notaredditor_93 t1_jdz306q wrote on March 28, 2023 at 6:22 AM

Just a pre post covid spike!

n1ck90z OP t1_jdz52cs wrote on March 28, 2023 at 6:50 AM

I know, but prices did not come down so someone is taking the profit

TheSilverOak t1_jdz6w44 wrote on March 28, 2023 at 7:15 AM

>prices did not come down

Are we looking at the same graph?

It's normal for long-term contracts to trail spot prices. This is common in a wide range of markets

n1ck90z OP t1_jdz7qli wrote on March 28, 2023 at 7:28 AM

I mean the imported goods prices did not come down for the consumer

SateliteDicPic t1_jdzgis7 wrote on March 28, 2023 at 9:38 AM

Prices for the consumer will not fall unless the economy enters a deflationary phase which economists tend to view as negative.

Consider an example. Back in or after the GFC oil spiked higher and airlines added fees that were implemented so they could “survive.” All those fees are still being charged today (baggage fees, etc) to my knowledge. Once an industry manages to condition consumers to certain fees, price points, etc they will not roll those changes back until forced to by market conditions or regulation.