That blew away my July 4th prediction on May 12th. My revised prediction is $5 a gallon by July 4th. If it isn't $3 a gallon on November 4th, I think the GOP's chances are entirely gone. They're on the ropes as it is and that will seal the deal and the GOP coffin.

Hit $3.75 for regular here today.

Man, I'm so damn happy!

I'm so "estatic", as Mike Tyson might say, that I can contribute to the poor stockholders of the oil companies. Times're hard for us "little people", imagine how tough it is fr the very wealthy!

I paid $4.03 this weekend out here in the Bay Area.

We're not alone - thank you Michigan!

Seriously, I'd love for diesel to get back down to $4/gallon. But I doubt I'll ever see that again in my lifetime.

Oh well, gotta love that diesel mileage.

RScommon:

That blew away my July 4th prediction on May 12th. My revised prediction is $5 a gallon by July 4th. If it isn't $3 a gallon on November 4th, I think the GOP's chances are entirely gone. They're on the ropes as it is and that will seal the deal and the GOP coffin.

Gas is still ow compared to oil and will go lower after the summer. As you say, $3.00 gas is required for any gope for the Gaseous Old Party. Fortunately for them, they have the Saudis and Big Oil on their side and should be able to do it. It make take a could of small rate hikes by Bernanke, but 2000 proved that the FR and OPEC work well to help the Republicans. This year should be no different.

After the election oil skyrockets. If Obama is president he will be blamed, if McCain wins it will give him leverage to ask for ANWR and close offshore, new refineries, dirty nuclear plants, dirty coal, and tax credits for the drillers. That is why we do need a strong Democratic congress, one without the collaborators Pelosi and Reid. If Clinton doesn't get vp, senate majority would be good, and I like Ike Skelton as Speaker of the House.

alameda929:

I paid $4.03 this weekend out here in the Bay Area.

We're not alone - thank you Michigan!

$3.50 today in the KC area.

The Saudis seem to be cooling towards the gop, and the Fed can't risk raising rates during the current credit crunch.

Not that I believe for a second that it's interest rates causing the credit markets to freeze, it's got much more to do with a complete lack of faith after the subprime junk bonds were rated AAA. I still say we take some banks and wall street houses to task for their behaviors, give the investing public the taste of blood and a sense that justice has been done.

It will be far cheaper and more effective than the current strategy employed by the Fed. Bring me the head of Charles Prince!!!

"The Saudis seem to be cooling towards the gop,"

Inventories are up in repayment for the nice arms deal.

"and the Fed can't risk raising rates during the current credit crunch."

Sure they can. Low rates won't overcome fears of counterparty rish when big banks are writing off billions of bad paper.

"Not that I believe for a second that it's interest rates causing the credit markets to freeze, it's got much more to do with a complete lack of faith after the subprime junk bonds were rated AAA."

My point. That's why the fed had to collateralization bad paper in the Bear Stearns buyout.

"I still say we take some banks and wall street houses to task for their behaviors, give the investing public the taste of blood and a sense that justice has been done."

Street theatre is good. We can put Bernanke and Greenspan on the block with the private bankers. 1% rates and lack of regulatory oversight had a lot to do with this and we can identify the two architects who are the poster boys for malfeasence.

"It will be far cheaper and more effective than the current strategy employed by the Fed. Bring me the head of Charles Prince!!!"

And it won't affect the Dollar. More useful is to start, slowly, raising rates again, quarter point every two months, aim for 4%. Oil will drop to $80 and the economy will rebound quickly and the credit freeze will melt and consumers have disposable income once more. Just the expectation that Gentle Ben won't cut anymore has topped oil and I expect $110 within a couple of weeks, as speculation starts unwinding and the supply/security premium returns to a more normal 15-20% over 3 grams of gold.