September 13, 2023 |
Photo – Fuel pump at gas station – Bigfoot99 file photo
Get ready to pay more for more pain at the pump as winter weather approaches. The pace of price jumps at the pump over the last two months are the worst since June of 2022 when unleaded peaked around $5.06 a gallon.
Tight supply has driven the price higher in most places across the country, according to AAA spokesperson Devin Gladden.
The price is likely to go higher because of domestic energy policy at the Biden White House.
Part of the economic formula impacting what we pay at the pump is the price of raw crude oil. The latest data from OilPrice.com shows a steady pressure for higher prices. Crude oil prices reached over $80 a barrel in August, up from about $70 in July. As of September 11, the price of crude oil was 86.73, according to the analyst.
At the same time, hot temperatures and fear of hurricanes across the south forced refineries in the region to cut back production, a move that put upward pressure on supply and increased pricing.
The higher price at the pump results in many consumers cutting back on other purchases.
Other than April of 2020 when the coronavirus fear peaked, spending on necessities such as groceries, medicine, and tolls fell to its lowest last summer according to Visa’s records going back to 2014.
Visa’s data shows higher gas prices have added to recent headaches for household budgets and echoes a consumer confidence survey from August that showed high gas prices were making people feel worse about their own finances and the economy.
The average price of a gallon of gas nationwide jumped to $3.80 on Aug. 2 from $3.56 on July 16, according to data from AAA, and hovered above $3.80 ever since.
In Wyoming, the cheapest place to buy gasoline this week is Casper where several stations are charging $3.52 a gallon. A Sinclair station in Newcastle was showing $3.39 at the pump yesterday. The price in Rawlins and Saratoga here in Carbo County is running much higher, from $3.80 to $3.99 and more a gallon.