‘A Lot Of Upward Pressure’: Here’s Why Gas Prices Are Soaring Again

Ben ZeisloftJanuary 25, 2023

Prices Pumps are available at the pumps rise The country is experiencing rising temperatures and increased demand.

The national average gas price is currently $3.52/gallon according to data The Energy Information Administration reported a rapid rise in gallon prices from $3.33 earlier this month to $3.42 last year. AAA stated in an analysis The rising costs are due to the cooling of the oil market and the effects of temperature changes.

“The recent rising temperatures led to rising pump prices,” Andrew Gross, AAA spokesperson, commented. “And with the cost of oil hitting $80 a barrel, there is a lot of upward pressure on gas prices at the moment.”

West Texas Intermediate was the American benchmark crude oil price at $73.00 per barrel at the beginning of March. On Wednesday, it surpassed $80.00 per barrel. Brent Crude (the European benchmark) increased from $77.00 a barrel to more that $86.00 a barrel in the same time period.

“Crude prices rose at the end of last week due to increased market optimism that crude demand may be more robust than expected this year,” The AAA report stated. “In particular, the market believes that the re-opening of China’s economy, despite high coronavirus infection rates, will help to bolster global crude demand, while supporting elevated prices. For this week, crude prices could continue to climb if ongoing market optimism persists.”

The nation’s most expensive markets for gas prices are currently Hawaii and California, where residents are contending with prices of $4.94 per gallon and $4.44 per gallon, respectively. Washington, Nevada. Alaska. Oregon, Pennsylvania, and Pennsylvania are all among the most expensive markets. Colorado and Delaware are the states with the fastest increase in gas prices over a week, with $0.31 versus $0.28, respectively.

The current national average, at $3.52 per gallons, represents an increase of 48% since the inception of the Biden Administration. Karine Jean-Pierre (White House Press Secretary) explains that the national average of $3.52 per gallon is still a 48% increase since the beginning of the Biden administration. claimed Monday “House Republicans are using their narrow majority to force the American people to pay higher gas prices, just as big oil companies are amassing record profits.”

White House officials also participated contended The President Joe Biden policies are responsible for recent drops in gas prices that have been below record highs of $5.00/gallon. “Every month, the typical two-driver family saves about $120 at the pump compared to where we were in mid-June,” Jean-Pierre stated this in October. “Every day, Americans save about $420 million at the pump compared to mid-June.”

GasBuddy, a fuel analytics company, recently launched marked Average gas prices for 2022 at $3.96 per gallons, which is far higher than the $3.02 per gallons average charted 2021 and the $2.17/gallons average charted 2020. GasBuddy still shows gas prices at $3.96 per gallon for 2022. This is far higher than the $2.17 per gallon average charted in 2020 and the $3.02 per gallon average charted in 2021. forecasts After approaching $4.00 per gallon during the summer, prices will fall to $3.49 per gallon nationally in 2023. However, this reading would still be among the highest for gas prices in over a decade.

Over the past two years, inflationary pressures have increased due to energy price trends. A survey found that 55% of Americans believe that rising prices are causing hardships for their families. survey Gallup conducted a November poll and found that 13% of respondents believe that rising prices are causing severe hardships.