If it weren’t sad, it would be funny. CNN today makes much of the $4 a gallon gas price. That’s about Euro 2,58, for 3,78 liters of gas or 68 eurocents a liter. Last time I filled the tank, it took E 1,58 for a liter or more than $9 US per gallon.
Get used to it, I’d say. Despite growing rumours about price speculation (fuelled by a steeper price hike in the past months), the underlying trend is undeniable. Nearly $140 a barrel simply is about 14 times the price of 1999. That’s a 1400% percent rise in 9 years. Dave Pollards posting about what a $160 dollar oil price per barrel would mean is becoming interesting again.
Meanwhile, the closing statement of the G8 did not contain a call upon OPEC to increase production (to push prices down) but instead talked about energy conservation and investing in alternative energy sources. It seems the G8 accepts high oil prices as a given at this stage, and rules out increase in production as a possibility.