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Aug 31, 2004 -- Gas prices are up, but they will go down

Gasoline has become an ugly word in today’s economy. That includes jet fuel for planes, diesel fuel for trucks and gas prices at the pump for everyday consumers. In fact, oil prices have gone up so high that wholesale prices are at $50 a gallon. Economists predicted prices would reach $30 a gallon at most this summer. Even worse, we tend to buy more fuel than we’re used to because of the cars we drive. Oil prices have also been driven by terrorism fears. So, we’re really getting hurt in the wallet. The good news is that the terrorism quotient is going down. And, based on the drop in the price per barrel, you will see a drop in price come late September or early October. Clark is predicting a drop of about 13 or 14 cents at that time, which is great news for companies and consumers alike. Another positive note is that people are starting to buy “crossover vehicles” that use less fuel than typical trendy trucks and sport utility vechicles. Because of rising gas prices, people are buying cars that look like SUV but have the fuel economy of passenger cars. On the other hand, if you’re not worried about driving a gas guzzler, you can get a great deal on an SUV these days.

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