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Oil Slick Stuff
- Thread starter nnuut
- Start date
nnuut
Moderator | TSP Legend
Oil's newest record: $106 and climbing
Crude prices set yet another record as traders balance weak jobs report with dollar's decline.
Last Updated: March 7, 2008: 11:52 AM EST
SINGAPORE (AP) -- Oil prices jumped to a new record above $106 Friday in choppy trading after the dollar fell to a new low against the euro.
Light, sweet crude for April delivery rose 55 cents to $106.02 a barrel on the New York Mercantile Exchange. Prices changed direction several times before setting a new trading record of $106.54.
The dollar set a new low against the euro Friday before rising. Many analysts believe the weak dollar is the reason why oil prices, and other commodities, are surging. Crude futures offer a hedge against a falling dollar, and oil futures bought and sold in dollars are more attractive to foreign investors when the dollar is falling.
A weak jobs report also fueled oil's rise by convincing traders that the Federal Reserve will lower interest rates, which tends to weaken the dollar.
"The swings in the dollar are still the most critical item," said Jim Ritterbusch, president of Ritterbusch and Associates, an energy consultancy in Galena, Ill. [more]
http://money.cnn.com/2008/03/07/markets/oil_prices.ap/index.htm?postversion=2008030711
Crude prices set yet another record as traders balance weak jobs report with dollar's decline.
Last Updated: March 7, 2008: 11:52 AM EST
SINGAPORE (AP) -- Oil prices jumped to a new record above $106 Friday in choppy trading after the dollar fell to a new low against the euro.
Light, sweet crude for April delivery rose 55 cents to $106.02 a barrel on the New York Mercantile Exchange. Prices changed direction several times before setting a new trading record of $106.54.
The dollar set a new low against the euro Friday before rising. Many analysts believe the weak dollar is the reason why oil prices, and other commodities, are surging. Crude futures offer a hedge against a falling dollar, and oil futures bought and sold in dollars are more attractive to foreign investors when the dollar is falling.
A weak jobs report also fueled oil's rise by convincing traders that the Federal Reserve will lower interest rates, which tends to weaken the dollar.
"The swings in the dollar are still the most critical item," said Jim Ritterbusch, president of Ritterbusch and Associates, an energy consultancy in Galena, Ill. [more]
http://money.cnn.com/2008/03/07/markets/oil_prices.ap/index.htm?postversion=2008030711
James48843
Well-known member
Here is the REAL scarey part:
While the price of a gallon of gas HAS moved upward over the last year.....
View attachment 3465
It hasn't move up anywhere near the amount that the actual price of a barrel of oil has moved up- at least not yet.
View attachment 3466
When the price of a gallon of gas starts to reflect the price of a barrel of oil, which it SHOULD do when demand starts to pick up in May or so, then we'll REALLY start to see some higher prices at the pump.
My guess?
$4 will be common.
$4.50 by the end of summer may be possible.
And that will REALLY put a drag on the economy for the rest of the year.
Personally, I don't mind too much. I drive E-85.
While the price of a gallon of gas HAS moved upward over the last year.....
View attachment 3465
It hasn't move up anywhere near the amount that the actual price of a barrel of oil has moved up- at least not yet.
View attachment 3466
When the price of a gallon of gas starts to reflect the price of a barrel of oil, which it SHOULD do when demand starts to pick up in May or so, then we'll REALLY start to see some higher prices at the pump.
My guess?
$4 will be common.
$4.50 by the end of summer may be possible.
And that will REALLY put a drag on the economy for the rest of the year.
Personally, I don't mind too much. I drive E-85.
nnuut
Moderator | TSP Legend
Last edited:
nnuut
Moderator | TSP Legend
DUH?:suspicious:
$100 oil hurts, just like a recession
Economists, once so dismissive of pricey crude's economic impact, say it's going to hurt.
By Steve Hargreaves, CNNMoney.com staff writer
Last Updated: March 7, 2008: 3:38 PM EST
Economists say $100 oil is taking a big chunk out of consumer spending and helping pull the economy into recession.
NEW YORK (CNNMoney.com) -- Five months ago many economists said high oil prices wouldn't hurt the economy - now they're choking on their words.
Back in October, when oil prices were near $90 a barrel and the economy was still humming along economists said high oil prices shouldn't cut into economic growth. The economy used oil more efficiently than it did in the 1970s, and spending on gas was just a small percent of people's budget, the experts said.
