Sunday, September 14, 2008

price gouging?

The price of unleaded gasoline for October delivery at the New York Mercantile Exchange (NYMEX) on Thursday, 11 September 2008 was trading at $2.670/gal. The price of premium gasoline that I fill up with was at $3.67 at this particular Sunoco station on Route 9. The price of unleaded gasoline at the NYMEX for October delivery on Friday, when the threat from Ike to the coast of Texas and the refineries and chemical plants region was getting worse, ended the day trading 6 cents higher at $2.72. At the pumps, meanwhile, premium gasoline was about $3.89. Fair enough, so far. However, today (or more specifically tonight), unleaded gasoline is trading about 10 cents lower at $2.62/gal while at the pumps premium gas is being sold for over $4.00/gal. Short supply maybe? Price gouging maybe? What do you think?

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