Originally Posted by Runner2go
Originally Posted by Spaceman Spiff
Originally Posted by jcc
This is the way it works, crude goes from $54/barrel to $55, gas goes up $.07 a gallon.
Crude goes $55/barrel to $29, gas goes down $.45.

Makes sense to me. realcrazy


Because the tax doesn’t go down...

The price of a barrel of oil never has a direct relationship to the price of gas... as in, it doesn't go down exactly "X" cents for every $1 reduction every time.
However the spot price of refined RBOB Gas usually does... Take that price add State & Fed taxes, plus a margin it's usually pretty easy to see where the price is going to go, either up or down. But clearly that's not the case now.... Jan RBOB was $1.65/g Yesterday it was $0.42 eek Today it was back around $0.55... but still over a dollar lower than it was 2 months ago. One would think gas should soon be a buck lower than it was in Jan based on the price of refined wholesale gas. But around here we are only down about 45 cents... so far.


I don't disagree with your main premise, but say if crude goes up a $1.00, and gas then goes up $.07, the next day, and a week later crude goes down a $1, followed by gas going down 5? days later $.03, and increases are always blamed on the increase cost of crude, its rather hard IMO to argue with my premise of the whole announced price basis told the public is really just BS, it's really just supply and demand, get as much as the market will bare.

Reality check, that half the population is smarter then 50% of the people and it's a constantly contested fact.