$4.00 per gallon hype

What is the topic of the week in the news? Gas prices reaching 4 bucks per gallon. Even though most of us save on fuel by riding our bikes to work, we are still affected by the high gas prices in stuff we buy, like groceries. But here’s something that the media is not saying:

Though the weak U.S. dollar is encouraging traders to buy oil and other commodities as a hedge, ample oil supplies and weak economic growth presage a price correction in coming weeks.

and here’s something that the oil companies really don’t want people to know:

The cartel’s oil ministers know that the sluggish economies in the U.S., Canada and other nations will slice motor fuel demand. They fret that $100-plus oil prices in perpetuity will give even greater vigor to the development of ethanol- and electric-powered cars and trucks, which would permanently reduce demand for oil.

Source: Klipinger.com

Although Bike Commuters may not get all the ‘glory’ of them fancy electric cars, we can take satisfaction that we ARE doing something to reduce the demand for oil.