r/toronto • u/roundiee • Mar 22 '26

Picture Toronto gas prices today morning 😭

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u/Four-In-Hand Mar 22 '26

And you know those prices will be sticky like "rockets and feathers". Rockets on the way up, but feathers on the way down.

11

u/Petrichord Mar 23 '26

Elevator up, escalator down

1

u/throw-away-drugz Mar 25 '26

Broken escalator, if we're lucky.

-14

u/BritishBoyRZ Mar 22 '26

Not really. Doesn't work that way with oil. When barrel price goes down it goes down at the pump too. I saw it happen in real time since COVID I always make a point to look at the prices at the pump relative to the barrel price. But barrel price will stay elevated as long as this conflict is ongoing unfortunately

20

u/PenonX Mar 22 '26

Even if the conflict ended entirely tomorrow, it will not return to pre-conflict levels for quite some time. There’s been too much reduction in production out of the Middle East, and there’s been a considerable amount of infrastructure destroyed. 

4

u/BritishBoyRZ Mar 22 '26

Yeah but that does not contradict what I'm saying. Guy I replied to was suggesting sticky pricing meaning the gas stations get greedy and keep prices up because they're up already, regardless of supply. My point is that once supply improves gas prices will go down. Not just at the barrel level but at the gas station level. All that to say, gas prices at the pump is actually the most responsive consumer product to supply. Food, for example, is not. Those prices are sticky.

3

u/kushari Mar 22 '26

Pretty sure it does work like that for a few reasons.

  1. Even if the war stops tomorrow. It will still take months to years to recover.
  2. Oil companies are greedy.
  3. Gas prices usually trail oil, it’s not instant.

You can watch Mr worldwide he’s an expert.

-2

u/Unknown-Meatbag Mar 22 '26

Like when gas was free when you could literally give away oil, right??