A month ago, the situation with gas prices near me was rosier. The national average price had fallen just below $3.70 following three months of declines from the June peak above $5. And experts including Patrick De Haan, GasBuddy’s head of petroleum analysis, thought it was a possibility that prices would fall below $3 this month, given that gas prices near me often decline in the fall.
But in the last couple weeks, prices have moved in the wrong direction. On Monday, De Haan reported that gas prices near me will likely rise by 10 to 30 cents in many parts of the country due to the increase in oil prices after the OPEC announcement. “Some areas are certainly seeing the jump already,” he said.
Crude oil prices make up about 60% of what a gallon of gas costs. On Monday, oil prices were trading at just under $90 a barrel, according to the West Texas Intermediate measure. Two weeks ago, prices were trading under $80 a barrel.
Despite the upward trend in oil and gas prices near me, Lipow says there’s some positive news for American drivers. The relative strength of the U.S. dollar compared to other currencies is keeping oil prices from being higher, and he expects the federal government to continue to release oil from strategic petroleum reserves in the coming months.