Wait, given that OPEC controls the market price, especially given Saudi’s capacity to increase/decrease production, why would we expect them to let prices fall significantly?
gas in great Montréal: 1.52CA$/L
gas in USA couples minutes drive: 1.12$CA/L
I just filled my tank, ~60L, saved 24$CA
Dang those are some nice prices!
Yup I was surprised to see the gallon for US$3, so 3*1.4 (exchange rate) = CA$4.2 per gallon, divide per 3.78 and it makes CA$1.11 per liter
Generally pump prices aren’t greatly influenced by oil prices, unless there are large swings. I don’t recall the exact breakdown of the pump price but there are explainers out there. What stuck with me is that the oil price isn’t a huge driver.
Pump prices are affected by oil price: when oil goes up, pump price goes up. When oil goes down, pump price goes up. Simple as that ;)
Because the reason oil companies have been making record profits is because production was not cheaper?
Is that the argument being made? Oil faced with higher costs = higher profits,therefore lower costs = lower profits?
