A COMMODITIES TRADING STRATEGY FOR YOUR FUEL CONSUMPTION
June 10, 2008 by ren
Filed under Corporate Finance
If you lived in California, the price of regular grade gas for the week of 26 May was $ 4.099 per gallon. A week later (2 June) the price went up by $ 0.143 to $ 4.242 (Weekly US Retail Gasoline Prices at http://www.eia.doe.gov/). If you had a full tank on the week of 26 May, spent a half tank during the week, and topped up on the week of 2 June, you would then be spending gas for the rest of the week at an average price of $ 4.171 (lower than the $ 4.242 and savings of $ 0.0712 per gallon).
With the price of gas going up on a week-to-week basis, it is good economic practice not to go below half a tank on your gas. This way, you will always have half of your gas at the lower price of the past week and will be spending gas at a price lower than the current higher price.
image from Microsoft Clipart, reconstructed by Ren Garcia
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Check out what others are saying about this post...[...] Boom2Bust.com wrote an interesting post today onHere’s a quick excerpt If you lived in California, the price of regular grade gas for the week of 26 May was $ 4.099 per gallon. A week later (2 June) the price went up by $ 0.143 to $ 4.242 (Weekly US Retail Gasoline Prices at http://www.eia.doe.gov/). If you had a full tank on the week of 26 May, spent a half tank during the week, and topped up on the week of 2 June, you would then be spending gas for the rest of the week at an average price of $ 4.171 (lower than the $ 4.242 and savings of $ 0.0712 per gallon). W [...]