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Cheap gas means Ford is selling more trucks...

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Old 02-06-2017, 10:52 PM
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Cheap gas means Ford is selling more trucks...

Car sales took a dive in January, but F-Series sales were up 12%. It never made sense to me that people would make such a huge purchase based on a temporary dip, but I guess some folks don't really think things through. Ha ha.
 
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Old 02-07-2017, 12:30 AM
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It's that they really want a truck and use cheap gas as a justification. They will all get beat up on trades when gas hits $3 again, as they panic buy small cars.
 
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Old 02-07-2017, 03:06 AM
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Wouldn't call it a temporary dip, it's been down for two years now, but it'll be shooting straight up in the next few months, as oil companies shut down production further to artificially inflate prices as they did in the middle East. Hopefully it won't go north of$3 again, that was just stood expensive, though it probably will, at least diesel will be for sure.
 
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Old 02-07-2017, 04:59 AM
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I've been using an F-150 4x4 as a DD since 1985. The more I think about that the dumber and dumber I feel. My truck has been amazing and I love it but I'll never spend the big bucks on another. My needs and my whole attitude on vehicles in general has changed.
 
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Old 02-07-2017, 05:59 AM
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sure. and thats why I have kept my 4 cylinder car. I expect gas to go up. when, I dont know...... but it will eventually..........
 
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Old 02-07-2017, 06:41 AM
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Of course gas prices influence consumer choices. If my $150/month gas budget doubles, I have less to spend on other things. Right now my F150 costs only slightly more to run at $2.13/gallon than my Prius did at $4.19/gallon. Everyone should keep market volatility in mind when they're planning a purchase, but to think gas prices don't, or shouldn't, play a role is silly.

Right now small cars aren't profitable for manufacturers to sell. Everyone is buying SUVs and trucks, which forces them to deeply discount smaller cars, which is causing manufacturers to realign things. Some are placing large bets that cheaper fuel is here to stay:

Ford to Add Four New SUVs by 2020 - Is One of Them the Bronco?

If prices rise rapidly, this will prove disastrous. Consumers aren't the only ones making decisions on the price of fuel.
 
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Old 02-07-2017, 06:54 AM
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I'd still own a pickup, regardless of prices. Always have since my first in 1972.
 
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Old 02-07-2017, 07:39 AM
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I always thought it was a little ridiculous to base what kind of vehicle to buy on current gas prices. Everyone knows they have to potential to fluctuate rapidly in a year, and if you buy a vehicle on one extreme end of the fuel efficiency spectrum, you'll regret it when gas prices change.

Because trucks are now getting car-like fuel efficiency, paying at the pump isn't as big a factor as it was 10 years ago. Hopefully fuel economy technology can keep up with inflation...
 
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Old 02-07-2017, 07:46 AM
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Originally Posted by Christian's1988Ford
Because trucks are now getting car-like fuel efficiency, paying at the pump isn't as big a factor as it was 10 years ago. Hopefully fuel economy technology can keep up with inflation...
Beat me to it. It does help these trucks get better economy than 10+ years ago. Can't wait to see where they'll be in 10 more years. If the Ranger has decent capabilities, it'll be hard to choose between that and an F150 for some and the fuel economy at least better.
 
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Old 02-07-2017, 09:02 AM
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We're getting a 2017/2018 Focus this fall to add to the fleet. My wife loves her Expy and it's been rock solid except for two fuel pumps which seem to be all fixed now. At only 112K on a 2004 model truck, it doesn't make sense to trade or sell because it's virtually worthless to everyone but me. Anyway, the little Focus will serve as a nice runabout and take some miles off my truck which has taken many miles off the Expy.
 
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Old 02-07-2017, 12:07 PM
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Originally Posted by Christian's1988Ford

Because trucks are now getting car-like fuel efficiency, paying at the pump isn't as big a factor as it was 10 years ago. Hopefully fuel economy technology can keep up with inflation...
Eeeehhhh....I dont' think so.


My 10-year-old midsize Kia Optima averages about 30 MPG. My '15 EcoBoost F150 averages about 16-20 under the same operating conditions. My F150 may do a little better than older trucks, but it's not even close. My '13 Prius I had previously averaged about 49 MPG.

 
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Old 02-07-2017, 12:31 PM
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Originally Posted by JKBrad
It's that they really want a truck and use cheap gas as a justification. They will all get beat up on trades when gas hits $3 again, as they panic buy small cars.
Yeah, that's probably more like it.
 
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Old 02-08-2017, 07:18 AM
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But then if gas prices go up and truck and SUV sales fall.....then you could get a better deal on one. Im expecting gas to go up in the next year or so. its been too low too long. and the political landscape can affect gas prices too....
 
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Old 02-08-2017, 02:54 PM
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I have never let gas prices control what I buy, and I have always had a truck for a daily driver. Sometimes it has been a Ranger but mostly full size.
 
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Old 02-08-2017, 03:31 PM
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Originally Posted by TJReams
I have never let gas prices control what I buy, and I have always had a truck for a daily driver. Sometimes it has been a Ranger but mostly full size.
As far as oil and gas market volatility, its next to impossible to predict. And no, oil and gas producers don't regulate the market, at least not intentionally to inflate / deflate prices. They'll slow production if the situation warrants, right now, with the regulatory environment they're working in, in the U.S. anyway, they're losing money. The cost for a well from bidding on the lease, to exploration to completion and then production is astronomical. When oil prices rise so do operating costs, it takes around ~$60.00 per bbl to be just above the break even point...
Anyway, I never, in the past anyway, purchase a vehicle, especially a truck, based on oil prices. Historically Oil "booms" usually ebb and flow on a 10 year cycle, not so much anymore, politics influence prices as much as every other dynamic these days, Who can predict that?
 
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