Fast forward to March and you've got a sputtering economy, and economists saying $105 oil deserves a big part of the blame.
Even the White House is beginning to sound more pessimistic, predicting Friday that the the economy could contract.
"You have a very significant restraint on consumer spending," said Chris Lafakis, an associate economist at Moody's Economy.com, an economic consultancy. "It acts as a tax would."
Lafakis said consumers spend an extra $5 billion each year for each $1 increase in the price of crude.
When economists were predicting that oil wouldn't negatively impact the economy, they based their assertion on a price of about $80 a barrel.
But if oil stays at $100 a barrel for the next 12 months, consumers will have shelled out an extra $100 billion on oil by next year. That's an extra $100 billion not being spent at the mall, mega-mart or multiplex.
"The entire stimulus package could be drained by higher energy costs," Lafakis said, referring to the $120 billion lawmakers will refund to taxpayers in an effort to keep the economy out of recession. "That has the potential to turn a mild recession into something more dark."
Worse to come
$100 oil hurts, just like a recession
Economists, once so dismissive of pricey crude's economic impact, say it's going to hurt.
By Steve Hargreaves, CNNMoney.com staff writer
Last Updated: March 7, 2008: 3:38 PM EST
NEW YORK (CNNMoney.com) -- Five months ago many economists said high oil prices wouldn't hurt the economy - now they're choking on their words.
Back in October, when oil prices were near $90 a barrel and the economy was still humming along economists said high oil prices shouldn't cut into economic growth. The economy used oil more efficiently than it did in the 1970s, and spending on gas was just a small percent of people's budget, the experts said.
Fast forward to March and you've got a sputtering economy, and economists saying $105 oil deserves a big part of the blame.
Even the White House is beginning to sound more pessimistic, predicting Friday that the the economy could contract.
"You have a very significant restraint on consumer spending," said Chris Lafakis, an associate economist at Moody's Economy.com, an economic consultancy. "It acts as a tax would."
Lafakis said consumers spend an extra $5 billion each year for each $1 increase in the price of crude.
When economists were predicting that oil wouldn't negatively impact the economy, they based their assertion on a price of about $80 a barrel.
But if oil stays at $100 a barrel for the next 12 months, consumers will have shelled out an extra $100 billion on oil by next year. That's an extra $100 billion not being spent at the mall, mega-mart or multiplex.
"The entire stimulus package could be drained by higher energy costs," Lafakis said, referring to the $120 billion lawmakers will refund to taxpayers in an effort to keep the economy out of recession. "That has the potential to turn a mild recession into something more dark."
Worse to come
nnuut
Moderator | TSP Legend
CROOKS are everywhere!!!View attachment 3483
US oil man jailed for Iraq bribes
Chalmers pleaded guilty, avoiding a much heavier sentence
A US oil executive has been jailed for two years for paying bribes worth millions of dollars to the government of former Iraqi leader Saddam Hussein.
David Chalmers, the head of Bayoil Inc, paid bribes from 2000 to 2003 to gain access to Iraqi crude oil being sold under the UN oil-for-food programme.
The $60bn (£32bn) UN programme allowed Iraq to sell oil to buy civilian goods to ease the impact of UN sanctions.
A number of people have been convicted of abuses linked to the UN initiative.
Last year, Benon Sevan, the former director of the scheme set up because of international sanctions imposed on Iraq after Saddam Hussein's invasion of Kuwait in 1990, was charged with bribery and conspiracy to commit fraud.
Remorse
Chalmers pleaded guilty last August to wire fraud charges related to the payments.
US District Judge Denny Chin in Manhattan also fined Chalmers $9m (£4.5m). His Texas-based company Bayoil USA and Bahamas-based Bayoil Supply & Trading Ltd were both put on probation for three years.
However, thanks to the deal struck when he pleaded guilty, Chalmers avoided a much heftier prison sentence, which could have amounted to as much as 62 years Chalmers apologised in court saying he felt "heavy, heavy guilt". "I didn't think through all the consequences at the time and I'm sorry," he was quoted by the Associated Press as saying. "In my heart, I should have known it was wrong."
http://news.bbc.co.uk/2/hi/americas/7285025.stm
View attachment 3483US oil man jailed for Iraq bribes
A US oil executive has been jailed for two years for paying bribes worth millions of dollars to the government of former Iraqi leader Saddam Hussein.
David Chalmers, the head of Bayoil Inc, paid bribes from 2000 to 2003 to gain access to Iraqi crude oil being sold under the UN oil-for-food programme.
