In Depth Analysis: CalculatedRisk Newsletter on Real Estate (Ad Free) Read it here.

Sunday, July 15, 2012

Gasoline Prices: "Comparative stability"

by Calculated Risk on 7/15/2012 04:13:00 PM

From Reuters: Gasoline prices fall more, but slide may be over: survey

The Lundberg Survey said the national average price of self-serve, regular gas was $3.41 on July 13, down from $3.478 on June 22, and from $3.615 a year ago.
Gasoline prices have fallen 14 percent from a recent peak of $3.967 a gallon set on April 6.

Trilby Lundberg ...said prices may soon enter a period of "comparative stability,"...
Oil prices have rebounded some. Brent is back up to $102.62 per barrel (after falling to $89 per barrel on June 25th), and WTI is up to $87.10.

Professor Hamilton recently presented a calculator from Political Calculations that estimates the cost of gasoline based on Brent oil prices. Currently this suggests a price of around $3.40 per gallon - about the current price.

The following graph shows the decline in gasoline prices. Gasoline prices are down significantly from the peak in early April, but up a few cents over the last two weeks.

Note: If you click on "show crude oil prices", the graph displays oil prices for WTI, not Brent; gasoline prices in most of the U.S. are impacted more by Brent prices.

Orange County Historical Gas Price Charts Provided by

Summary for Week Ending July 13th
Schedule for Week of July 15th