"I agree with comments that retailers will not be lowering their prices anytime soon.....they paid for pellets at “x”, and won’t drop their price unless forced to, probably at season’s end when they have to clear them out."
The big stores like Lowes/HD will start first, because their sales model is based on moving inventory. If you're not moving it, then it's actually costing you money. So after a period of time, they'll flush those pellets out of the system because they could NOW be buying pellets at maybe $220, and selling those for $250 and making money. While the current pellets are sitting there, they're not making money. So I think that eventually, they'll "blink" and move the stock.
On the other hand...one of the "feel good" reasons to burn pellets is supporting your local economy, right?
Whooooooooooooooooooooooops. I was moving a few bags o' heat up from my pile yesterday. Eagle pellets, which I purchased from a garden center in OXford, Ma.
Are they from Mass?...No.
Are they from New Hampshire?...No.
Are they even from New England??? NO.
Are they at least from USA???...NOOO.
Must be Atlantic Canada then, right? NOOOOOOOOOOO.
My pellets are from British Columbia. That's right...the other side of the freakin' continent. About the only two places further away are Alaska and the Yukon Territory.
So not only is Canada the biggest source of foreign oil for the US...they're also importing pellets to us.
So my question is this...(inserting tongue firmly in cheek)...
For you "greenies" out there, if I'm burning pellets to decrease our dependance on "foreign" oil, but I'm buying pellets from the same country that we import most of our oil from, does that still count?
Too funny.
Jim