The $60bn (£32bn) UN programme allowed Iraq to sell oil to buy civilian goods to ease the impact of UN sanctions.
A number of people have been convicted of abuses linked to the UN initiative.
Last year, Benon Sevan, the former director of the scheme set up because of international sanctions imposed on Iraq after Saddam Hussein's invasion of Kuwait in 1990, was charged with bribery and conspiracy to commit fraud.
Remorse
Chalmers pleaded guilty last August to wire fraud charges related to the payments.
US District Judge Denny Chin in Manhattan also fined Chalmers $9m (£4.5m). His Texas-based company Bayoil USA and Bahamas-based Bayoil Supply & Trading Ltd were both put on probation for three years.
However, thanks to the deal struck when he pleaded guilty, Chalmers avoided a much heftier prison sentence, which could have amounted to as much as 62 years Chalmers apologised in court saying he felt "heavy, heavy guilt". "I didn't think through all the consequences at the time and I'm sorry," he was quoted by the Associated Press as saying. "In my heart, I should have known it was wrong."
http://news.bbc.co.uk/2/hi/americas/7285025.stm
One problem with E-85 is, because of the decreased available energy in ethanol, compared with gasoline, gas mileage is reduced about 30% with a 85% ethanol/15% gasoline blend. This decrease in mileage was verified by Car and Driver magazine. Another problem, of course, is that there is no net energy gained for the country using ethanol, considering the energy inputs required to produce it. Moreover, because producing ethanol from corn has consumed much of our available corn crop, the price of corn has risen dramatically, raising prices on many of our food products using corn and corn derivatives.
Just another ill thought-out policy concocted by the Bush administration.:suspicious:
350zCommTech
Well-known member
Oil was around $25/barrel when he first took office I think.
Gas in my area just went up to $3.25/gallon for regular.
James48843
Well-known member
It's not a problem. It's simply a known factor to put into the equation.
The real test is miles per dollar traveled.
Sure, you get fewer miles per gallon on E85 than you do with gasoline, because ethanol's energy content is lower. However, when the price of E85 is 30% lower in price than gasoline, it is cost neutral. And when E85 is more than 30% lower in price, it is cost advantageous. But this is not all about cost. It's also about whether we should be tracking to convert to a fuel source that does not require importation from other countries. Are you satisfied knowing that your means of transportation is totally dependant on foreign nations to provide the oil, and foreign nations to provide the loaned cash to finance it? If so- please, by all means- continue acting like oil will continue to spring forth from the earth forever. It won't. So we better start looking at alternatives now.
That one has been debunked a few times on this thread. The technology to produce ethanol has improved greatly over the last decade. Corn ethanol is a relatively advanced technology, and is now yielding a 34% advantage in energy gain.
(See report at: http://www.ethanolacrossamerica.net/04CFDC-003_IssueBrief.pdf )
Further, the latest study shows that switch grass may be a far better way to produce the ethanol. We're only starting to study that, but early studies show a 540% energy benefit to producing ethanol from switchgrass.
http://ianrnews.unl.edu/static/0801070.shtml
Our food has been "underpriced" compared to the rest of the world anyway. I'd rather give my bucks to the family farmer, then to give it to rich oil barons, thank you very much.
Couldn't agree with you more on that part..
nnuut
Moderator | TSP Legend
Corn, I like corn, TO EAT!!!!!!!! Last week I paid $1 an ear for corn on the cob! Make fuel out of Kudzu or something that we don't need!View attachment 3487
nnuut
Moderator | TSP Legend
U.S. Gasoline Prices Jump Again
Survey Shows Pump Price Up 9 Cents In Past Two Weeks To $3.19 Per Gallon For Regular
CAMARILLO, Calif. , March 10, 2008
Gas Prices Continue Climb
Gas prices increased by a dime over the last few weeks to more than $3.20 per gallon on average. They are expected to climb another 20 or 30 cents. Deirdre Bolton of Bloomberg TV reports.
Stories
(CBS/AP) A survey says the national average price for gasoline rose 9 cents over the last two weeks.
The average price of self-serve regular gasoline on Friday was $3.19 a gallon, mid-grade was $3.31 and premium was $3.42, according to the Lundberg Survey of 7,000 stations nationwide released Sunday.
Of the cities surveyed, the cheapest price was in Cheyenne, Wyo., where a gallon of regular cost $2.95, on average. The highest was in San Francisco at $3.58.
