Posted in: Gas Prices,
by Patrick DeHaan on Nov 29, 2010 10:13 AM
Evaluating last week's prediction for this week, I said "By next Monday, I expect the national average in the U.S. to drop to $2.85 while prices in Canada will drop to 104.9c/L." Taking a look this morning, the average is $2.859 for the U.S. and 105.9c/L in Canada. While I was close to the U.S. average, the average in Canada actually moved higher, so I'll call it "close".
With wholesale markets uneasy to start this week, we may see wholesale prices climb the entire week while retail prices drop for the first few days before holding steady or rising later in the week.
We continue to watch outside influences on gasoline prices, such as an EU bailout in Ireland and military maneuvers in North and South Korea.
Prices are holding high in the Northeast, with even traditionally cheap New Jersey holding in in the $2.75-$2.85 range, much higher than South Carolina. Typically, New Jersey is among the lowest priced areas in the nation due to their low taxes.
Prices in the South U.S. continue to be the lowest in the U.S., with prices in many areas between $2.55-$2.75. We should see the Great Lakes area slowly come down to similar prices. Last week in the Great Lakes we certainly saw some odd price hikes initiated by some newcomers, some of which were implemented by many, some price hikes were not implemented widely.
By next Monday we'll see average prices fall to $2.83 in the United States while prices in Canada should remain steady around their present levels, so we'll say 106.2c/L by next Monday in Canada.