Hello everyone! Hope your weekend went well.
I know we just had a price hike to $2.19 (a little steeper than it
should have been, thus it didn’t really last- prices fell fast to
$2.09-$2.15), but due to the colder weather and OPEC going through with
their supply cut as proposed, I think we’ll see a Monday AM hike.
Wholesale futures are trader higher again right now (Sunday evening)
and it makes this call a bit more obvious.
Last week gasoline futures were hanging around $1.43-$1.45. However,
since Wednesday, traders have pushed that to 1.48-1.49. I’m really not
100% on this price hike like I usually am, but I really can’t see
stations continue to get profit out of $1.99-$2.05. It also makes it a
harder call because the last hike was larger than expected.
We might see some sort of effort by the “major chain” to reset prices
to $2.15-$2.19, and if they do, expect it to last longer than the last
hike. I am actually suprised to still see a few stations back down to
$1.99. I don’t think we’ll see the $1.99’s again after this hike. They
are losing money.
So, Monday AM, I am about 70% sure we’ll see a hike. Better safe than sorry, right?
Estimated price? $2.15-$2.19. Fill’er up!
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