Compared to a year ago, national gas prices are up 64 cents.
Rising gasoline prices have been driven in large measure by the steady increases the cost of crude oil.
Oil prices pulled back Monday as traders booked profits after last week's record highs and amid easing tension between oil producers Venezuela and Colombia over the weekend.
Cold weather in the United States and the continuing weakness of the U.S. dollar were seen as bullish factors supporting prices. [more]
http://www.cbsnews.com/stories/2008/03/10/national/main3920501.shtml
Light, sweet crude for April delivery on the New York Mercantile Exchange fell 61 cents to $104.54 a barrel in electronic trading by midday in Europe.
The contract set a new trading record of $106.54 a barrel on Friday before retreating to settle at $105.15 a barrel, down 32 cents.
In London, Brent crude futures dropped 60 cents on Monday to $101.78 a barrel on the ICE Futures exchange.
Crude contracts had initially risen on Friday after a weak U.S. jobs report that fueled hopes the Federal Reserve would continue cutting interest rates.
Survey Shows Pump Price Up 9 Cents In Past Two Weeks To $3.19 Per Gallon For Regular
CAMARILLO, Calif. , March 10, 2008
Gas Prices Continue Climb
Gas prices increased by a dime over the last few weeks to more than $3.20 per gallon on average. They are expected to climb another 20 or 30 cents. Deirdre Bolton of Bloomberg TV reports.
Stories
(CBS/AP) A survey says the national average price for gasoline rose 9 cents over the last two weeks.
The average price of self-serve regular gasoline on Friday was $3.19 a gallon, mid-grade was $3.31 and premium was $3.42, according to the Lundberg Survey of 7,000 stations nationwide released Sunday.
Of the cities surveyed, the cheapest price was in Cheyenne, Wyo., where a gallon of regular cost $2.95, on average. The highest was in San Francisco at $3.58.
Compared to a year ago, national gas prices are up 64 cents.
Rising gasoline prices have been driven in large measure by the steady increases the cost of crude oil.
Oil prices pulled back Monday as traders booked profits after last week's record highs and amid easing tension between oil producers Venezuela and Colombia over the weekend.
Cold weather in the United States and the continuing weakness of the U.S. dollar were seen as bullish factors supporting prices. [more]
http://www.cbsnews.com/stories/2008/03/10/national/main3920501.shtml
Light, sweet crude for April delivery on the New York Mercantile Exchange fell 61 cents to $104.54 a barrel in electronic trading by midday in Europe.
The contract set a new trading record of $106.54 a barrel on Friday before retreating to settle at $105.15 a barrel, down 32 cents.
In London, Brent crude futures dropped 60 cents on Monday to $101.78 a barrel on the ICE Futures exchange.
Crude contracts had initially risen on Friday after a weak U.S. jobs report that fueled hopes the Federal Reserve would continue cutting interest rates.
nnuut
Moderator | TSP Legend
CRUDE
10:32..............$106.10.............+.95
Looks like another record price?View attachment 3488
Touched $107 a barrel this morning.
10:32..............$106.10.............+.95
Looks like another record price?View attachment 3488
Touched $107 a barrel this morning.
Last edited:
nnuut
Moderator | TSP Legend
nnuut
Moderator | TSP Legend
AP
Gas Prices Near Records, Following Oil
Monday March 10, 11:09 am ET
By John Wilen, AP Business Writer Gas Prices, Following Oil's Recent Surge, Are Close to Surpassing Last Spring's Record
NEW YORK (AP) -- Gasoline prices were poised Monday to set a new record at the pump, having surged to within half a cent of their record high of $3.227 a gallon. Oil prices, meanwhile, surged to $107, a new inflation-adjusted record and their fifth new high in the last six sessions on an upbeat report on wholesale inventories.[more bad news]
http://biz.yahoo.com/ap/080310/oil_prices.html
Gas Prices Near Records, Following Oil
Monday March 10, 11:09 am ET
By John Wilen, AP Business Writer Gas Prices, Following Oil's Recent Surge, Are Close to Surpassing Last Spring's Record
NEW YORK (AP) -- Gasoline prices were poised Monday to set a new record at the pump, having surged to within half a cent of their record high of $3.227 a gallon. Oil prices, meanwhile, surged to $107, a new inflation-adjusted record and their fifth new high in the last six sessions on an upbeat report on wholesale inventories.[more bad news]
http://biz.yahoo.com/ap/080310/oil_prices.html
nnuut
Moderator | TSP Legend
Crude Oil Rises Above $107 to Record as Returns Outpace Stocks
By Mark Shenk
March 10 (Bloomberg) -- Crude oil rose above $107 a barrel in New York to a record as investors purchased futures because the returns have outpaced those of financial markets.
