Pennies From Heaven Exxon
There’s a gas station in my neighborhood that’s been lowering the price of gas in 2¢ increments every few days for the last week.
So, first the posted price was $3.89 per gallon, then it was $3.87, then $3.85, then $3.83.
Which is certainly interesting, given that the current price of a barrel of crude oil ($89) is dramatically lower than when prices at the pump briefly exceeded $4 a gallon, what, a year ago?
I don’t know where gas prices are headed, but I do know this: if there’s another Deepwater Horizon “event,” or (new) political turmoil somewhere suddenly threatens supplies, prices at the pump are going to go up much faster — and in bigger increments — than when the wholesale price of oil was falling.
