This is how the mind works: With this gigantic, unprecedented storm bearing down on the East Coast, will my gas prices go up? Because, you know, I’m fine with the gas and oil that I burn creating massive, deadly storms, but I am not OK with the prices of gas and oil going up as a result. Death and destruction, sure. Another 20 cents a gallon? HOW DARE YOU SIR
Anyway, the answer is, no. Your gas prices are probably not going to go up.
From Business Insider:
Shut-ins at East Coat refineries appear to be causing gas prices to rise today. But Hurricane Sandy will likely cause oil and gas prices to drop as drivers avoid roads.
The effect of what analysts refer to as “demand destruction” will likely be felt later this week, Reuters’ energy analyst John Kemp writes.
In other words: Less driving means more fuel means lower prices. Hooray!
At least over the short-term. Businessweek suggests that refineries could be taken offline by the storm.
“The primary consideration would be disruption to refinery infrastructure,” said Ric Spooner, a chief market analyst at CMC Markets in Sydney. “That has the potential to disrupt markets and cause local and regional product shortages.”
So maybe not hooray, then. Or maybe they’ll cancel each other out. The point is this: drive drive drive drive drive go go go USA.
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