Thursday, April 1, 2004

In the news yesterday was that OPEC is cutting production, but also that the amount of gasoline currently available to retailers is more than expected. News like this is making wholesale prices more volatile, with prices of gasoline moving 3 to 4 cents up or down depending on the day. I’m sure it is just a coincidence that if you take the worst wholesale price this week and compute a retail price, you get $1.84, and that is what we are paying today. Since wholesale prices are already three cents lower than Tuesday, I expect we’ll see some good price drops over the next few days. I have no idea about next week. Gas was $1.70 in Wyoming on Sunday. That’s a nice price drop, so this was a CORRECT prediction.