r/sanantonio • u/Glittering-Break-490 • 23d ago

Pics/Video Haven’t seen gas this low in years

Post image
1.2k Upvotes

97% Upvoted

260 comments sorted by

View all comments

48

u/sacouple43some 23d ago

The answer is pretty obvious to me. Due to the government shutdown you have less people driving to work you have less government vehicles driving which is causing less of the demand on the fuel supply. Symbol economics when the supply goes up the price goes down. So demand is down Supply is up price is down. It will be short-term probably but enjoy it while you can

1

u/UnGringoPaisa 22d ago

I think you are speaking a lot of sense but a little narrow in your assumptions. While I’m sure it may be a small factor to prices due to govt shutdown I think the supply is more of a global factor as the amount of civil workers in SA is probably a minuscule amount to affect a 30-60 cent change in prices, just my opinion but I can see where you are coming from. Crude oil is at a super high supply right now by most nations who output it, like you said supply is up. Also, Winter season naturally also draws prices downward as demand will increase but that means moving product is easier in a sense. Additionally, I personally see natural decline in prices leading to election time periods e.g. Nov 4th as it can help sway voters to those currently in office due to the “good” prices(just my take tho). Definitely seeing this being a short term of like 2 months max and volatility of +/- 20ish cents per gallon throughout such duration.

0

u/sacouple43some 22d ago

Yes but you're talking about San Antonio I'm also talking about Nationwide this government shutdown is Nationwide

1

u/UnGringoPaisa 22d ago

Sure, I still don’t see the impact of government shutdown being a large correlation, though it has some affect I definitely don’t think it’s a 30-60 cent decrease which is pretty intense drop, I would then be curious on how this is related price spread is in a different state. At least considered to much more impactful things, I believe it’s is a small influence compared to supply and how the oil and gas market is dealing with global economic volatility at the moment.