If Gasoline goes to $4/gal, will you change your vacation plans?

[WDWisTheBest]

As oil prices race toward $100 a barrel, the expectations that gasoline prices will make a leap are running high. Some traders say $4 a gallon will be a reality in the not-too-distant future, and prices could shoot even higher.

But that might be the exception rather than the average in the United States this year unless the Middle East unrest spreads to Saudi Arabia or another major oil producer.

According to Thomas Kloza, chief analyst at OPIS, "The edges of the country and the coasts will see higher prices than the interior of the country where they can use domestic and Canadian crude. I think the prices are going to top out at $3.50 to $3.75, per gallon", said Kloza. He expects other oil producers to make up for the loss of supply from Libya, which declared force majeure on oil production today. Libya was producing 1.6 million per day and accounts for about 2 percent of global oil production.

We went up to $4.11 by the summer of 2008. Do you remember that?

 

[eliza61]

maybe slightly. this year I have 2 trips planned and every thing is pretty much already paid for. airfare tickets already purchased.

 

[Tony NY]

I Live in NYC I pay 3.49 right now and no it won’t stop me from go to happiest place on earth especially with getting 40% off my room at the GF I remember paying $ 4.67 one year two years ago.

I just hate that the prices go up supper fast and goes down supper slow

 

[jlewisinsyr]

Gas prices would have to be significantly higher for me to adjust my travel plans.

 

[uncle duck]

No it won't. paid for my train tickets few months ago and walking to DLR. have no other big plans for summer that requires gas.

 

[BridgetBordeaux]

We will just grimace a bit and bear it. We drive from Atlanta and we are not going to let an extra 75 dollar expense for fuel torpedo our trip to WDW.

 

[vicki_c]

I agree, we are going in April whether gas is $3 or $4. The impact that would be on the total vacation cost would be minor.

 

[webworm]

As oil prices race toward $100 a barrel, the expectations that gasoline prices will make a leap are running high. Some traders say $4 a gallon will be a reality in the not-too-distant future, and prices could shoot even higher.

But that might be the exception rather than the average in the United States this year unless the Middle East unrest spreads to Saudi Arabia or another major oil producer.

According to Thomas Kloza, chief analyst at OPIS, "The edges of the country and the coasts will see higher prices than the interior of the country where they can use domestic and Canadian crude. I think the prices are going to top out at $3.50 to $3.75, per gallon", said Kloza. He expects other oil producers to make up for the loss of supply from Libya, which declared force majeure on oil production today. Libya was producing 1.6 million per day and accounts for about 2 percent of global oil production.

We went up to $4.11 by the summer of 2008. Do you remember that?

Your gas prices are a bargain compared to what we pay in Canada. This morning gas is $1.17/litre so 3.78litres = 1 US Gallon = $4.42 per gallon.

 

[keishashadow]

oil went up again today (probably worse if Omar sabatoges his pipelines) pretty sure it's why the SWA July airfare I was patiently watching to drop for a month went up $80 pp.

took the plunge and bought two tickets for a later/cheaper departure but final tab for 2 people was still $100 more than what it cost for 3 tickets i bought last year same dates

i'll keep watching & hope for a credit between now & then to apply to upcoming Dec trip, but imo the days of cheap air on popular routes/dates is g-o-n-e...nice while it lasted!

 

[WDWisTheBest]

oil went up again today (probably worse if Omar sabatoges his pipelines) pretty sure it's why the SWA July airfare I was patiently watching to drop for a month went up $80 pp.

took the plunge and bought two tickets for a later/cheaper departure but final tab for 2 people was still $100 more than what it cost for 3 tickets i bought last year same dates

i'll keep watching & hope for a credit between now & then to apply to upcoming Dec trip, but imo the days of cheap air on popular routes/dates is g-o-n-e...nice while it lasted!

I hope that you do get a credit between now and July. At this time it seems very unlikely that air fares will be lower for the rest of the year.

 

[keishashadow]

I hope that you do get a credit between now and July. At this time it seems very unlikely that air fares will be lower for the rest of the year.

thanks, im not holding my breath lol just glad i booked it and don't have to worry it might go even higher at this point

 

[Cdn Friends of Pooh]

We're up in Canada (Edmonton, Alberta) where we have oil refineries almost in our back yard, and right now our gas is $.98 a liter. Now that may sound cheap, however, when you factor in there are 3.78 liters per gallon, our gas is about $3.70 a gallon. So really, traveling to Orlando and putting gas in our rental car is cheaper for us than putting gas in our own car at home!

 

[WDWisTheBest]

Gasoline prices averaged $3.19 last week a gallon, up 57 cents from a year ago. (Economists estimate that every additional $1 rise in the price of oil adds about 2.5 cents to the price of gasoline.)

The biggest threat comes from the potential spread of turmoil to Saudi Arabia, the lynchpin of global oil production. The Saudi regime shares many of the conditions that have sparked uprisings in neighboring governments: rising food prices, autocratic rule, a large population of disenfranchised young people, and ethnic and religious divisions. Until recently, many western observers felt the risk of unrest there was limited by the Saudi government’s ability to use its oil wealth to calm restive groups seeking its demise.

On Wednesday, Saudi King Abdullah returned home after a three-month absence for back surgery to announce a $37 billion program to help lower- and middle-income citizens. The plan announced by the 87-year-old king includes pay raises, unemployment benefits and affordable family housing.

Let's hope that Saudi Arabia doesn't come under civil unrest.

 

[sammielynn]

As soon as things started looking bad in Egypt, I purchased our plane tickets.
Don't know about where you are but when gas prices went up here in 2008 several of the major gas folks were charged with price gouging after the dust settled. They paid some hefty fines. They might think twice this time around before they use this as an excuse to raise their prices to much.

 

[keishashadow]

news sez gas prices close to $4 gallon in parts of the countryamazing how the cost of gas already in the pumps suddenly increases.

 

[kerstfan1]

be glad it is not a liter as it is here we pay now 1.60 euro a liter

 

[keishashadow]

be glad it is not a liter as it is here we pay now 1.60 euro a liter

guess it's all what you're used to paying. In Pennsylvania we have some of the highest rates in the US due to additional state taxes. Always assummed some sort of government tax was the reason it was so much more expensive in many countries. Sure would be nice to think they're spending the tax revenue wisely.

 

[soarinup]

It will definitely be 4 bucks a gallon, the Middle East isn't exactly known for cool heads, and speculators are loving this increase. I have simply resigned myself to it.

 

[webworm]

In Toronto this morning it is now $1.21 a litre so multiply by 3.78litres in 1 US Gallon = $4.57

 

[lost*in*cyberspace]

It will definitely be 4 bucks a gallon

I agree that this is pretty much a certainty. Look for airfares to increase as a result.