Business News
According to AAA’s latest report, all but one metro area tracked by AAA saw an increase at the pump over the past month.
California’s average gas price is the third highest among all 50 states. The Golden State’s average for a gallon of regular, unleaded gasoline is $3.14, up four cents since last month’s report on Oct. 12. For perspective, that’s 15 cents higher than California’s average price on this date last year, when it was $2.99.
Northern California gas prices are now averaging $3.17, up six cents from last month. In the San Francisco Bay Area, motorists can expect to pay an average price of $3.23, which is a 5-cent increase.
The national average price of $2.86 is up by five cents, which is 20 cents more than the national price on this date last year, when it was $2.66.
Seasonal refinery maintenance along with the high price of crude oil are two of the major factors driving up gas prices.
Crude oil has remained above the $80 per barrel range, pushing gas prices up along with it. A primary reason crude oil is so high is due to the weak U.S. dollar. Since oil is priced in dollars, a weak dollar makes crude cheaper for those using other currencies to purchase it.
“Oil stockpiles are at their highest levels in six months, but pump prices aren’t dropping, thanks in part to a lack of gasoline reserves,” explained AAA Northern California spokesperson Matt Skryja. “This lack of gasoline supply is being attributed to autumn maintenance at oil refineries across the country, which has cut down on how much gas they are producing.”
A recent report from the Department of Energy showed that U.S. crude oil stockpiles jumped nearly two million barrels to 368.2 million – their highest levels since May 15, 2009.
Normally, this might lead to a drop in prices. However, a larger-than-normal draw of 2.7 million barrels for gasoline stockpiles overrode those builds. Usually a drawdown in gas stockpiles would be seen as a positive economic indicator.
However, this time, the drawdown is being partly attributed to U.S. refineries not making as much gasoline as they normally would, because they are performing autumn maintenance. As the maintenance period wraps up, these refineries are expected to come back online over the coming weeks, which will increase the supply of refined product in the market.
The least expensive average price in Northern California can be found in Chico, Marysville and Tracy where regular is $3.10.
Of all the metro areas in Northern California where gas prices are tracked by AAA, Eureka’s average price of $3.33 is the highest. It’s also the highest price reported by AAA in the lower 48 states.
The least expensive gasoline in the country is found in Pine Bluff, Arkansas, where the average price of gas is $2.61.
Wailuku, Hawaii, holds the dubious crown for the highest average price in the nation, at $3.92 per gallon.
- Details
- Written by: Editor
Receipts for the month were $232.3 million, or 4.6 percent, above the recently enacted state budget estimates.
“The record 100 day budget stalemate pushed us past the point of having enough cash on hand to pay more than $8 billion in outstanding bills that came due when the budget was signed,” said Controller Chiang.
“Thankfully, the state received the proceeds from an interim cash flow borrowing that allowed us to start paying the $5.5 billion in payments delayed by the budget for tax refunds, community colleges and school districts,” Chiang added.
Corporate taxes were up $26.8 million (8.8 percent), personal income taxes came in $63.8 million above (1.8 percent) estimates, and Sales and use tax revenues were $108.7 million above (13.1 percent) estimates.
Expenditures for the fiscal year were $786 million more than budget act estimates. However, the budget assumed that billions of payments would be deferred from October to November until the state could obtain an external cash flow borrowing.
The state obtained the proceeds of an interim cash flow borrowing on Oct. 28, which allowed the controller to make payments in October, and the variance will be offset in the future.
The state’s $17.5 billion cash deficit is being covered by $10.8 billion of internal borrowing and $6.7 billion in external borrowing.
October 2010's financial statement and the summary analysis can be found on the controller's Web site at www.sco.ca.gov.
- Details
- Written by: Editor
How to resolve AdBlock issue?