Price of gas update...
#1846
#1847
Re: Price of gas update...
I read yesterday that petrol was $1.85 in 2008, but is $3.59 now. Can that be right? That is massive inflation. If it makes you feel any better we pay $4.90 a gallon. The dollars are the same value in each country right now, although AUD was a little stronger recently. They pay $8 a gallon in UK.
#1848
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Joined: Jul 2012
Posts: 3,300
#1849
#1851
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Joined: Aug 2012
Posts: 302
Re: Price of gas update...
I read yesterday that petrol was $1.85 in 2008, but is $3.59 now. Can that be right? That is massive inflation. If it makes you feel any better we pay $4.90 a gallon. The dollars are the same value in each country right now, although AUD was a little stronger recently. They pay $8 a gallon in UK.
#1853
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Joined: Aug 2012
Posts: 302
#1854
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Posts: 3,300
#1855
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Joined: Aug 2012
Posts: 302
Re: Price of gas update...
I'm sure the drought will cause an increase but the price of the raw commodity is not what makes up most of the cost here for the majority of foods.
I'm sure that varies some per food. I buy milk for $3/gallon from a farmer, they sell it for $4 at the store. OTOH a pound of wheat is what .15 cents ??? for the raw commodity but a pound of whole wheat bread or cereal $2 -$4+ at the store.
#1856
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Joined: Jul 2012
Posts: 3,300
Re: Price of gas update...
Most of food prices in the US are transportation and processing.
I'm sure the drought will cause an increase but the price of the raw commodity is not what makes up most of the cost here for the majority of foods.
I'm sure that varies some per food. I buy milk for $3/gallon from a farmer, they sell it for $4 at the store. OTOH a pound of wheat is what .15 cents ??? for the raw commodity but a pound of whole wheat bread or cereal $2 -$4+ at the store.
I'm sure the drought will cause an increase but the price of the raw commodity is not what makes up most of the cost here for the majority of foods.
I'm sure that varies some per food. I buy milk for $3/gallon from a farmer, they sell it for $4 at the store. OTOH a pound of wheat is what .15 cents ??? for the raw commodity but a pound of whole wheat bread or cereal $2 -$4+ at the store.
#1859
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Posts: 3,300
Re: Price of gas update...
#1860
Re: Price of gas update...
WTI has been up around $20/bbl since June. As of this AM, WTI is $93, and Brent is $112.
Oil is always sold benchmarked to an indicator (you get e.g. Brent + $2 based on the quality of your crude relative to that benchmark). Some of the Eagle Ford oil is pegged to LLS, which is anything up to +$10 higher than WTI. Bakken oil (North Dakota) is sold at anything up to -$10 from WTI.
The linked graph claims that us gas price is closer to Brent than WTI. TBH, I'm not going to do the digging to pull the numbers myself, so I'll go with it for the time being.
http://www.calculatedriskblog.com/20...versal-of.html