Oops, gasoline price headed up again

Supposed geopolitical tension over Gaza, supposed cutbacks in production by OPEC members, the rising price of crude oil, and the transition to a new, higher-priced front-month wholesale gasoline futures contract mean that the price trend for retail gasoline has headed up again, for almost a week now. It bottomed at about $1.60, and now the AAA Daily Fuel Gauge Report show that the national average retail price for a gallon of regular unleaded gasoline has risen to $1.672.

February RBOB unleaded gasoline futures are at $1.1771, indicating that retail prices are headed for $1.77 to $1.82 within a few weeks, about 10 to 15 cents above the current price level.

Still, this latest move of the past week is likely to be simply gasoline trading in a range rather than a new trend back above $2.

All of this means more cash in the pockets of consumers and less pressure on their budgets as well as the budgets of businesses and governmental entities. It also means more traffic on the roads.

-- Jack Krupansky