What's the real reason behind Gasoline prices going down?

[Tigermegatron]

What's the real reason behind Gasoline prices going down?

My guesses & speculation below:

1- The up comming USA Presidental election. the same thing happens ever time a current president seeks a 2nd term. gasoline prices went down big time when President george bush junior was seeking a 2nd term. because the current president knows he has no chance of winning a second term is gasoline prices are so high. due to gasoline controlling everything. theories are the governemet are dipping into the reserves which they only do into desperate times like trying to win a presidental election.

2- the sadaam hussein gasoline pipe line that has been shut down for years,is slowly comming back up.

3- recent elections in the middle east. has newer elected officials giving the USA better oil prices.

4- People in america aren't using as much gasoline due to the high cost per gallon at the pump. this created a over abundance of gasoline,so now it's much cheaper per gallon at the pump.

5- other countries with gasoline are selling it to america in over abundance.

[Sparky Prime]

because the current president knows he has no chance of winning a second term is gasoline prices are so high.

Wut? Last I saw, Obama is beating Romney in general election opinion polls.

The way I've heard it reported is that there are essentially two formulas for refining oil into gasoline depending on the season. One for the winter months and another for summer months. Generally switching to the summer blend causes a spike in gas prices as the oil companies will try and sell out all of the winter blend first and then have a shortage starting out on the summer blend, which is slightly more expensive to produce. So as the summer blend meets the production demand, the prices stabilize and slowly go back down.

[Mako Crab]

because the current president knows he has no chance of winning a second term is gasoline prices are so high.

Wut? Last I saw, Obama is beating Romney in general election opinion polls.

Popular Opinion polls mean nothing! Just ask Al Gore.

[Sparky Prime]

Popular Opinion polls mean nothing! Just ask Al Gore.

Well that was an unusual election. It's rare that a candidate who wins the popular vote doesn't win the electoral vote, with that only being the fourth time that's happened. And Florida royally screwed up counting their votes. Research has suggested if Florida had properly done a statewide recount, Gore would have won the electoral vote.

[JediTricks]

Gasoline doesn't fluctuate all that much usually, it's a commodity so its value is set and generally you have the local economy's value affect the price. I think in this current case, it's the economy showing some signs of recovery, the value of the dollar increasing a little. If you look at the price of gold, another commodity, its price has also come down some in the last month, it's not because gold is somehow magically cheaper, it's because the dollar buys a little bit more gold than it did in May and previous.

The way I've heard it reported is that there are essentially two formulas for refining oil into gasoline depending on the season. One for the winter months and another for summer months. Generally switching to the summer blend causes a spike in gas prices as the oil companies will try and sell out all of the winter blend first and then have a shortage starting out on the summer blend, which is slightly more expensive to produce. So as the summer blend meets the production demand, the prices stabilize and slowly go back down.

While they do switch blends (to avoid evaporation), that happens around Memorial Day which was over a month ago.

[Sparky Prime]

While they do switch blends (to avoid evaporation), that happens around Memorial Day which was over a month ago.

Actually, the EPA defines April to June as the "transition season" for the summer blend. Refineries begin production for the summer in March-April, and some fuel facilities have to switch by May 1st, but your average gas stations have until June 1st to begin selling it. Memorial Day is just when we normally see the rise in gas prices.

And the summer blend is formulated to be slightly more eco-friendly besides trying to avoid evaporation.