$2.29 a Gallon!!

Originally Posted by dbth

2 points:

1- Is there a shortage of Premium fuel in NJ? The price bump from regular to premium increased from 20 to 40 cents per gallon over the last 2 months.What is the difference from regular to premium in other parts of the country and world?

2- The run up and collapse in energy prices was a function of free market forces , not a conspiracy.Surely a supply demand /scenario (Katrina , South Asia demand, geopolitical tension ) pushed wholesale energy prices up.
This energy inflation was a huge profit for energy companies and for energy commodity speculators (hedge funds ).The power of leverage in the commodities futures markets gave speculators the ability to control energy prices.
Any maket that can be leveraged can be subject to extreme , even irrational price movements in the short term. The beauty of a free market is that supply and demand will bear the fair price over the longer term.
Look up Amaranth , a hedge fund that lost $6 billion (billion with a b) when they got caught holding the bag when the music stopped in natural gas futures.
If you have money invested with any mutual fund , you are a participant in hedge funds as mutual funds , pension funds , state funds (not wealthy individuals) hold the largest balances at hedge funds.

dbth, the price "premium" for 93 octane in the Chicago area has been around 18-22 cents for a very-very long time.