Gas could drop to $2 a gallon by Thanksgiving

[jerry611]

Gasoline prices are falling fast and could keep dropping for months.
"The only place they have to go is down," says Fred Rozell, gasoline analyst at the Oil Price Information Service (OPIS). "We'll be closer to $2 than $3 come Thanksgiving."

Travel organization AAA foresees prices 10 cents a gallon lower by the end of next week. It reported a nationwide average of $2.84 Tuesday, the lowest since April 20.

PRICE HAPPY: OPEC president says $70 a barrel oil price is satisfactory

It's good news for consumers and the economy. Continued lower prices "may act like a tax cut" and stimulate spending, says Richard DeKaser, chief economist at National City in Cleveland. He calculates that higher energy prices the first six months cut growth of consumer spending 1 percentage point.

The U.S. average for a gallon of regular peaked this year at $3.036 Aug. 10, according to OPIS/AAA daily surveys. That's slightly under the high of $3.057 Sept. 5, a week after Hurricane Katrina battered petroleum production in the Gulf of Mexico and caused fears of fuel shortages

http://www.usatoday.com/money/industries/energy/2006-08-29-gas-price-usat_x.htm

[liberal N proud]

1. Correction = by November 7th

Then I am sure that miraculously they will rise after the election.

[Protagoras]

9. exactly. After the election

gas prices can rise again and we'll forget all about terra in the skies.

[warrens]

2. And it will be $3 again shortly thereafter

No one is going to forget their heating bills from last winter. I have no doubt some of this is manipulation (although the driving season ends after this weekend, so there is a cyclical element), but I doubt it is going to convince anyone that suddenly everything is AOK.

[Teaser]

3. every year they predict this

and lately, they've been quite wrong.

[Divine Discontent]

4. if only everyone could find a way to work

that didn't need gas, if they were physically able to walk less than 2 miles or something like that, or take mass transit, we could stick it to these oil companies

[NaturalHigh]

16. I wish I could ride my bike to work.

I only live about nine miles from work, and, despite being slightly "rotund", I could easily make the trip. Unfortunately, I have to travel some back country roads to get there, and I work shifts, meaning I am usually coming or going after dark. I would end up flattened by one of the dump trucks coming from the rock quarry on my first trip.

At least my car gets 35 mpg+.

[nothingshocksmeanymore]

5. Baloney..they'll drop til the mid terms then go right back up

and hang at double what the price was in 00, so the repubs can act like they did us all a favor by only doubling the profits

[kentuck]

6. And could go back up to $4 by Christmas?

Gotta make up the temporary decline in the profits...

[pooja]

11. No, after Christmas.. the Ford and Gm have to get rid of their big

rig fleet.. and a couple of months with gas down will drive up end of year sales. Also, with consumer feeling in better spirits, more will buy for the Christmas holiday.... then, in January with c.c. bills coming in the, the price will go back up.

[nam78_two]

7. Election year GOP ploy-helped by their friends in the oil industry/nt

[pooja]

8. I was going to say.. just in time for elections.

My husband thinks that the gas drop is all due to Bush.. He doesn't pay any attention. We don't discuss politics often except for me to say you are wrong on this, here are the facts, and my son is going to be like me when it comes to politics.

[BlueCentrist]

10. How convenient

for the Farting AWOL Cowboy and his cronies.

[wanpete]

12. This is highly probable. They will drop it to encourage holiday shopping

to provide fake numbers for our glowing, growing economy. After Jan 1st, they will be back at $3 or higher per gallon!

[The_Casual_Observer]

13. Not in So Cal.

I can see $2.87 or something, but not $2. It's been over $3.00 for ever here.

[CottonBear]

21. I got regular for $2.66/gal in Northeast Georgia this morning.

The gas prices in my town are always higher than those towns between here and Atlanta, so I suspect the price may be as low as $2.60 in some places. The price of gas been dropping rapidly over the last week. It was recently $2.89 and higher.

[ThomWV]

14. If Supply And Demand Was In Effect It Would Be Cheaper Yet

This is a test:

What was OPEC's target price range before the invasion of Iraq?

[Avalux]

15. YAY! Just in time for the election!!

Who'd a thunk it?? :silly:

[Blue-Jay]

17. And monkeys are gonna fly out of my butt.

[Hubert Flottz]

18. They already gouged enough to pay for the GOPs campaigns

for 2006.

[LostInAnomie]

19. It's $2.43 here...

... down from $2.99 a few weeks ago.

The real test will be Labor Day. If the prices do not skyrocket, like the always do, we will know what is happening.

I personally don't see $2.00 ever happening again. Gas companies already have us convinced that $2.50 gas is "cheap". They aren't going to change that mind-set.

[karlrschneider]

20. I filled up last night for 2.59

Nobody I know can explain these crazy prices. :eyes:

edit: 2.59 a gallon, I meant to say

[Ganja Ninja]

22. Desperate times call for desperate measures ...

by desperate oil men.

[ryanus]

23. Yes, we should all give thanks

It's insulting that some people in the media think that this will somehow pacify the unwashed masses. "What are you complpaining about? Gas is down to $2 a gallon??!!"

[WePurrsevere]

24. Although we'd be thrilled if it goes down that low,

since heating oil would drop as well, unfortunately I doubt that any further drop will last very long past Election Day... okay, maybe the Holidays but almost certainly not past the New Year.

We haven't stocked up on heating oil (or wood) yet because we have to worry about school taxes on 2 houses (one will hopefully be sold soon) that are coming due. With any luck at all the gas/oil prices will drop and we'll be able to fill both of our tanks at much less then what was quoted by our local oil company as the "cap" ($2.93).

The thing that bugs me is that one would think with BP shutting down, oil wells being blown up, etc that oil would be stationary or higher not lower. From what we've been hearing up here most folks in this purple area of NNY are not buying the 'Con and BuSh* anymore.

If gas and oil prices don't drop down quite a bit this winter is looking VERY cold for many folks in the north country... again. ::sigh::