Oil and Gas Continue to Rise

Includes: BP, COP, OIL, USO, XOM
by: Doug Short

I routinely post an update on gasoline prices on Monday afternoons when the Energy Information Administration data is published. But Friday's close at 112.99 for West Texas Crude Oil (WTC) prompted me to post an interim snapshot with that day's WTC close and the latest price for regular gasoline from the GasBuddy.com website.

(click to enlarge chart)

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Here is a link to GasBuddy's average gasoline price for regular by state. As I type this, three states (Alaska, California and Hawaii) have an average north of $4.00, and Illinois is a fraction of a cent below that level.

Commodity expert Dennis Gartman was interviewed by CNBC last Monday, when WTC closed above 108. He said:

One day we'll wake up and everyone will say oil is too high but right now the trend is oil keeps making new highs and the market climbs. If we rush up $20 dollars that's a whole other story, but I think we can accommodate another $3, $4 or even $5 in crude.

Four days later we were up well over four dollars on crude. The price action for oil over the next few weeks will be important.