Gasoline prices below a dollar

Posted on July 17, 2007
Filed Under Commodities |

Gasoline prices at the pumps dipped as much as 10 cents across the country today (I’m sure you’ve all noticed) as a result of wholesale prices declining. The decline was due to speculative talks of increasing North American gasoline inventories, along with increased capacity at refineries. Importing gasoline from American refineries was also cheaper because of the rising loonie.

Motorists in Toronto stopped to pump every empty litre in their tanks today, where prices fell as low as 96.9 cents (as per gasbuddy.com). It was the first time since March that GTA drivers celebrated prices below the $1 mark.

Celebrations aren’t expected to be long, so enjoy while you can. The decrease was lead by a combination of temporary factors, including a few American refineries who resumed operations after routine maintenance and unplanned outages. Expect this as a temporary relief, as global oil prices continue to rise along with the season’s increasing gasoline demand. When and how will prices fly back up? Who knows… so my advice, keep your tanks full.

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