Gasoline Prices Skid as Diesel Burns

Energy , USA Oct 22, 2013 No Comments

GasolineOctober supplies of gasoline are at a three-year high for that month, but refiners are still running at high speed because they are earning fat profits exporting diesel, which is made using the same process that converts oil to gasoline.

A gallon of regular gasoline cost an average $3.35 on Monday, down 14 cents in the last month and hovering at their lowest level since January, according to AAA. The automobile club predicts retail prices could drop another 15 cents to 20 cents by the end of the year.

But U.S. refiners are increasingly taking their cues from the export market, and the boom in domestic oil production gives them access to cheap crude, allowing them to undercut rivals in Europe, where crude prices are higher.

via Gasoline Prices Skid as Diesel Burns – WSJ.com

Rod Sherkin

Rod is a former senior executive, responsible for Purchasing, for both Pillsbury and Ball Packaging back in the 80’s and 90’s. Since then, he has continued to work in the Purchasing field as both a consultant and founder of the website Propurchaser.com.

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