Gas prices topped $4 a gallon this month all over Southern California – from Los Angeles to Bakersfield, Santa Barbara, San Luis Obispo, and many, many more cities. The current average for gas in California is $3.993 a gallon. In San Diego, many drivers cannot find gas for less than $4/gallon. In downtown San Diego, gas is going for $4.20 per gallon of unleaded regular.
Some experts have said that gas prices in California may have peaked. Others do not agree. Which way do you think gas prices are heading?
There has been enormous pressure on gas prices from all over the globe, including North Africa, the Middle East and Japan. There is also a great amount of uncertainty regarding supply and demand.
Three of Japan’s most important refineries are still shut down after the recent earthquake. This has put pressure on world supply markets to replace the losses in gasoline, diesel and heating oil. Some experts also have said the earthquake in Japan decreased demand for oil as many parts of Japan are still recovering.
With rapidly changing situations in these locations, it is reasonable to expect the market to continue to shift on daily developments in these regions. The market has been incredibly volatile over the last few weeks, and that likely isn’t going to change soon.
In the last two weeks, Saudi Arabia moved troops into Bahrain to quell protests in the neighboring country, following through on an assurance that it will not allow protestors to disrupt Saudi oil production. While Bahrain is a minor crude oil producer, analysts viewed the Saudi move as escalating the state of unrest in the oil-rich region — which has placed upward pressure on the price of crude oil.
If your small-to-mid-sized business uses a fleet of cars, trucks, vans or equipment to deliver your product or service, high gas prices can have a huge impact on your bottom line. FieldLogix GPS fleet tracking system can help you to reduce your fuel expenses and become more efficient in delivering your product or service. For more information, please see our fleet management system demos.