Monday, August 2, 2004

On the chart I keep of gas prices, you can see a definite change in behavior after Memorial Day this summer. Price hikes have been less frequent, and prices have been allowed to drift down into 0-cent margin territory, while the Chicago Summer Premium has disappeared completely. And now, with crude oil trading at an all-time high, the wholesale prices of gasoline has not followed suit — those prices were much higher in May. All this is good for consumers, but when a change like that occurs, you wonder what is going on. There is evidence in the business news that the national economy slowed down in June — are gas prices a reflection of this? Regarding this week, future prices Friday and today reflect a new gas price of $1.99. Since prices are in the $1.70’s in some places in the Grand Rapids area, I expect a price hike later this week to about $1.99. If something strange happens with futures prices, I’ll make another post Tuesday or Wednesday. Up, up, up to $1.98 on Wednesday, August 4. CORRECT!