The price of a gallon of unleaded gasoline shot up about 18 cents a gallon Tuesday at many convenience stores in Isabella and Clare counties, but remained right where it was in Gratiot and Midland counties.
Retailers appeared to be following the lead of regional price leader Speedway in the markets. With futures prices and wholesale prices rising, the new, higher price probably was close to many retailers’ breakeven point.
Speedway launched what appeared to be a market-specific price move Tuesday morning, moving its price for a gallon of unleaded regular gasoline $3.859 at 224 of its 290 Michigan stations. Prices at Speedway stations in Clare and Mt. Pleasant moved, but did not move in Alma or Midland.
The price at the two Speedway outlets in Alma, remained at $3.589, In Midland, the six stores stayed at $3.599.
Speedway’s competitors appeared to take their cue. In Mt. Pleasant, Meijer, Coyne Oil, Blodgett Oil and Valley Pantry’s Next Door outlets all moved their prices to match the Speedway price by mid-afternoon.
But in Alma and Midland, nothing changed.
The day began with countywide average prices, calculated from volunteer price spotter reporters submitted to MichiganGasPrices.com, ranging from $3.63 in Gratiot County to $3.73 in Montcalm County. The highest reported price at day’s start was $3.73 at the Admiral station in Edmore.
The countywide average price actually fell during the day in Montcalm County to $3.61. There’s no Speedway outlet there; aggressive discounters such as Admiral and Wesco appear to influence the market.
Speedway held its prices steady in markets such as Midland, Saginaw, Grand Rapids, Lansing and Kalamazoo –all areas that witnessed recent gasoline price wars, or where Speedway stations were close to competitors known to be aggressive in pricing,
Most Speedway stations in Oakland County, for example, saw the price set at $3.859 peg, except in Lake Orion, where a recent price war recently settled down. The price didn’t move in Lake Orion. Continued...
