Gas Over $3 — Who is Profiting?

Comment on the May 6 prediction: CORRECT about the under-hike on May 8, but not prepared for $3.09 on May 14.

Sunday, May 20, 2018, 9:00PM: In the past year, gas prices have climbed from $2.40 to over $3 a gallon, following oil prices that have soared from $47 to $70 a barrel. Who’s profiting? Clearly oil producers such as OPEC, Russia, Texas, and North Dakota. And how about Valero Energy, an oil refiner and nationwide gasoline retailer, particularly in California and Texas. You could have bought a share of VLO for $62 a year ago. On Friday, the closing price was $120.56. Nice profit for shareholders! I wish I bought some shares, as I worried about $3 gas.

Well, what about the rest of May? Wholesale prices continue their climb this month, and I’m sure they’ll reset prices this coming week, maybe as soon as Monday. At least back to $3.09, and $3.19 is highly probable. -EA

Updated: May 20, 2018 — 8:29 pm


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  1. South Bend IN – Speedway going to $3.15 today. They made it down to $2.92 this morning from last weeks spike.

  2. Seeing some central Indiana gas stations going up to $3.15 with others cranking it up to $3.29. I thought they’d wait a couple more days to make it stick over Memorial Day weekend. Maybe they plan to throw in a second “bonus’ spike around Friday or Saturday??

  3. Lots of Speedways all over Michigan up to 3.19 already.

  4. Speedways first to hit $3.19 in Grand Rapids, Tuesday morning.

  5. $3.29 and $3.39 is the price
    in Chicagoland . A day ahead of expectations. But I’m a Marathon Petroleum shareholder, so there’s the upside.

  6. Unless I’m imagining, gasoline is tracking crude nicely. Ie from 45 to 70 is the same ratio as 2.00 to 3.15.

    We must be burning 100% crude or the old “70% of price of gasoline is price of crude” logic is out the window.

    Of course in other places this is not happening but regardless…

    Any thoughts?

  7. Mike - Kalamazoo

    Greedway doesn’t seem to even look at the spike line anymore around southwest Michigan. Jumped to 3.19 and most stations were still around the 2.95 to 2.99 range. Guess the silver lining to that is it was only a 20 cent jump instead of 40… thanks Greedway..

  8. just in time for the holidays a token speedway spike in NW ohio area
    before price 2.929..after 2.999..nice touch

  9. SW Ohio made the jump to $2.999 as well. Quite a few stations hadn’t budged from last week’s $2.999 spike. Oh well, filled up for $2.549 on the way in this morning. Speedway gets the middle finger.

  10. Our third car was in the shop with brake issues when the latest spike hit SW Ohio. Hit the UDF Thursday evening with it and with their rewards card I was able to get the gas at $2.6899 or the pre-spike price. It was the first time I took advantage of the 24 hour grace from the price hike that they offer.

    Crude and Brent down 2%+ this morning. Hope it’s a start of a tend.

  11. WTI currently down 3+% ($2.25/bbl) based upon speculation that Russia and Saudi Arabia will place a gradual increase of 1M bpd so as not to negatively impact “consumer nations” such as India and China. Issues with Venezuelan output have increased the output reduction as of late. US production is up to 10.73M bpd, second only to Russia at 11M bpd.

  12. Amazingly, Fort Wayne hung in the low to mid $2.80s all week. Still showing mostly $2.83 right now. Another Tuesday post holiday spike perhaps?

  13. Nice to see WTI crude with a solid drop. Sure hope OPEC has made enough money and they actually increase output, even if by a little bit. We’re still averaging .75 cents a gallon higher than last year at this time (.65 if you don’t count the 10 cent gas tax hike)

  14. the token nw Ohio spike is crumbling most areas back to around 2.85 from the 2.999 Wednesday. even that’s still a fairly healthy 20c margin

  15. WTI dropped another .86 in the market today (Monday) in the Singapore market to settle at $67.02 based on
    the reports of OPEC, Russia and the U.S.’s commitment to increase production in the second half of the year.

  16. Spike in sw Ohio already gone in most places. Filled up for $2.649 in Middletown yesterday.

  17. Except Indiana. I loaded up in Missouri for 2.65 around I-70. Then watched the price creep up from 2.65 to 2.73 around STL to 2.89 in Effingham to 2.99 in Indy.

    Granted, Missouri is way lower in taxes than Indiana but Illinois is right where we are.

  18. a few 2.80 creeping in NW ohio but lots of 2.90 + still. .wow margins approaching 40c. cant imagine prices falling as fast as the price of Oil

  19. Looks like the snort lived drop in crude is over. OPEC/Russia have apparently decided to not increase product into the supply chain after all. That, coupled with an anticipated EIA report that US oil supplies have fallen, both factor into today’s uptick in prices.

  20. Indy area spike to 3.09

  21. They don’t waste any time do they. As soon as spot goes up a couple cents BOOM

    Just market forces at work lol

  22. Back to $3.29 in Chicagoland today, because the margins were exactly what they were last week just before it went up

  23. I guess 30.cent margins aren’t good enough?

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