Quote:
Originally Posted by Donger
It doesn't take weeks. It's a few days. And, because with crude falling, the stores are betting that it will keep falling.
They pretty much have to raise prices immediately in response to crude going up to cover any potential loses. That isn't the same when it's falling.
Also, don't forget that they are competing with other retailers.
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My last boss once worked for Koch Industries, he said that gas stations lock in their prices somehow, for some reason, for a certain period. I'm not sure of the details (I don't remember), but that is why it takes a couple of days to see the effects at the pump. I also remember him saying there are 9 nations that determine the cost of crude oil??