Oil in New York surged 77 percent over the past year as the S&P 500 and Dow averages dropped. China, the second-biggest oil- consuming country, increased crude-oil imports by 18 percent last month and halted overseas shipments to meet rising demand.
``Momentum coupled with sufficient fundamental underpinnings, such as the Chinese oil-import data for February, keeps propelling us,'' said John Kilduff, vice president of risk management at MF Global Ltd. in New York. ``The grab for hard assets is on due to the lack of confidence in the rest of the markets at the moment.''
Crude oil for April delivery rose $1.30, or 1.2 percent, to $106.45 a barrel at 11:51 a.m. on the New York Mercantile Exchange. Futures surged to $107.44 a barrel today, the highest since trading began in 1983.
Goldman Sachs Group Inc.'s forecast for 2009 U.S. crude-oil prices was raised to $105 from $90 a barrel, in a report dated March 6. The Goldman oil equity analysts in London said that the increase was warranted because non-OPEC production is approaching a plateau while Asian economies spur consumption.
Lehman Brothers Holdings Inc. raised its first-quarter forecast for Brent and West Texas Intermediate crude-oil grades by 8 percent during the first quarter, in a report released on Feb. 29. Brent oil will average $92 a barrel during the quarter and West Texas Intermediate, the New York-traded U.S. benchmark, will average $93, the report showed.
Options Contracts
Bets that May crude oil will fall below $90 a barrel were the most-actively traded options contracts on the Nymex today. The put contracts, which represent the right to sell oil at that price, fell 16 cents to 55 cents, or $550 per contract, the lowest since November, according to data compiled by Bloomberg. One options contract is for 1,000 barrels of oil.
``We're witnessing an ongoing flow of fund buying, which isn't particularly motivated by the particulars of the petroleum market,'' said Tim Evans, an energy analyst at Citigroup Global Markets Inc. in New York. ``Prices have rallied to such an extent where sellers have backed off. Any time prices go lower the buyers come right back into the market.''
Hedge-fund managers and other large speculators increased net-long positions, or bets on higher oil prices, in the week ended March 4, a Commodity Futures Trading Commission report showed.
Market Bubble
``Clearly the fundamentals don't matter at this point,'' said Chip Hodge, a managing director at MFC Global Investment Management in Boston, who oversees a $4.5 billion energy-company bond portfolio. ``We've seen bubbles in other markets over the years and eventually they end. It's impossible to see when that will be the case here.''
U.S. crude-oil inventories rose 1.8 million barrels last week, according to the median of responses in a Bloomberg News survey. Stockpiles increased in seven of the previous eight weeks, Energy Department figures show.
Brent crude for April settlement climbed 43 cents, or 0.4 percent, to $102.81 a barrel on London's ICE Futures Europe exchange. Futures reached a record $103.98 a barrel on March 7.
To contact the reporter on this story: Mark Shenk in New York at mshenk1@bloomberg.net.
http://www.bloomberg.com/apps/news?pid=20601087&sid=ayL5dVxkxnes&refer=home
By Mark Shenk
March 10 (Bloomberg) -- Crude oil rose above $107 a barrel in New York to a record as investors purchased futures because the returns have outpaced those of financial markets.
Oil in New York surged 77 percent over the past year as the S&P 500 and Dow averages dropped. China, the second-biggest oil- consuming country, increased crude-oil imports by 18 percent last month and halted overseas shipments to meet rising demand.
``Momentum coupled with sufficient fundamental underpinnings, such as the Chinese oil-import data for February, keeps propelling us,'' said John Kilduff, vice president of risk management at MF Global Ltd. in New York. ``The grab for hard assets is on due to the lack of confidence in the rest of the markets at the moment.''
Crude oil for April delivery rose $1.30, or 1.2 percent, to $106.45 a barrel at 11:51 a.m. on the New York Mercantile Exchange. Futures surged to $107.44 a barrel today, the highest since trading began in 1983.
Goldman Sachs Group Inc.'s forecast for 2009 U.S. crude-oil prices was raised to $105 from $90 a barrel, in a report dated March 6. The Goldman oil equity analysts in London said that the increase was warranted because non-OPEC production is approaching a plateau while Asian economies spur consumption.
