothing to do with commodities speculation? Wouldn't speculating higher priced futures take the economy, mainly inflation, into account?

 

Correct. There is "plenty" of oil yet the amount of traditional cheap oil is dwindling WHILE world demand is rising. I've told John Anthony this many times but he either forgets or refuses to believe. It's why we're seeing the Tar Sands in discussion. That's really expensive oil to produce because of the costs associated with extraction.

 

One of the roles of speculation is to keep supply being purchased that isn't available. That's one of the reasons the prices rise. Often times speculators are buying these contracts for companies who depend on oil so that they can lock in pricing so that they can budget down the road. SWA, for example, may buy a contract for X barrels of oil at $Y 12 months from now so that they can plan accordingly.

Correct. There is "plenty" of oil yet the amount of traditional cheap oil is dwindling WHILE world demand is rising. I've told John Anthony this many times but he either forgets or refuses to believe. It's why we're seeing the Tar Sands in discussion. That's really expensive oil to produce because of the costs associated with extraction.

 

One of the roles of speculation is to keep supply being purchased that isn't available. That's one of the reasons the prices rise. Often times speculators are buying these contracts for companies who depend on oil so that they can lock in pricing so that they can budget down the road. SWA, for example, may buy a contract for X barrels of oil at $Y 12 months from now so that they can plan accordingly.

 

This thread is talking about oil that's done passed through the refineries and made it to the pump, so it has (or, shouldn't have) mostly nothing to do with what's going on in Mt. Sterling or Ft. Mitchell. More specifically, why do prices change daily in E'town but are slow to change in Bardstown?

This thread is talking about oil that's done passed through the refineries and made it to the pump, so it has (or, shouldn't have) mostly nothing to do with what's going on in Mt. Sterling or Ft. Mitchell. More specifically, why do prices change daily in E'town but are slow to change in Bardstown?

 

 

In that case, it's the owner of the station either reacting the local market or using the price to cover future purchases .

Do they really need a reason to raise prices?NOT.

Nope nky to mt sterling?

 

 

Like Louisville, N. Ky is required to sell the E10 blend of gasoline. The rest of the state is not. E10 I'm told is more expensive to produce/manufacture, hence one of the reasons gas in N. Ky is more expensive than in Mt. Sterling.