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Old 10-24-2005, 06:47 AM   #41
Fordzilla
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3.39/Gal in north west Iowa. When will it end???
 
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Old 10-24-2005, 08:54 AM   #42
lasater
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My wife has a theory on this that makes some sense. A lot of the price of fuel (discounting taxes) is based on supply and demand.

Automobile demand for regular gasoline has decreased dramatically recently. This allows a surplus of gasoline resulting in the drop in price.

Diesel drivers (especially commercial truckers) place a constant demand on the supply of diesel. To prove this, watch a given section of highway for about 5 minutes. Count the number of commercial trucks versus private autos and see what you come up with.

So, during the summer vacation time, the private auto drivers get the shaft and during the winter, the diesel drivers get it.

The one constant in this is that the oil magnates realize about a 2400% profit (over last year) and the retiree on a fixed income just has to suck it up.

Bummer.
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Old 10-24-2005, 09:52 AM   #43
jerryb
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The wholesale price of #2 is 1.86 today and unleaded is 1.65, there is .05 more fed tax on diesel and some states also tax diesel more, that still leaves .23 extra profit retail.
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Old 10-24-2005, 11:24 AM   #44
richfaa
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There is a $1.10 difference between gas and diesel today in Northern Ohio..Never has there been that much of differential.
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Old 10-24-2005, 03:01 PM   #45
sreigle
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Seems to me we diesel drivers have been paying extra high prices the entire year, not just since September. Or maybe it just seems that way to me. Also, prior to last winter I don't recall diesel going much higher, if at all, during the winter despite the heating oil explanation we keep hearing from the oil people. Maybe in the NE but not in the midwest that I can recall.

Plus, just 18 months or so ago diesel was cheaper than unleaded gasoline. Always.

I have to think the ability for truckers to pass on the additional costs and thus eliminating a very loud voice has an awful lot to do with it. But this is strictly an uninformed opinion.

All I know is we have roughly 1400 miles remaining to reach our holiday homebase and that means roughly $400 in diesel.
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Old 10-31-2005, 01:38 AM   #46
jpkelpe
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Our newspaper had an article about this price difference between gasoline and diesel, more than a dollar here in Nebraska. The farmers are using diesel for harvest, and because of that high demand for diesel it seems to be a good excuse for the oil companies to keep the prices up. I have an inkling that when the farmers are done with the harvest we will see diesel go down. unfortunately the farmer can't pass his cost onto anyone else.
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Old 10-31-2005, 03:02 AM   #47
Jeff Heiser
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From everything I have read it appears that the problem other than the basic supply and demand is as follows: After Katrina several countries provided refined fuel to the US in order to help make up for the shortages realized due to closed refineries. What these countries supplied was refined gasoline. Diesel was not supplied and with many of the refineries still down the diesel supply is short. Once more of the refineries come back online the price will go down along with the price of gasoline. Most of the crude that is being used for diesel has been sidetracked to be used for heating oil for this winter. So with the demand for heating oil and the shortage of diesel supply the price goes up. I found it interesting though that the foreign governments that helped us by supplying fuel, for the most part only provided refined gasoline and not diesel.

God Bless America
Jeff Heiser
Merritt Island Florida
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Old 10-31-2005, 05:05 AM   #48
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The Shell station near our home had diesel at 3.55 teo weeks ago. The two generic stations downtown were at 3.05 and then lowered to 2.99. Now the Shell station is also at 2.99. If they can drop .56 in just a week, doesn't that show the profit was pretty high 2 weeks ago?
Happy trails.......................
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Old 10-31-2005, 05:14 AM   #49
ols1932
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I agree with what everyone is saying. I don't know how the big oil companies can sleep at night with these big profits on their consciences. Are we looking at another Enron?
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Old 10-31-2005, 05:37 AM   #50
dsprik
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Apparently they feel just enough remorse to run ads in the major newspapers trying to explain themselves... but they don't feel bad enough to offer any rebates.

Our anger and frustration may be slightly misdirected. I'm upset, too, but... well let me put it this way... how many of us would be angry at the price of fuel if we had bought up large blocks of Exxon stock 18 to 24 months ago???? I'm mad at myself for not seeing this coming.
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Old 10-31-2005, 07:34 AM   #51
ols1932
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Do you think that your social security cost of living increase in January 2006 will reflect all of this rise in fuel prices?
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Old 10-31-2005, 09:23 AM   #52
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I still think the local, state and federal tax on gas could be lifted for a period of time. They are all getting more because the price is more. Write your legislators.
Happy trails.................
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Old 10-31-2005, 10:50 AM   #53
rickety
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hERE IN wASHINGTON THERE IS A VOTE ON WHETHER TO REMOVE A NEW 9.5CENT GAS TAX, RAMRODDED THROUGH BY OUR NEW GOVERNOR CHRISTINE ALGORE WHOOPS, I MEAN GREGOIRE. THESE NEW TAXES ARE MORE LIKE USERY TAXES THAN ANYTHING ELSE. THEY ARE DRIVING PRICES OF FUEL TO VERY UNREASONABLE HEIGHTS CURRENTLY ONE MILE FROM MY PLACE DIESEL IS $309.9, BUT WILL BE GOING BACK UP IN A FEW DAYS, AS SOON AS THE OWNERE GETS ANOTHER DELIVERY. P[RICES RANGE FROME 309-9339 FOR DIESEL AND 259-283 FOR GAS. RIDIDCUOLUS!!!
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Old 10-31-2005, 03:26 PM   #54
dsprik
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My experience, Orv, is that SS raises don't matter, because they also raise your med premiums to mostly (or more than) wipe out any increases. Maybe you've had better experiences with this than my family has...

Dave
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Old 10-31-2005, 05:36 PM   #55
Parrothead
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Dave,
I just checked the SS web site. 4.1% increase in SS, Medicare going up $10.50. Law says they can't increase Medicare more than SS. Unless SS check is very low there will be a gain this year for everyone.
Happy trails......................
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