Lehman Brothers Holdings Inc. raised its first-quarter forecast for Brent and West Texas Intermediate crude-oil grades by 8 percent during the first quarter, in a report released on Feb. 29. Brent oil will average $92 a barrel during the quarter and West Texas Intermediate, the New York-traded U.S. benchmark, will average $93, the report showed.
Options Contracts
Bets that May crude oil will fall below $90 a barrel were the most-actively traded options contracts on the Nymex today. The put contracts, which represent the right to sell oil at that price, fell 16 cents to 55 cents, or $550 per contract, the lowest since November, according to data compiled by Bloomberg. One options contract is for 1,000 barrels of oil.
``We're witnessing an ongoing flow of fund buying, which isn't particularly motivated by the particulars of the petroleum market,'' said Tim Evans, an energy analyst at Citigroup Global Markets Inc. in New York. ``Prices have rallied to such an extent where sellers have backed off. Any time prices go lower the buyers come right back into the market.''
Hedge-fund managers and other large speculators increased net-long positions, or bets on higher oil prices, in the week ended March 4, a Commodity Futures Trading Commission report showed.
Market Bubble
``Clearly the fundamentals don't matter at this point,'' said Chip Hodge, a managing director at MFC Global Investment Management in Boston, who oversees a $4.5 billion energy-company bond portfolio. ``We've seen bubbles in other markets over the years and eventually they end. It's impossible to see when that will be the case here.''
U.S. crude-oil inventories rose 1.8 million barrels last week, according to the median of responses in a Bloomberg News survey. Stockpiles increased in seven of the previous eight weeks, Energy Department figures show.
Brent crude for April settlement climbed 43 cents, or 0.4 percent, to $102.81 a barrel on London's ICE Futures Europe exchange. Futures reached a record $103.98 a barrel on March 7.
To contact the reporter on this story: Mark Shenk in New York at mshenk1@bloomberg.net.
http://www.bloomberg.com/apps/news?pid=20601087&sid=ayL5dVxkxnes&refer=home
nnuut
Moderator | TSP Legend
nnuut
Moderator | TSP Legend
Just who do we have to choke to stop this crazyness? View attachment 3502
Gasoline's price spike has only just begun
Motorists should expect to pay upwards of $3.75 a gallon in the coming weeks as prices at the pump catch up with record crude, but relief may arrive by summer.
By Steve Hargreaves, CNNMoney.com staff writer
Last Updated: March 10, 2008: 5:41 PM EDT
Gas prices, already near a record high, will likely add another 50 cents a gallon in the next few weeks.
NEW YORK (CNNMoney.com) -- Gasoline will hit a new record high price - perhaps as early as Tuesday - and experts say it will likely continue to soar in tandem with the skyrocketing price of crude.
The national average retail price for gas has already risen 26 cents in the last month, according to the motorist organization AAA. At $3.222 a gallon, it is less than a cent away from the all-time record.
And experts say motorists should prepare to pay nearly $4 a gallon - and in some places even more than that - before the price of gas finally comes down in the late spring as high prices crimp demand.
The price of gasoline usually increases this time of year. Several factors contribute to the runup: Low refinery output due to maintenance, a switch from winter to pricier summer blends, and the looming high-demand summer driving season.[more]
http://money.cnn.com/2008/03/10/news/economy/gas_prices/index.htm?postversion=2008031017
Gasoline's price spike has only just begun
Motorists should expect to pay upwards of $3.75 a gallon in the coming weeks as prices at the pump catch up with record crude, but relief may arrive by summer.
By Steve Hargreaves, CNNMoney.com staff writer
Last Updated: March 10, 2008: 5:41 PM EDT
NEW YORK (CNNMoney.com) -- Gasoline will hit a new record high price - perhaps as early as Tuesday - and experts say it will likely continue to soar in tandem with the skyrocketing price of crude.
The national average retail price for gas has already risen 26 cents in the last month, according to the motorist organization AAA. At $3.222 a gallon, it is less than a cent away from the all-time record.
And experts say motorists should prepare to pay nearly $4 a gallon - and in some places even more than that - before the price of gas finally comes down in the late spring as high prices crimp demand.
The price of gasoline usually increases this time of year. Several factors contribute to the runup: Low refinery output due to maintenance, a switch from winter to pricier summer blends, and the looming high-demand summer driving season.[more]
http://money.cnn.com/2008/03/10/news/economy/gas_prices/index.htm?postversion=2008031017