Prices to Align Ahead of the Fourth

Comment on the June 14 and 24 predictions:  The predictions of lower and lower prices were CORRECT.

Monday, July 1, 2013, 8:00PM:  A month ago — June 5, to be exact — we saw prices rise to a record $4.29 a gallon here in western Michigan.  This was due to “refinery problems” around Chicago.  As these problems have cleared up, prices have fallen dramatically, to as low as $3.29 — a dollar less.  Now, wholesale and retail prices are lining up again, and I calculate the cost to retailers this evening as $3.31.  With prices still all over the places, I am sure retailers will quickly match any price hike, and we should see one Tuesday or Wednesday.  Predicted new price in the $3.49-$3.59 range. — Ed Aboufadel

Updated: July 1, 2013 — 7:58 pm

19 Comments

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  1. Gas at cheap stations in Fort Wayne is $3.24, or seven cents below the calculates cost. A spike is definitely coming before the holiday. Glad I got all my vehicles and cans filled. I can go for two weeks now if needed.

  2. $3.25 @ Sam’s Club on Alpine this morning!! Got the last vehicle filled this morning. Hike for the holiday is my prediction – they can have at it.

  3. New price is $3.599. Thank you Greedway for the 4th of July celebration.

  4. Yes, Hubbie24, they (Greedway) are celebrating. They seem to get to every holiday.

  5. Well of course they would celebrate, being the Great American country they are. 3.599 in Kazoo area now.

  6. sorry meant “company” they are…

  7. I am seeing 3.499 here in Indy. Not a lot of Speedy stations up, however. Are they still driving prices up, or is there some other player, here?

  8. independent retailer

    Cost 3.36 yesterday, 3.38 today

  9. I am sure, that just as we here see a formula to what Speedway does, other retailers see how Speedway does it too. They could be jumping ahead of Speedway by what they figure is just a few minutes/hours. Sort of like prodding Speedway to hurry up.

  10. $3.49 here in Fort Wayne. Being led by Lassus Handy Dandy.

  11. I find it very interesting that when there is a spike that every station comes up with the same exact magic number. Call me crazy but that is about the definition of private collusion.

    The freefall was much appreciated from my bank account and fun while it lasted.

  12. 3.15-3.20 were the lows in Flint as of 1pm today. the wave of 3.59 is slowly but surely rolling over the surrounding counties though. in many cases prices were static at the mid 3.20s at numerous stations in the flint area after daily 2-3 cent declines. When they hung there, I had begun to suspect that 3.59 would be the logical bump, given the well established tradition of spiking to the tune of 35 cents at a time.

    Used my kroger points on sunday to get the only under 3 buck a gallon gas I’ll see this summer. ( same exact thing happened this time last year I recall) after which, I never paid less than 3.25 again til the thanksgiving – dec mini drop. We’re gifted the brief window for under 3 bucks just twice a year here in MI anymore… (Kind of like Caddy’s Pool day at Bushwood)

  13. The reason I asked about Speedway “leading the way” is that it doesn’t seem they are anymore. Used to be all of their stations went up all at once around 9:30 am. Now, when I looked at 9:30 this morning, I saw ONE had gone to $3.499. Since it’s my job to drive around the city, I have seen several times on a spike day Speedway being low, and the station across the street spiking up.

    Maybe this is a question for an article, but that’s how I’m seeing it right now. Which begs the question… if not Speedway, who’s pulling the strings?

  14. Oh, and I got gas for $2.999 in Greenwood. I’ve also seen it below $3 on Post road east on Indy, and a whole bunch under $3.109 all over Indy. We were really, really low.

  15. Bill, I still see this as a Speedway thing, they started it, and they taught it. The other stations learned, and now it appears they are jumping in a couple hours ahead, as if telling Speedway, “Hey, Go Ahead, We’re cool with it”

  16. Timm, I would believe you, but other stations aren’t a couple hours ahead, Speedway has stopped going up all at once, all at 9:30am. Even today I saw lots of Speedway stations in the three teens. They would normally raise to the spike price, and force the others to go up with them… that doesn’t happen anymore.

    So with this change, what is driving prices up? Could it be Meijer’s “Prices going up” text? Or Thornton’s?

  17. Bill; The behavior I related is what I see in Fort Wayne. It used to take most of a day to get all the stations raised, now it only takes an hour or so, except for Sam’s and the Kroger on West State. Every Single other station is changed to the exact same price within an hour. First, the Lassus Handy-Dandy, then the Speedway (within 15 to 90 minutes) then everybody else within 20 minutes. And states/locations with no Speedway do not do this. It appears Speedway has adapted to local environments, and a few other stations found usefulness to Speedway tactics.

  18. Of course, now with Egypt beginning round 15 or so of “Arab Spring”, all bets are off and we’re back to $100-110 crude and who knows what gasoline, right in time for the ‘low price’ season beginning after Labor Day (LOLZ).

    We can’t even have $3.39 as a ‘good price’ anymore.

  19. Well I avoided the $4 dollar plus gas with a well timed vacation! Nice to see a .75 cent drop when I returned yesterday. Like Turbo said, I’m sure with WTI Crude cranking up again, Chicago Spot could soon follow. Sure hope I’m wrong.

    If it’s any consolation, during my vacation in Japan gas was the equivalent of $5.40 a gallon….ouch!!!

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