Shouldn't this fuel filter be FULL of gas...and not just damp?

[rnch]

Here's a pic of an inline fuel filter I installed in my '65 Galaxie, 352 engine. It is located under the hood, below the power steering pump.

Should it be full-to-the-brim with gas when the engine is running, and not just-barely-damp as it is now? If you look closely, you can see the gas level on the lower edge of the clear filter.

Or is this about what should be expected inside the filter?