Fuel prices

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Gasoline (that's petrol, to my friends across The Pond) was $2.59/gal this morning at the QuikTrip at 23rd and Noland in Independence.

The price has been steadily dropping by about .01 per day for the last month.  If it were to continue at that rate - and I've no illusions that it won't for much longer, but it's fun to speculate - we'd be looking at less than $2.00/gal by Christmas.  I think that's possible, but unlikely to dip much below that.

Comments

[billthetailor.livejournal.com]

Yes, in some products; milk for instance. However, just as it took a while for food prices to rise in response to the cost of fuel, I think it will take a while for prices to drop. The link between fuel and food comes with a long rope, and it takes a while for a change in one to reach the other. That said, areas far from major cities and/or highways will see the price drop happen much slower: the cost of transportation of goods is higher in rural areas, and (on average) 80% of the price of an item is in getting it to its destination.