April 17, 2008...5:58 pm
Petrol jumps 3c to yet another record
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When I saw this morning that world oil prices had reached $US 114 a barrel, I expected to see the pump price for petrol quickly follow upwards. And it has. Out the bus window on the way home tonight, I saw my local BP selling 91 Octane for 185.9 cents a litre, up 3c to a new all-time high. More astonishing was seeing diesel up 5c to 151.9c.
It’s only eight days since the last rise. As I said then, I am recording these price rises to have a reference for whichever of them becomes the final record, when prices ultimately fall, as they will, as oil is a commodity like any other. Meanwhile, at $US 114 a barrel, today’s 3c pump rise will not be the last.
5 Comments
April 17, 2008 at 7:06 pm
I do appreciate you keeping a record of these prices, and your surprisingly accurate rule of thumb for calculating prices.
But as for your comment “like any other”
…….Hmmm
Perhaps similar to commodities such as whitebait (once collected in drums and the excess used as garden fertiliser); whalemeat (that I remember being a cheap source of cat food in the 1960s); and the quarter acre section on Marine Parade in Mt Maunganui. The price of live Moa has indeed fallen to Zero, I guess.
April 17, 2008 at 9:11 pm
This is BP trying to push the market up but I predict they will only hang out for a few hours and come back down some time tomorrow, when Shell doesn’t move. I base this on the margin increase that showing at
http://www.macros.org/petrol.php
Shell and BP both have to be willing to move for a price hike to hold and the margins look too comfortable for Shell to go for more.
April 17, 2008 at 10:22 pm
This site might come in handy for tracking the price of petrol. It also shows the components of the price, with international comparisons, indicating that (a) if the exchange rate fell to a sensible level, petrol prices would be properly expensive, and that (b) we still have the fifth cheapest petrol in the OECD, largely because our petrol taxes are very low.
April 18, 2008 at 10:58 am
Tax is the major differentiator in international prices. There is little difference in the raw price which just destroys the ‘collusion’ and we are getting a raw deal arguments.
April 19, 2008 at 8:07 am
T Boone Pickens thinks oil will go up to
…….
” $125 a barrel. Oil will eventually reach $150 per barrel, he said, while cautioning “I won’t be investing in $150 oil.”
“World oil supplies won’t exceed 85 million barrels a day because of high depletion rates of existing wells, he said in his speech. This supports his belief in a climbing price.”
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aTsRVnVao4eo
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