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Gas prices at a record high for this time a year climbing for 36 straight day -- the national average now.
Three dollars and 78.
Cents a gallon.
Tom closes the chief oil analyst for the Oil Price Information Service he's the man who calculates these very prices.
He's on the phone with us right now Tom you really see this coming did you did the run up that we got so early in the year.
I didn't see come in this early in the year but -- but it is pretty typical of the run up and actually if you look back election year around this time overlapping route we had a 39 days -- so.
Gasoline prices -- streaky this time -- year is a couple of extra things that are contributing to it this year but we've seen this movie before we know and so.
That extra thing talk about the refineries and they -- money that the refiners.
Are able to make based on the spread between crude oil and gas prices.
Well two things number one -- there is a lot of refining maintenance going on and that's contributed to the higher prices but if you're not performing maintenance.
You're basically clover you're making profits like counterfeiters.
The price for gasoline is anywhere from a 130 you know 135 dollars a barrel and you've got crude anywhere from maybe eighty to a 117.
It's not typical and it's not sustainable for refiners to make.
-- forty to fifty dollars a barrel on on gasoline that's just way way off the charts.
What is created that unusual spread this this go around Tom is it to investors is it investment money that is push up the price of gasoline.
Yet make a lot of investment money haven't been a lot of the fund managers have -- -- gasoline futures we'll see some numbers later today that I think will show even more of the bias from the speculative or investment side.
The that'll pull off but one that peaks that's that's a sign that maybe the market's gonna back -- and I think it's gonna back -- like quite a bit once we get there.
Speaking of the refinery work and it coming to an -- you say watch the West Coast for the first time the relief are we -- seeing that -- the gas prices.
Yeah they switched to summer gasoline on the West Coast.
And they are probably in the seven very thinning -- their maintenance so they're finishing that up.
And they've got prices -- -- quarter and above that probably create a little bit of demand destruction so.
But watch that it -- that leveled -- -- moves down that maybe assign things to come in the midwest and at the East Coast.
Is speaking of things to calm do you think that we won't get a new record all time high for gasoline prices what the last -- was four dollars and eleven cents.
Back in no way.
Yep I had to bet on it I'd say no I think we're gonna get to the point where a lot of people predicted it and they'll be a lot of people predicting -- -- -- five dollars but.
Those are the same people at my predicted Sylvester Stallone will be -- write -- candidate to beat Daniel Day-Lewis so I don't think that'll happen.
But do you think Day-Lewis land's value for Lincoln.
I think he wins -- walk no question about it best movie.
Nine -- believe -- Largo are saw a suitable.
-- I agree with you haven not only seen one in that was -- Tom thanks a hint of good it's not gay man Tom -- with some hope.
For lower gas prices disciple BC one and that's your bed thank you the -- on the outside.
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