JTRI
Well-known member
Diesel is $3.59 to $3.69 and dropping. RUG is $3.04 to $3.19
Normal for this time of year. The spread will begin to shrink shortly after the new year.With RUG dropping like a rock it is really increasing the diesel / RUG gap.
ahem...care to explain?Price's all over the map here. Unleaded as low as $2.61, then diesel $1 more! Are they stupid? Other stations have it as low as $3.13. I typically go to Kroeger since I can get my discount there, typically $1/gal off, so even though it may $3.33, I pay $2.33. I like seeing my fuelly.com cost per mile at $.07, pretty close to my previous Prius v5!
Kroger/Safeway, Giant and I am sure others.Kroger allows you to earn points based on your purchases in the store and redeem up to $1/gal discount for up to 35 gallons at time(month?). I use mine for gas for the lawn equipment, because I can usually find Diesel cheaper but gas is pretty equally priced. BTW we don't buy enough at Kroger to get the whole $1/gal, usually just 20-30c.
The spread on fuel prices is most likely faster moving gasoline product can be lowered faster to match market while slower moving Diesel. Stations can't afford to sell $3.99/gal Diesel @ $3.25/gal when the market drops. Of course there are other reasons like market pricing near Interstates and stations that are contractually required to offer, but don't want Diesel.
Jason
Kroeger allows you 10 cents off per gallon for every $100 you spend at their store. You earn a point for every dollar you spend. The max you can redeem per fill-up is $1/gallon or 1,000 points. Sometimes I only have 30 cents or 60 cents off per gallon.ahem...care to explain?
Crude oil has bounced up a bit since the middle of last week, and heating oil futures are a few cents higher. But in the Upper Midwest, both gasoline and diesel prices have jumped. Gas stations that were charging $2.89 last week are now $3.09. Diesel hadn't fallen as far, so it's only risen a few cents at most stations; but at the very cheapest stations, like the one that was $3.43 a week ago, it was up to $3.53 over the weekend and $3.63 on Monday night.
My guess is, both consumers and retailers were just buying what they needed while prices were dropping, figuring they could buy for less in another day or two. Then, when it looked like prices were not going lower, they all decided to fill their tanks at once, and this sudden demand had an immediate effect on prices.
I suspect this is temporary, and that both gasoline and distillates will be lower in a week or two. Futures markets for both are in backwardation, so there is no incentive for anyone to buy and hold -- only to buy what they need right now.