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27 gas prices -- a little bit but you know the markets really don't candidate in joining the company now is -- Petrocelli his with -- financial.
Project for as well let's talk about this we've got four dollar a gallon gasoline in Maryland California Connecticut some places -- the country gas prices going straight up.
The market doesn't cash.
You know what 34 yeah hi for the -- explain that one.
Yeah I think we're getting to the higher summer gas prices early this year for two reasons one.
You've got to refiners that are -- -- a little bit but why -- the market because I think demand is the real story -- -- this is typical supply and demand story and demand his loan demand is at a -- -- -- back to 2001.
-- so we've been on a downtrend since 2005 and demand.
Consumers are using -- gas.
Connection it's Connecticut you -- to four dollar -- -- 353 as it is today yeah you take money.
Hopes of the economy YouTube has slowed down economic growth and the market doesn't -- to go straight up and I wanna explain that well I.
I'll explain that there's an expectation that for the year for this year -- should average around 355.
We'll see spikes in the summer four dollars across the nation who's got an expectation well this is this is what the -- well -- and well it's it's priced into the market RD OK with that and it's because we've been that we were there last year it went over 350 matter when you go over 350 stayed there.
For for months at a time.
The market is okay -- but the market also stops gas prices at four box right.
-- more uncertainty in the -- Heck even at the CD and the picture now thing can happen -- and that's notified -- of the market doesn't care.
Well it's it's it's again demand and I agree with you certainly the Middle East is is is a big.
We don't know what's gonna happen but US consumer will stop consuming at -- -- they'd they'd start to draw back their consumption at the four dollar mark -- we've seen at the last couple times we've been there.
All right here's the question of the day if gas prices continue to go up and they -- rising yet.
Give me -- -- that takes advantage takes advantage that goes up in price if gas prices keep going up.
Yeah one of the things that we like to do is hedge especially when you have things like rising gas prices and we believe gas prices are gonna go up we like the ET FX OP.
-- it's the spdr -- oil refiners or -- was against refiners.
It's a great ETF has a lot of different refineries and it and it will rises as the price of gas.
Goes up XOP.
Is a basket of stocks that traded like a single -- -- contained in that basket a lot of refining stocks have -- it.
The refiners will make the money you don't have to pick which refiners gonna make the money take the basket of them.
Right the general market up we also like it because you know there's a pretty active options market this is a very large ETF -- there's there's billions of dollars in this and so.
What we look at here is you can hedge yourself you -- protect yourself there's a lot of great things about.
He's you have correlation when gas prices go up XOP goes up absolutely direct correlation to us yes.
Alright -- poster -- I think we've got everything we've current get out of you the that in the good -- -- -- the judgment great.