Comment on the December 4 prediction: CORRECT, as we have been hike-free the last two weeks.
Saturday, December 17, 2022, 9AM: What has happened to gas prices in Standale? I built my original Gas Game formulas more than 20 years ago based on monitoring gas prices in Standale, which is a business district in the city of Walker, Michigan. To this day, I drive through Standale regularly, passing six gas stations on Lake Michigan Drive, between I-196 and the county line. But I have found it harder over the past few years to make price predictions based on the dynamics in Standale, and I am thinking about turning my focus to Allendale, seven miles to the west.
This morning, a gallon of gas in Allendale costs $2.65. This is 90 cents cheaper than in Standale! In the past year in Allendale, and nearby Coopersville, two new gas stations have opened — a BP at Lake Michigan Drive and 48th, and a large Mobil/J&H at one of the Coopersville exits on I-96. These two stations joined several at the other Coopersville exit and several more on Lake Michigan Drive, between Grand Valley State University (where I work) and 68th street. The middle of Ottawa County is awash in gasoline! This creates pricing competition, which means a perfect venue to play The Gas Game.
Meanwhile, in Standale, just a 10-minute drive away, there is apparently enough business for all the stations to declare a truce on any gas price wars. They are actually the most expensive spot in Kent County this morning, at $3.56 a gallon. It didn’t use to be this way. Should I blame the new Chick-fil-A?
I don’t know, but I haven’t bought gas in that part of town for months, and I don’t plan to until there is some sort of system-wide reset. If Allendale prices are deciding factor, then we are close to one, since I calculate the 0-cent margin price to be $2.59 this morning. That would correspond to a hike to $2.89-$2.99. Would the stations in Standale lower their prices, if they received a text from Gasoline Central saying the new price is $2.99? I doubt it.
But, fill your tanks in central Ottawa County while you can. I don’t think those prices are going to last. And after Christmas, we’ll have some comments about the 1.4-cent gas tax hike coming on January 1. -EA
I have been so confused. The price difference between Allendale and the lakeshore has gone from +15 to 0 to -10 to -30-35, to -40. It’s crazy.
Time to fill a few 55 gallon drums. Should keep for 6 months. Lol
Similar in sw Ohio. I can get gas for $2.70, drive about 15 minutes, and it’s $3.50. I have NEVER seen it like this, not even in late 2008/early 2009.
My tank is 30 gallons. It’s worth it to me to drive across town to save almost $20.
Family Express attempting $3.19 in NW Indiana…Speedway and others have yet to follow
FINALLY found a $2.899 on the West Side of Cincinnati. Topped off at Shell in Monfort Heights right before the weather hit the fan yesterday afternoon. This is one of about 3 or 4 stations in the Monfort Heights/White Oak Suburbs at or near that price.
The Dent stations about 5 minutes away are steadfast with remaining high. They dropped to $3.279, down 2 cents in a week. Crazy.
Chicago wholesale was up 23c this week. That was before today NYMEX futures 12c rise driven by cold weather refinery woes. By my estimation all but one Illinois Speedway is below the price hike target I calculate and about half of them are 40c or more below (up to 60c). Enjoy the gift of low prices through the holiday weekend. I expect a Chicagoland hike to $3.39 Monday or more likely Tuesday since Monday should be a day off for Speedway HQ.
Speedway hiked IL prices to $3.09 today (many especially in my area, were at $2.69). That new prices brings them from big losses to covering taxes and fees but no profit.
Family Express NW Indiana attempting $3.29. Speedway has been slow to follow.