Gas...how low can it go?

timwinters

timwinters

Ejection Handle Pulled
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I was coming thru Joplin, Mo on the way back to Springfield last night and had to pee. Gas was $1.09 so I filled up too!!!

Three stations in that area were $1.09 last night and, according to Gas Buddy, still are this morning.

Wow.

The cheapest here in Springfield this morning is $1.49...but still...

Is gas under $1.00 in our future?
 
It's a sick joke, actually. Nice cheap gas, but you can't go anywhere so you can't use it. And once driving picks up again, you can bet the prices will. Catch-22.
 
Bill Jennings said:
It's a sick joke, actually. Nice cheap gas, but you can't go anywhere so you can't use it. And once driving picks up again, you can bet the prices will. Catch-22.
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It’s called supply and demand. No one needs it now, so it’s cheap.
 
Up here in Kansas I’m still seeing $1.75/gallon or so for regular. It’s definitely come down but not to the $1 range like I remember in high school/college.
 
I got it last night on my way home for $1.79 at the Kangaroo. Filled the tank for $18 and change. Lowest I’ve seen it around here has been around $1.30 for regular.
 
Don't worry.... I'm sure governments large and small will not miss this opportunity to increase fuel taxes.
 
Gasbuddy is showing $1.39 around the Columbus, OH area. Haven't seen it this low in years. I remember $.99 back in the early '90s.
 
Here in Vermont it's still well above $2.00. Couple of nights ago I saw $2.18 in Montpelier. At the gas station in my town it's $2.29.
 
In some places, it's already under $1. Cleveland is one.

I remember several years, hearing a govt official saying "we will never see gas under a dollar again"

Coronavirus: Hold my beer
 
Ethanol-free 87 octane is still $2.33 here, a giant rip.
 
Salty said:
It’s called supply and demand. No one needs it now, so it’s cheap.
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The other problem is that gasoline will spoil. They have to get rid of it somehow.
 
lsaway said:
The other problem is that gasoline will spoil. They have to get rid of it somehow.
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Gasoline doesn’t spoil that quickly...I would imagine that even with the situation that’s going on, the turn over rate is still relatively quick.
 
Farmers are loving this short reprieve. Getting ready for spring planting season, they're buying as many tankers of diesel as they can right now. Probably can't find a ready-to-fill 500 - 1500 gal fuel tank on a lot anywhere in the midwest right now.
 
Average in my neck of the woods is still 1.70ish and has been for several weeks. Now if I go 10 miles in either direction it drops off to 1.10/1.25ish and is pushing lower everyday. Kinda interesting how the local stations are trying keep the prices at the old higher prices in the wealthy areas of town vs the middle and low income areas.
 
Yep, oil prices go down. Soon oil production will stop because it will cost more to produce it than it will sell for.

Current panic over, everyone wants to get back on the road. No gas available making gas prices go higher than ever seen before.
 
Zeldman said:
Yep, oil prices go down. Soon oil production will stop because it will cost more to produce it than it will sell for.

Current panic over, everyone wants to get back on the road. No gas available making gas prices go higher than ever seen before.
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Guess you never heard of the Nation Petroleum Stockpile.
 
Doc Holliday said:
Guess you never heard of the Nation Petroleum Stockpile.
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Not to mention the fact that just about every storage terminal is completely filled up. Some will start to load onto oil tankers and just park them in the gulf like what was done during the '08 recession, waiting until demand comes back and prices are more profitable. The only limitation would be refining capability, but I don't think demand will spike that quickly.
 
The average tax on auto gasoline is about 56 cents per gallon although this varies considerably by state. Obviously the price will not go below this unless politicians reduce the taxes LOL. Here in SE Michigan the lowest I've seen so far is $1.59.
 
Keep in mind it also depends on the gas station and how often they turn product. The smaller stations may still have higher priced product sitting in their tanks. Bigger stations turn their product more often and therefore may have the cheaper product in the ground already.
 
azure said:
Here in Vermont it's still well above $2.00. Couple of nights ago I saw $2.18 in Montpelier. At the gas station in my town it's $2.29.
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Dang! You're getting HOSED! Paid $1.39 last week here ...
 
SoonerAviator said:
Not to mention the fact that just about every storage terminal is completely filled up. Some will start to load onto oil tankers and just park them in the gulf like what was done during the '08 recession, waiting until demand comes back and prices are more profitable.
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Its already happening. Read an article about it this morning. It said VLCC (Very Large Crude Carrier) companies are making money hand over fist as their rates go through the roof. They're signing contracts to use their ships as floating storage for the next 6-12 months which means few ships available to move the crude. The article said they're getting $70k-$90K per day on 6-8 month storage contracts.
 
flyingbrit said:
The average tax on auto gasoline is about 56 cents per gallon although this varies considerably by state. Obviously the price will not go below this unless politicians reduce the taxes LOL. Here in SE Michigan the lowest I've seen so far is $1.59.
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Although I heard that the federal tax was repealed in the stimulus bill. Not sure that's gone into effect yet. I believe the fed tax is in the $0.18 range.

I'm sure some stations will just pocket that money.


gdwindowpane said:
Keep in mind it also depends on the gas station and how often they turn product. The smaller stations may still have higher priced product sitting in their tanks. Bigger stations turn their product more often and therefore may have the cheaper product in the ground already.
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Actually, the $1.09 gas in Joplin were local non-chain stations (one is a Phillips 66, one is a Conoco, and one is a non-branded "food mart"). The Kum&Go on the highway was still at $1.74 last night and still $1.66 right now. I hate Kum&Go with a passion. (Reference above statement about pocketing the money).
 
I saw a report today that oil stocks are so high that the price for crude may go below zero.

Let that sink in.
 
wsuffa said:
I saw a report today that oil stocks are so high that the price for crude may go below zero.

Let that sink in.
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There was a discussion about that yesterday on CNBC. The short of it was that it cost more to shut down and restart a well than to pay someone to take the oil off their hands. At least for the short term.
 
I saw gas at a few stations go from $1.55 to $1.82 today. Not enough to say it is going back up just yet.
 
Paid $1.78 here in Georgia yesterday which typically has higher gas taxes than the bordering states.
 
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