Gas prices on the rise again ahead of holiday – Nashville-Davidson, Tennessee

Nashville-Davidson, Tennessee 2021-07-02 13:50:35 –

(NEXSTAR) — US gasoline prices are rising again.

The average US price for a gallon of gasoline rose four cents from last week to $ 3.12 per gallon on Friday, according to the company. AAA..

Today, the national average is about 8 cents higher than it was a month ago and 95 cents higher than this time last year.

AAA expects a record 43.6 million Americans to make a road trip on the weekend of July 4, a popular travel vacation.

Gas prices are not uncommon to rise before vacations, especially during peak summer driving seasons, but are expected to rise further this year.

AAA spokesman Jeanette McGee said:

As the US economy recovers rapidly from a 15-month coronavirus pandemic, fuel demand has risen and prices have risen to levels never seen since 2014. During the hurricane season, prices can rise whenever a storm affects oil drilling and refining. Gulf.

On Friday, Elsa struck the East Caribbean Sea, strengthening herself into the first hurricane of the Atlantic season.

“Unfortunately, motorists need to prepare to dig deeper into the second half of the summer,” said Patrick de Khan, oil analyst at Gasbuddy.

In June, the Energy Information Agency predicted that gasoline would average 2.92 gallons during the summer driving season from April to September, up from $ 2.07 in the same period last year. The EIA predicts that regular gasoline will spend an average of $ 2.77 per gallon throughout the year, and US households will spend $ 570 more on fuel than they did a year ago.

For consumers, rising gasoline prices are one component of the inflation mix encountered as the economy recovers from the pandemic. Rising prices of commodities and materials are also pushing up prices of commodities such as wood, diapers, meat and chicken.

The Federal Reserve expects many of these increases to be temporary. In front of the House Subcommittee last week, Federal Reserve Board Chair Jerome Powell said that one of the factors behind rising inflation was “from past rises in oil prices to consumer energy prices. “Pass-through” was mentioned.

Oil has been rising for the most part, while prices for some commodities have recently reversed. West Texas Intermediate Crude Oil rose $ 1.76 per barrel to $ 75.23 on Thursday, due to an expected decision by OPEC and its allies (known as OPEC +) that could increase crude oil production in August. I did.

The Associated Press contributed to this report.

Gas prices on the rise again ahead of holiday Source link Gas prices on the rise again ahead of holiday

Back to top button