Will Gas Prices Affect Mustang Value?

[IronG]

which really puzzles me. I mean a 20% increase breaks your personal financials? I could understand if we had 300% increase ($15/gal) gas causing people to run for the exits...

LOL at 300% inflation.....the earth would be a smoldering cinder....something globally catastrophic would need to occur for inflation to get that high. In fact, we would all be goners probably when it approached 50%.

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[FreePenguin]

fun, I paid 12-15 a gallon in 2010 cant remember exact amount in Dutch Harbor Unalaska. granted, its a tiny ass island, and everything in 1 spot. you dont need gas there, 1 gallon goes a long way. no idea what the prices are now. but yeah, it was balls high.

Everything is right there, but if you was bored, you could drive around the island at like 15mph and it goes up and down the hills. pretty land.

I spent a thousand dollars on a dinner there for me and my gf, "grand Aleutian" hotel. the food came right off the boat (fresh seafood) my god it was amazing. nomnomnom you can see the grand alueitan hotel in left middle of pic, the red roof is the hotel. I met the deadliest catch crew back then and everything, and one of the guys tried to pick me up not joking.

 

[shogun32]

fun, I paid 12-15 a gallon in 2010 cant remember exact amount in Dutch Harbor Unalaska. granted,

you were on the Dangerous Catch premier? Was it crab or hookers fisherman's wives

that $10 was mostly transportation cost. Fuel probably got shipped in by 55 gallon drum. Like they air-supply remote outposts in the tundra.

 

[FreePenguin]

you were on the Dangerous Catch premier? Was it crab or hookers fisherman's wives

that $10 was mostly transportation cost. Fuel probably got shipped in by 55 gallon drum. Like they air-supply remote outposts in the tundra.

I was only 19 at the time, and my gf lived on the island, her dad was one of the 4-5 people who ran the generator plant (TWO BIG ASS DIESEL ENGINES), in a large building I think only one ran at once, while other was a backup or when they needed to have one down to repair, it ran the entire islands electricity on diesel.

I stayed at a hotel and the hotel was attached to the bar, I was not young enough to go in, but I wanted food they let me order and wait outside, well the deadliest catch crew just got in, and they was drunk and high, and few of them was outside with me, trying to legit pick me up, calling me cutie boy, trying to grab my ass and shit.

lmao. crazy days. but the island itself is a neat little place. but yeah, agreed the fuel is transportation cost.

 

[paulm1]

LOL at 300% inflation.....the earth would be a smoldering cinder....something globally catastrophic would need to occur for inflation to get that high. In fact, we would all be goners probably when it approached 50%.

the cost of a gallon of gas in italy & germany right now is over $8 US dollars. Halfway to your "smolding cinder" mark.

 

[paulm1]

 

[shogun32]

the cost of a gallon of gas in italy & germany right now is over $8 US dollars. Halfway to your "smolding cinder" mark.

unless I misunderstood, with Italian trucks not moving, it won't matter what the price is, there won't be any...

 

[IronG]

the cost of a gallon of gas in italy & germany right now is over $8 US dollars. Halfway to your "smolding cinder" mark.

That is expensive, but dollar amount does not equal inflation (also what was it back in Jan?). At least in the US, yearly inflation has never been over 18%. I can't imagine how things would be if it were that today no less 50%. 300% is really not achievable in today's world without a global catastrophe . Experts would argue 30% would doom the world. Currently in the US inflation is around 7.5% and will probably get to double digits depending on how events with Ukraine turn out. Take Ukraine away and we probably would have topped out at around 7%.

 

[07S281E]

Regardless of gas prices, V8 manual sports cars are going the way of the dinosaur. Those who want one will have to pay a premium to get someone to part with theirs.

 

[Ogopogo]

I spent a career in the O&G industry. Oil is a global commodity so world price is actually set by supply/demand balances by commodity traders on a global basis. No one 'controls' actual oil prices. It is simply a function of how much do I (as an oil trader) have to pay A, B or C for oil that goes to refinery X, Y or Z. Gasoline prices reflect the cost of that crude plus refinery efficiency and margin, distribution and retail margins PLUS all the taxes that get loaded on... which varies very much depending on government policy (hence the variation seen in the European graph on a country by country basis. From a developed world perspective, much of the USA has some of the lowest tax burden around (states like CA being an exception). Canada is a major exporter of oil but has higher gasoline prices due to government policies and taxes. In my province, we are now paying about C$2/l which approximates just over US$ 6 per US gal.

