Prices at the pump spike overnight in U.S.

Overnight gas price hike shown at a Chicago area BP-Amoco station (background). The Shell station (foreground) has not yet posted the whopping 12 cent price hike.

All this week, prices at the pump have been reaching record levels across the United States. Since yesterday, the price for a gallon of gasoline increased by as much as fifteen cents in some places. Large cities in California, such as San Francisco and Los Angeles, have reported gas prices that top $3.00 a gallon for regular grade, twenty cents higher than the state's average of $2.80. Chicago is reporting gas prices beyond $2.80. These price hikes are a direct reflection of the record price of crude oil at $67 per barrel and the fact that 12 U.S. refineries have reported issues that have affected output.

These price increases are concerning some who worry that those with considerable financial hardships will endure more of a burden. A poll was conducted for The Associated Press and America Online News about whether or not these gas prices will cause problems with people's personal finances and the poll found that 64 percent say gas prices will cause money problems for them in the next six months, while 35 percent did not think so.

According to a AAA Texas motor club spokesman, additional price increases will more than likely continue into the weekend.

Pay-by-Plastic pumps up gas prices in U.S.

Hopewell, Virginia – “People are not paying with cash anymore,” Alex Demir stressed when asked about rising gas prices. Increasingly, they opt to pay with plastic. The payment method involves no transaction fee, is safer than cash if lost or stolen, and is more convenient. The plastic Debit and Credit Cards also mean people, if they choose to, can pay at the pump and skip making the trip inside the station. No wonder its use is on the rise.

Demir is the owner-operator of the Shell gas station that changed over on Thursday from what used to be a Texaco. He expects pump prices to hit $2.50 a gallon before levelling and the sticker shock wears off.

Demir estimates he passes along in the form of higher gas prices a nickel per gallon due to the surcharge he incurs from processing electronic purchases. Each time a buyer uses plastic to make a payment, he submits the receipt to a bank to process for having the money credited into his account. The bank keeps 3% of the total amount of his transactions as a processing surcharge, or fee.

When the use of plastic was first gaining acceptance in the gas pumping business, people who used plastic paid a higher price, about 3 cents a gallon, when at the time gas cost about a dollar a gallon. Then advertising campaigns offering “Credit same as Cash” started, and changed the business standard to where now all stations charge the same, regardless of cash or plastic payment.

“The banks are making a lot of money on this,” Demir says. Now that the price of gas has more than doubled, the fees banks collect on processing these plastic transactions has more than doubled too. The entire transaction banks use to process these payments is electronic, involving hardly any labor at all. But the processing fee remains unchanged, which means a fat paycheck for banks.

Now maybe he and other gas stations will go back to offering a discount for cash. Processing plastic transactions is a variable cost to Demir over which he has no control when his pump prices are 'Credit same as Cash". The use of plastic directly affects his profit margin by the 3% processing fee.

When asked about high gas prices from suppliers, he dismissed the notion with a wave of his hand. “They control everything,” he said.

US: Presidential candidate Obama speaks in Berlin (Germany)

United States Presidential hopeful Barack Obama, spoke to over 200,000 last Thursday in Berlin, Germany at Tiergarten Park. His speech was focused on building a stronger connection with Germany and Europe. Obama also called for German troops to be deployed to Afghanistan, and for greater German participation in international crises.

Barack Obama while giving speech in Berlin

The speech was received very well in Germany and back in the United States. The German newspaper Bild stated that "unlike George W. Bush, [Obama] wants to do this in cooperation with others, especially Europe."

The National Review's Jim Geraghty commended Obama on pushing Germany for more help in Afghanistan: "If Barack Obama can convince the Germans to contribute more to the mission in Afghanistan, God bless him, I mean that." Germany's own Der Tagesspiegel commented that the speech "was the signal of a new era for a new generation on both sides of the Atlantic."

The McCain campaign said that the speech was "eloquent praise for this country." However McCain spokesman Tucker Bounds also said that "while Barack Obama took a premature victory lap today in the heart of Berlin, proclaiming himself a 'citizen of the world,' John McCain continued to make his case to the American citizens who will decide this election."

Barack Obama arrived in Berlin on July 24. His stop in Berlin was part of his Middle East/European tour that he has conducted to shore up his foreign relations record. Friday, Obama continued on to Paris, France.

U.S. House Republicans continue to speak after lights turn off

Minutes after the House adjourned, John Shadegg (R-AZ) began typing in random access codes to the House speaker system until he found one that worked. He then began talking about the urgent need for a new energy policy. The microphones were turned off again, but Shadegg called other Republicans onto the floor to initiate what C-SPAN called a "post-adjournment session." Some representatives were already going home when they received notice of the "session" and returned to the floor to speak about an offshore drilling bill which Nancy Pelosi (D-CA) had blocked from the schedule. There was no Speaker of the House or parliamentary procedure for the "session"; Republican speakers were cheered on and Democrats were booed down, and Devin Nunes (R-CA) mocked the Democratic energy plan by parading an image of a Volkswagen Beetle with a sail on the top around the chambers. Republicans sent pages back to the House office buildings to look for a megaphone.

Democratic leaders expelled journalists from the Hall of the House, first from the Speaker's Lobby, then from the third floor press gallery in order to minimize coverage of the political theater. In response, Republican representatives walked into the quickly filling visitors' galleries, shaking hands and talking with tourists and interns. Democrats twice turned off the lights, eliciting cheers. The sound system and official cameras were also shut off early in the afternoon.

At 4:29PM Wikinews correspondent Shii arrived on the House floor but quickly discovered that no cameras were allowed inside the visitors' galleries, and the galleries were being closed by the Capitol Police. The scene was orderly but noisy, as scores of visitors cheered and applauded the Republicans before being escorted out of the galleries by the police. The only people remaining on the floor at that point were the Republicans, who left the room to speak to reporters, and the visitors and staff they had invited onto the floor as guests.

John Culberson (R-TX) circumvented the ban on cameras inside the House by using his Blackberry to send Twitter messages to his microblog and recording brief snippets of video with his digital camera. (One Twitter user noted that this was a violation of House communications rules.) At a press conference outside the House floor, Culberson showed off his Blackberry and camera, accompanied by brief, improvised speeches by other House Republicans.

"Nancy Pelosi, we want a vote!" demanded Wally Herger (R-CA). The Republicans then returned to the floor, even though all the galleries were closed.