Today’s fuel price musings - How far will they fall?
1 comment November 10th, 2008
Gas prices in Rockford have fallen to their lowest since … well … since I’ve been paying attention. At least as low as they’ve been since February. Of 2007. We’re possibly staring at 2006 prices.
But it’s finally time to ask the question, “Is the bottom in sight?” It would appear to be simply because oil prices (around $61 a barrel now) are at March, 2007, levels. So gas prices have now fallen below where they were the last time oil prices were this low.
Of course, we’re in uncharted territory, so who really knows what’s going to happen next? Watch the global stock markets to gauge if oil will rebound, since energy prices are now tied to the economy. See if China’s new economic stimulus package (as Phil Flynn says, it’s “trying to put the fire back into their dragon economy” *rimshot*) turns things around too.
How little do I really know? On Oct. 2, when gas was $3.72 a gallon, I wrote, “At this rate, we’ll be under $3 in … well, probably never.” But prices have fallen almost $2 a gallon in the past seven weeks. Guess I reverse-jinxed it!
I got gas for $1.95 a gallon this weekend in Indiana. Rockford city is around $2.29 a gallon. Will we yet reach $2? Stay tuned.
Here are today’s metro area prices (as always, courtesy of AAA’s fuelgaugereport.com):
Gasoline: Rockford dropped three cents to $2.27 a gallon. We have the third-highest gas prices in the state.Champaign-Urbana, Decatur and Springfield are already below $2 a gallon. The Illinois average dropped almost two cents to $2.32. The national average dropped two cents to $2.24. Illinois has the 18th-highest gas prices in the nation, including the District of Columbia. Rockford is tied with the 87th highest gas prices of the nation’s 250 metro areas.
Diesel: Rockford dropped three cents to $3.08 a gallon. We’re now at levels not seen in over a year over on the diesel sid. We have the fourth-highest diesel prices in the state. The state average dropped four cents to $3.20. The national average dropped three cents to $3.10. Illinois has the 11th-highest diesel prices in the country.