My new GT Premium convertible should be delivered within the next month. I bought it because I wanted a toy with the sound and presence of the Coyote V8. I wouldn't have bought a Mustang with anything less than the Coyote V8. If I wanted fuel efficiency, there were many other choices I could have considered. I doubt I will put more than 8000 km (5000 miles) on it per year.

My take is with higher gas prices and the transition to EVs, fewer and fewer of these V8 GTs will be ordered and built and they will ultimately be a niche market for the sports car performance enthusiast. Whether they go up or down in price due to demand (or lack of) remains to be seen but I suspect when the new gen Mustang stops producing the Coyote V8 version, what we have will become even more of a niche market and will ultimately hold value as the numbers on the road go down over time. Just like selected '60s classics command a premium, so will some Mustang models.

It doesn't ultimately matter to me. I bought it to play with for an indefinite period of time. I have a Maxda CX-5 Turbo as my daily driver.

 

[sk47]

which really puzzles me. I mean a 20% increase breaks your personal financials? I could understand if we had 300% increase ($15/gal) gas causing people to run for the exits...

Hello; I live in the land where many if not most live paycheck to paycheck. So if a year ago you were paycheck to paycheck and this year some fundamental things have increased in price you have some choices to make.
Some go deep into debt. Shop for payments and/or just add to a credit card. Either way some amount of interest payments added to the cost of day to day living.

Another choice is to find things to cut out in order to keep more desired things. I like the member who decided the wife and kids can do the doing without. Having been married a couple of times before I learned better, I get the joke.

So my take is you can have a 30 K income or a 200K income and the outcome will be similar. Something will have to give in either case. I imagine the 200K income will be easier to work with in order to afford higher food and gas prices. Thing is if you were spending every penny each month then even at 200K inflated prices cause a bind.

I do not see even the higher earners being able to ignore these higher fuel costs. Saw an old friend today. He has traded in his SUV recently for a smaller sedan to get better around town MPG's. .

 

[Bikeman315]

Hello; I live in the land where many if not most live paycheck to paycheck. So if a year ago you were paycheck to paycheck and this year some fundamental things have increased in price you have some choices to make.
Some go deep into debt. Shop for payments and/or just add to a credit card. Either way some amount of interest payments added to the cost of day to day living.

Another choice is to find things to cut out in order to keep more desired things. I like the member who decided the wife and kids can do the doing without. Having been married a couple of times before I learned better, I get the joke.

So my take is you can have a 30 K income or a 200K income and the outcome will be similar. Something will have to give in either case. I imagine the 200K income will be easier to work with in order to afford higher food and gas prices. Thing is if you were spending every penny each month then even at 200K inflated prices cause a bind.

I do not see even the higher earners being able to ignore these higher fuel costs. Saw an old friend today. He has traded in his SUV recently for a smaller sedan to get better around town MPG's. .

Agreed on all points. The more you have usually means the more you spend. Plus let's add those of us on fixed incomes. I'm OK but a lot of fixed income folks are suffering.

 

[Bikeman315]

they will ultimately be a niche market for the sports car performance enthusiast.

We are already a niche market and have been for some time. A few grains of sand in the Sahara to total car production..

I suspect when the new gen Mustang stops producing the Coyote V8 version,

The S650 (2023/4) already has the V8 confirmed (not that they can't change it). It is highly unlikely that the S750 (2030+) will have a V8.

will ultimately hold value as the numbers on the road go down over time.

Your run of the mill GT is a dime a dozen. Foregoing the current insane climate, these cars will continue to depreciate just like their forbearers.

 

[Ogopogo]

The highest appreciating ones will be the rarest: GT500, GT350, Ecoboost HPP Convertible ..hahaha

I would expect some of the lowest volume production GTs, e.g. the GT350 and GT500, will be (and should be) the ones holding their value the most. I just think sales of new V8 models will continue to decrease each year going forward, taken over by performance EVs of various makes and models. That will be the new trend among enthusiasts. Whether that will make the V8 versions more coveted by 2030 and beyond remains to be seen.

That probably goes for the Corvette C8 LT06 as well with its naturally aspirated 670 HP flat plane engine.

 

[Balr14]

The oil embargo in the 70s had a significant impact on sales and manufacture of all types of cars that used a lot of gas. It's hard to say that will happen again, but who knows how long this situation will last. Ultimately, cars from the 60s enjoyed significant increase in value in the last 20 years, that they may not have had if the cars from the 70s and 80s didn't have wimpy engines.

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