More daily records are likely over the next few weeks. The national average could increase to $3.75 per gallon by Labor Day, said Tom Kloza, chief oil analyst at Oil Price Information Service. By comparison, gas prices stayed below $3.70 in late August and early September in both 2008 and 2011.
Retail gasoline prices have gone up about 39 cents per gallon, or 12 percent, since hitting a low of $3.326 on July 2, according to AAA, OPIS and Wright Express. Kloza estimates that U.S. drivers are paying $149 million more each day for gas than in early July. That isn’t what the sluggish economy needs, since any extra money that goes to fill gas tanks doesn’t get spent at movie theaters or restaurants.
I commute a longish distance every day to work – and I can tell you that these prices are brutal. Not that you need me to tell you that. I saw the other day that 0bama is floating the scam of releasing oil from the strategic reserve again. Had he given a green light to the Keystone XL pipeline prices would already be down – and likely falling. Instead we get record prices and stunts that won’t help.
Hype and Chains strikes again.