Understanding the Price of Oil & Gas

A guest columnist in Sunday’s Fort Worth Star-Telegram (www.star-telegram.com) provided an informative look at the inner workings of oil and gas prices. If you’ve ever wondered how prices at the gas pump can halve in a couple of months, while the price of milk, for example, can not, then you’ll want to check out this article by renowned auto industry expert, Ed Wallace.

Among the topics covered in Wallace’s column include: why you can’t relate per barrel oil prices to prices at the pump; how the futures markets affect the price of oil; and why oil companies are always looking 10-20 years into the future.

To read Wallace’s column, "Things Explained: Gasoline Prices," click here.

Ed Wallace’s Web site, which provides daily updates on oil and gas futures, visit www.insideautomotive.com.