Pay attention to this one!

Just to keep you all up to date on the markets…

The last three trading days have been very disturbing, so much so, that I have sent a note to the US Commodity Futures and Exchange Commission on what I’ve been seeing. So far this week, I have gasoline set to increase to consumers here by 10.9 cents a litre. Warnings are out on what to expect in the coming days in other areas of the country.

That number for Newfoundland and Labrador is no misprint!

Over the last three days gasoline has traded upwards from$3.18.36 on September 25^th to todays $3.63.70 cents a US Gallon. Breaking these numbers down, prices have gone from 82.26 cents a litre on the 25^th, 87.72 a litre Wednesday, 89.17 on Thursday, to today’s 94.52 cents a litre.

Average them out and take away my last week’s average, you get the 10.9/Litre.

I pray that I am wrong on this one, but the word is that traders over-leveraged the markets again today. The high volume of trades has distorted the reality of what prices should be here, drove refined gasoline prices over the edge, and, I believe consumers are going to get caught in the middle.

If this is not proof of what happens in being caught tied to a US trading market, then I don’t know what is. It has to be corrected by the federal government making moves away from it, and having Canadians see realities based on a Canadian condition.

Still two days to go here, but the writing is on the wall already for a radical move upwards in prices.

Regards for now,

George Murphy

Group researcher/member

Consumer Group for Fair Gas Prices

Twitter: @GeorgeMurphyMHA

Numbers down for the week

Hi to all,

Numbers are in.

Here they are, short and sweet.

·         Heating and stove oils are down by 2.0 cents a litre.

·         Diesel is down by 2.6 cents a litre, and…

·         Gasoline is down an even penny.

There’s not a lot to follow up on from the markets this week, but there are a few things to watch in the next couple of weeks, however…

Of note:

·         Continuing unrest in European union countries, particularly Spain, where deep austerity measures are a bitter pill to swallow. The Union is still having trouble dealing with how to handle debt problems, all in spite of banks moves to give interest relief that would have brought down bond interest rates in European Union countries.

·         Inventory levels: US inventory levels of crude oil climbed a record eight million barrels last week, leaving doubts about the present price of oil. Another build in crude oil inventories may be enough to sound warnings about waning demand for crude in slowing economies, in this case, the US economy. A drop in inventories of crude may only help to stabilize oil prices where the markets are still awaiting positive economic news from Europe and the US.

·         Keep an eye to China’s inflation rate and projections of economic growth. Any drop in growth will make a big-time impact on oil prices, if they’re combined with bad economic news from Europe and the US.

That’s it for now!

Regards,

George Murphy

Group researcher/member

Consumer Group for Fair Gas Prices

Twitter: @GeorgeMurphyMHA

Better late than never!

Hi to all,

Sorry I’m late, but I was otherwise occupied with other matters.

It would have been a little bit sooner except for the impaired driver last night. He’s probably cooling his heels somewhere within the prison system as you read this.

It wasn’t me!...

This is a short version for this week again.

· Numbers show a slight upwards movement for heating and stove oils by 1.22 cents a litre, based on five days data.

· Gasoline shows a downwards move by 1.9 cents a litre, based on seven market days, and…

· Diesel fuel shows an added 3/10ths of a cent over seven days.

Last week showed some volatility in the numbers that continues into this week, so, I have to caution everyone that there may be ‘inequities” between what I have, and those of the Public Utilities Board, particularly with the heating and stove oil numbers. I hope everyone understands!...lol

Regards,

George Murphy

Group researcher/Member

Consumer Group for Fair Gas Prices

Twitter: @GeorgeMurphyMHA

Gasoline up on demand

Hi to all,

Short version for tonight, as I have been out of town on business for the past few days.

There's been a slight retreat in distillate prices in spite of an increase in crude oil prices the past week.

That's not he same for gasoline.

Here's what I have for this Thursday's price change, keeping in mind that i have some weaker data for heating and stove oils:

• Heating and stove oils are down by 1.78/Litre.


• Diesel is down by 2.1/Litre, and...


• Gasoline is up by 3.4 cents a litre.

After last week's shutdown of oil production in the Gulf of Mexico last week, there has been a slow return back to production. latest numbers say that we're still looking at a 1.2 million barrel slowdown in production previous to Isaac.

Sorry for the bad news on the gas front. That's it for this week.

Regards,

George

Numbers up

Distillates still on the move

Media release

Conception Bay south, NL, September 4, 2012- Numbers are still showing some strength in the face of steady oil prices, and refined commodity prices have increased this week with consumers again looking at very moderate increases in prices to most fuel prices this week. That news from George Murphy, group researcher and member of the Consumer Group for Fair Gas Prices.

The numbers

“Numbers show slight increases across the board. Heating and stove oils show an added 98/100ths of a cent a litre, with diesel also showing an increase of 1.1 cents a litre. Gasoline numbers show an added 8/10ths of a cent a litre,” Murphy said.

Price war?

Meanwhile, numbers to the consumer are showing a different picture, and all in the face of the old oil company argument about not being able to drop prices because of regulation. “Prices in the St. John’s area are anywhere from nine cents a litre in the difference between stations, ranging from the city’s west end to the northeast where Costco has become a major player in the markets. They’re all trying to compete for market share, and it all goes to show just how important Costco has become in keeping prices lower at mainstream gasoline retailers. Costco is dictating what the Ultramar’s and Esso’s of this city are charging. Their prices have even meant that, in some cases, stations around St. John’s are charging less than those in the Conception Bay South. Consumers continue to benefit by having them in the retail markets, and it’s a true indicator of what it means to have competition between companies. I’ve always argued that.”

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For more information, contact;

George Murphy

Group researcher/Member

Consumer Group for Fair Gas Prices

Twitter: @GeorgeMurphyNDP