10:30AM: I am planning to devote some time before the new year reflecting on how gas price behavior in 2005 was different than in previous years. Last week is a good example, as we got two price hikes — on Monday and on Friday. Before 2005, we never got a price hike on Friday. Then there’s the recent price behavior in Allendale — 20 cents cheaper here today, folks, than elsewhere!
Looking ahead to this week, wholesale prices have been trending up since November 29, and retail prices have followed. We’ll be watching this week to see if the trend up continues, as we know that the retailers are quick to hike prices when the wholesale trend is up. The numbers this morning are a 0-cent margin price of $2.14 and a 20-cent margin price of $2.35, but that could easily change. Wholesale prices rose by a nickle on the 12th, leading to a price hike to $2.39 on the 14th.