Cheap Gas? Not This Summer. Thanks, Fed!

Read this and weep.

Note that the price keeps escalating as you go further out on the calendar, by about 10% from current prices in April 2008.

To weep even more freely, read this one. Look at the middle of the chart, where it lists price/gallon of gasoline in pennies.

$2.24/gallon is what you pay for the stuff at the refinery. The rest of your cost is a combination of shipping cost, distribution/retailing margins (6% by law in Wisconsin,) and taxes. (Not to mention ethanol additives.)

There's a fair amount of chatter about why the price of oil is going up. Yah, there's more demand; but in addition, the value of the USDollar is dropping (pretty fast.) Seven years ago, the Euro was 83 cents to the dollar; now it's $1.36 or so. Finally, there are some nasty people in Iran, Venezuela, and Russia who want to make life a bit more difficult for the US.

So the Fed prints money like it's going out of style, which it has to do to monetize the balance-of-payments problem we have here. MZM (a sorta-substitute for M3, which is no longer a publicized number) grew at 8% in the last 12 months--but at 28% in the last 30 days.

Want to see where you SHOULDA been?

Check uranium in the last 6 months. From $55.00 to $115.00 since October.

Nuclear-fueled cars may not be cheap-to-drive, either.