Wednesday, September 13, 2006
More Gasoline and Crude Oil Price Announcements and Predictions
The TD Bank, yes, the TD Bank announced today that they predict crude oil prices will be as low as $55 per barrel this fall. That is astounding! If this is the case and the same logic is applied to raising the gasoline prices when crude oil prices rise, then our gasoline prices should be in the mid to low 60 cent per litre range by the end of this year. Natural Gas prices should fall too. Of course, I just renewed with RiteRate for 5 years at 38.5 cents per cubic meter!
This graph shows the close correlation between crude prices and gasoline prices.
The graph below is the same comparison as the graph above, except it shows the trends over the last 18 months.
Only time will tell if the gasoline prices fall when the crude price falls, just as it does when it rises.
For more information please contact A. Mark Argentino
A. Mark Argentino Associate Broker, P.Eng.,
Specializing in Residential & Investment Real Estate
RE/MAX Realty Specialists Inc.
2691 Credit Valley Road, Suite 101, Mississauga, Ontario L5M 7A1