The Canadian May long weekend approaches.
And we all know what that means:
- an extra day to sleep in
- a family gathering or outing
- inexplicably higher gas prices
That’s right folks – It is a Canadian tradition. As reliable as gravity and daily sunrises, the price of gas goes up and up and up and up. You would almost say that it is predictable. Of course it is not.
Yet you have to wonder – if the price of gas goes up on the weekend because of demand ostensibly signaling the beginning of summer driving season…
Why doesn’t the price of beer go up on the weekend?
Or BBQ sauces?
Or take-out Pizza?
It is all supply and demand right?
Truth is, oil price increases are the result of frantic speculation – futures.
Oil is the number one traded commodity. Picture 100% of the global production and/or extraction of oil from the ground. Ten times that… or hundred times that resource changes hands annually on the stock markets of the World.
It’s liquid gold. And like real Gold, if you had to buy solid Gold several times a week, you would be feeling the same pinch in our beloved free market society.
As for the future? Are we screwed?
Yea. Pretty much.
Have a safe Canadian May long weekend. Drive safely – if you can afford to.
Or stay home with your friends and family.
And order a pizza.