No Connection Between $5.00 Gasoline and the Keystone XL -- Obama Re-Election

Link here.

Gasoline prices this spring are expected to increase by 60 cents/gallon. This is still well below $5.00/gallon, but in some metropolitan areas on the East Coast, it won't be that far away.

Whatever the price of gasoline is this spring, it will have nothing to do with the president killing the Keystone XL, but if his detractors don't demagogue this issue, I would be quite surprised.

But one can safely say that the price of gasoline in this country is affected greatly by regulations and slow-rolling the industry on drilling for oil wherever possible. And, of course, the EPA sickle continues to hang over the fracking industry.

Fortunately for the US consumer, a Saudi prince says "Saudi won't let oil go above $100/bbl." I see oil is up about $1.40 today, to $98. And as far as I can tell, the US dollar is stronger, and the Mideast is relatively quiet.

In my simple mind, we are just another headline away from $105 oil. Or $75 oil, which the pundits on CNBC say is a fair price based on market supply and demand. So, we'll see.