Energy: Gasoline Prices

I lied about posting today.  I'm back today but will be out tomorrow so the next time you'll see me here will be Wednesday now.  This is from Chart of the Day {Paywall}.

"As a result of an overall sluggish global economy plus increased global supply, the price of crude oil continues to trend lower. Over the past seven months, the cost of one gallon of gasoline has declined a significant $0.88 (i.e. 24%). Today's chart provides some long-term perspective in regards to gasoline prices by presenting the inflation-adjusted US price of one gallon of gasoline since 1980. There are a few points of interest. For one, geopolitical crises are often associated with major swings in the price of gasoline. It is also worth noting that, since the financial crisis, the resulting peaks of gasoline price spikes have been decreasing over time (see downward sloping red trendline). In the end, the recent plunge has brought gasoline prices to five-year lows."

My thoughts:  We talked last week about the potential significance of this decline on consumers.  Let me put this in a real dollars and cents case.  I traveled over the holiday down to Indianapolis.  I filled the car up before I left once down there and topped it off at a Costco just outside of Chicago on my way home.  Since I've made this trip countless times over the past twenty-something years I have a very good idea of what it costs to do a round trip to Indy.  I figured that I saved myself nearly $25 on gas.  That folks is real money in your pocket.  My guess is that you can look for some of that to be reflected in better holiday sales this year.

Link:  Chart of the Day:  Gasoline.