Tuesday, May 24, 2011

Oil price per barrel is down 15%. Gas isn't. Proof that refineries, oil companies, or gas station owners are taking advantage

What ever happened to cause oil to plummet to 37 dollars a barrel 2 years ago? What can't that happen again? Gas was 1.90 a gallon when oil was 37.

When oil tripled in price per barrel, gas didn't.

Makes no sense to me


  1. Oil is bought and sold based on futures and long term contracts not instant price. So the oil that you use today was purchased a long time ago on a price agreed on back then. If oil prices stay up long enough thats when gas starts to go up in price. Also since you cant buy oil years in advance refineries tend to stock up on it when its cheap. Well you could technically buy it years in advance...but it would be a ridiculously huge gamble!

  2. It sure isn't the gas station owners. I know one, and he's kinda in the same place as farmers. The ones who do the work don't make the money.