Price At The Pump

While out running errands today I gassed-up the Missus' Honda and paid a whopping $2.299 per gallon for unleaded regular.  Full disclosure, I used a BP/Standard VISA awards card saving 15 cents a gallon at the pump and also good for all sorta cash back on other purchases like groceries, Fleet Farm, restaurants or Costco stuff.  The card is free and everyone should have an awards program in their gas fueling protocol to bring the everyday price per gallon even lower.

You're probably thinking, why are prices lower anyway?  It depends who you talk to.  If you speak with an economist the answer is supply.  The world oil market is awash in crude oil and as a consequence the price at the pump has fallen.  If something were to change; either on the supply side or on the demand side it will impact the price for good or bad.  

If you talk to a MAGA idolater it is because the president controls the price at the pump.  Just like magical wishful thinking the president can dial it up or down at will.  I'm not making this up.  I can think of six people I am acquainted-with on a personal basis who believe this like it was an article of faith.  Oh well.

The bottom line is this is a great time to be a consumer and not so much if you operate an oil services company or energy company.  Persistent low prices over extended periods of time create a disincentive to exploration and drilling which catches-up to supply, eventually.  

Learn more about the risks and opportunities here...