I don’t know why I take it so personally, other than that it’s out of MY wallet. Monday’s 45-cent gas price spike just struck me, not so much as shocking, as it was brazen. It’s like these SOBs are going to go up another 45 cents…and all of a sudden; not a penny here and a penny there?
Was there a world event today that would give Big Oil the green light to stick the knife in and twist it some more? I look at all the news sites and there is nothing that could cause this kind of spike.
Gas Buddy Editor Patrick De Haan wrote about crude oil stocks last Wednesday, but it wasn’t all that bad news: “Crude oil inventories increased by 0.7 million barrels (MMbbl) to a total of 414.4 MMbbl. At 414.4 MMbbl, inventories are 78.7MMbbl lower than last year (-16.0%) and are about 16% below the five-year average for this time of year.” Certainly nothing to justify 45 cents in one De Haan adds that “refinery utilization was down 0.7 percentage points from last week’s figures to 90.3%. Gasoline production fell to 9.5 million barrels per day while distillate production fell to 4.8 million barrels per day last week.”
Here is the kick. A new post from Monday evening indicates that crude oil prices were down on Monday morning, but the most amazing thing was that the price of diesel rose a lot, like a dollar more than gasoline.
You must think automakers are licking their chops, with oil and diesel so high, EV sales should benefit, but that smile on their faces may also be due to the exorbitant price of EVs.