Business

Fuel prices
by kristina leskova

Are you owner of a car? And how often do you drive your car? Gasoline prices are increasing and many people do not drive so often. We can say that gasoline demand decreased a lot. The crude oil is increasing too. And the impact is that people do not want to buy gasoline. In some states like for example in Ohio a gallon costs 2,55 dollars. The consumers wish that the price of gasoline would be cheaper – about two dollars per gallon. The prices have been rising for three weeks to reach 2,574 dollars per gallon of unleaded gasoline. What is the reason? The consumer demand influences the price too, but not as much as falling dollar. Dollar continues to fall during the who! le month. The rising price of crude oil makes problems for the refiners that make and sell gasoline. People drive less, trucking companies have not so much work and airlines also buy less jet fuel because people can not afford so many business trips by plane. The refiners had to cut back production because of decreasing demand. And as we said crude oil prices are rising and the result is that profit margins at refiners are lower. And because of this situation they are making less fuel. But the gasoline inventories are still at good level. People started to buy less fuel by the end of the year 2007 when the recession began. The statistics say that between November 2007 and October 2008 the whole American nation drove 100 billion miles fewer. Most energy experts see no reason for rising prices and they hope that prices will not go higher, at least this winter. So you as a consumer can just wait and hope that prices will stay at current level and will not be higher.
related story (sgx15666): http://news.yahoo.com/s/ap/20091019/ap_on_bi_ge/us_oil_price...

by kristina leskova for PocketNews (http://pocketnews.tv)

PocketNews is a new real-time news broadcaster delivering the latest and hottest news right to your pocket ! With global clients who want to be kept up to date, PocketNews is everyone's way of keeping in touch with the World.

posted by Blog TechSource @ 7:05 PM