And it’s going to get worse: Fuel prices are expected to see a big spike in the next few weeks, followed by more increases all the way to summer.
How does the weather affect the price of gas?
Weather conditions, such as hurricanes, can also affect gas prices in the late summer to fall months. Unlike in the spring, the change to winter-blend fuel is not required. However, because winter-blend fuel costs less, retailers often sell the fuel blend to remain price competitive.
Why is gasoline more expensive in the summer?
In addition, natural disasters, like hurricanes, can increase prices by disrupting transport routes and damaging refineries and other infrastructure. But did you know that the gasoline sold during the summer is actually different — and more expensive to produce — than that sold in the winter?
When do gas stations start selling Summer fuel?
Gas stations start selling summer-grade fuel, around Memorial Day weekend. This marks the beginning of the summer travel season. Unfortunately for drivers, gas prices often go up during the summer, starting around Memorial Day [Source: EPA ].
What happens when you buy a call option?
When you buy a call, you pay the option premium in exchange for the right to buy shares at a fixed price (strike price) on or before a certain date (expiration date).
What’s the breakeven price for a call option?
While buying the stock will require an investment of $5,000, you can control an equal number of shares for just $300 by buying a call option. Also note that the breakeven price on the stock trade is $50 per share, while the breakeven price on the option trade is $53 per share (not factoring in commissions or fees).
When to buy a call on a stock?
Buying calls and then selling or exercising them for a profit can be an excellent way to increase your portfolio’s performance. Investors often buy calls when they are bullish on a stock or other security because it affords them leverage.
