Winter propane 2013
Anybody have info on propane price trends this winter? I seem to remember they generally went up in 2011 and there was a small drop last year (not that companies reflected it much). What’s the trend this year? Are we in for a price hike again or is it stable? I could only find this, which is pretty helpful but I wondered if anybody else had info?
Believe it or not, an awful lot depends on what goes on in Washington. For instance, gasoline prices have been plummeting since the first of September because of the budget stalemate and the belief that it's going to tank the economy. When the economy suffers gas prices go down (due to reduced demand), and the guys who deal in futures will sell short if they see a significant economic downturn coming. And when the threat is to the global economy (as it is in this case) then the downward pressure on oil prices is even more rapid and extreme. (Expect gas prices to shoot up if Congress works this out before the borrowing limit deadline.)
I'm guessing propane prices are subject to similar forces, though likely not as extreme. One mitigating factor is that not that much propane is shipped in from overseas, so the global economy does not figure in as much.