Category: Vehicle Tracking Systems

• August 5th, 2011
• Jackson Parker

Oil prices dropped to a six-month low Thursday as investors and energy traders grew more concerned that the U.S. economy will enter another recession and that Europe’s debt problems are not closed to being solved.

As oil prices were dropping, the stock market plummeted. Major stock indexes fell more than 4 percent. The Dow Jones Industrial Average lost over 500 points. It was the worst day for the Dow since October 22, 2008.

The decline in oil should bring some needed relief to drivers. U.S. gas prices currently remain near three-year highs at a national average of $3.703 per gallon. But gas prcies are expected to drop in the near future.

According to Fred Rozell, retail pricing director at Oil Price Information Service, the recent slide in oil could push gasoline 20 to 35 cents per gallon lower over the next month. “This market is moving up and down, but you could see some sizable declines at the pump if this holds,” Rozell said.

• August 4th, 2011
• Jackson Parker

Gas Prices Remain Steady as Oil Prices Drop Below $93 Due to Concerns About the Economy

After news was released of an eleventh hour agreement in Washington to raise the debt ceiling, the markets reacted positively in very early Monday morning trading – for a very brief period. The positivity was fleeting. By late Monday morning, the ending of the debt debacle had no more positive impact on the markets. The stock market reversed and has been declining for the last several days.

The way the markets have traded since the announcement of the debt deal suggest strongly to me that the majority of the selling last week was more to do with the faltering global economy rather than uncertainty over the US politicians doing a deal. There is speculation that the US may still lost its AAA credit rating, and that Europe may be on the brink of a financial meltdown.

Besides the debt problems both here and in Europe, there is also evidence that the US economy is not rebounding as many hoped it would be. Investors are also concerned that consumer spending is down and there is weak demand for oil and gas.

• August 1st, 2011
• Jackson Parker

US debt concerns are fueling rising gas prices. Now speculation that fuel prices could go much higher if the government cannot come to an agreement about raising the debt ceiling.

Currently gas prices are averaging $3.70 a gallon in the US. Oil prices fell below $97 per barrel as US leaders failed to agree to lift the government debt limit just hours from a deadline, leaving investors to consider worst case scenarios if a default occurs. By the early afternoon on Friday, crude oil rose 4 cents and closed at $97.44 on the New York Mercantile Exchange.

According to the AAA Fuel Gauge Report: Default or a downgrade of the U.S. credit rating would have far-reaching consequences for the U.S. economy. These consequences would likely affect crude oil prices with pressure in two opposing directions. A weakening U.S. economy likely means a weaker U.S. dollar. As discussed, when the dollar weakens, crude oil prices are expected to see upward pressure as the product becomes relatively cheaper.

• July 27th, 2011
• Jackson Parker

Gas prices could climb to more than $5 per gallon this year if Washington can’t reach an agreement by August 2. Yesterday oil prices increased to nearly $100 per barrel as legislators battled over an agreement on the U.S. debt limit and the American dollar weakened over uncertainty about the economy.

While congressional leaders bickered over spending and raising the borrowing limit ahead of an Aug. 2 deadline, the dollar fell sharply against the euro and other currencies on Tuesday. That tends to raise the price of oil, since crude is priced in dollars and a weaker dollar makes oil more of a bargain for traders using other currencies.

“A U.S. government default that causes institutional investors to dump U.S. government bonds, triggering a plunge in the dollar, pushing up oil’s price,” according to the International Business Times. The report said the bickering could push oil prices higher, which would eventually show up at the pump and trickle to other parts of the economy.

• July 25th, 2011
• Jackson Parker

Temperatures aren’t the only that’s been heating up across America this weekend. AA is reporting that gas prices have risen for the 3rd straight week. The national average price for a gallon of regular gasoline was slightly more than $3.70 on July 22, an increase of 8.58 cents in the past two weeks, according to the Lundberg Survey released this weekend.

A year ago, the price per gallon was $2.73, about 96.72 cents less than the current price. The average price for a gallon of gas in the United States rose for the first time since early May following an increase in the price of crude oil, according to the latest Lundberg survey, which includes data from over 2,500 gas stations across the continental US.

Prices in Tucson, Arizona were the lowest in the nation at $3.28 a gallon. Chicago drivers are currently paying the highest gas prices at $4.07 per gallon.

• July 21st, 2011
• Jackson Parker

Gas Prices Up 5 Cents in Last 30 Days, Good and Bad News for California Gas Prices

Gas prices are currently on a slightly upward trend. The average price for a gallon of regular unleaded gas is currently $3.68, up 5 cents since 30 days ago, and 3 cents since one week ago, according to the AAA Fuel Gauge Report. The reasons gas is slowly creeping back up after a two-month decline include: the faltering Greek economy, a weaker US dollar, unrest in Libya, increasing demand for gas and limited production from refineries.

Gas prices in California have remained unusually low, when compared to other states in the US. Typically California has the highest gas prices in the continental US, but several other states currently have higher prices such as Connecticut, Washington, New York and Washington D.C. The average price in California is $3.782 today, a 2 cent increase since last week.

For Californians there is good and bad news, gas still costs 14.4 cents less than it did a month ago, according to AAA’s Daily Fuel Gauge Report. However, it’s still 67.3 cents more expensive than it was a year ago.

• July 20th, 2011
• Jackson Parker

The current national retail average price for a gallon of self-serve regular gasoline is $3.67. Today’s average price is 4 cents more than the price one week ago, and two cents more than one month ago. Currently three states have an average retail price for regular unleaded of more than $4 per gallon – Hawaii, Alaska and Connecticut.

Oil reversed direction for the fourth straight trading day on Tuesday and climbed about 2 percent, as traders faced uncertainty about the direction of the economy and a weaker dollar.

Crude oil is used to produce gasoline and other fuels, and it’s also a major investment commodity. Prices can swing with the collective mood on Wall Street. Recently benchmark oil has fluctuated between $95 and $99 a barrel as investors gauge how Europe deals with Greece’s debt crisis and the debate goes on in Washington over spending and the U.S. debt ceiling.