Why are gas prices so high and will they come down soon?

With the official get started of the summer season travel season just weeks away, U.S. gas prices hit an all-time large on Tuesday with a gallon of regular marketing for an normal of $4.37 for every gallon, up 25 cents from just two weeks in the past and $1.40 far more than the same time very last yr.

Utah’s ordinary selling price of gasoline on Tuesday was nicely above the countrywide amount, coming in at $4.49 per gallon, just a few cents down below its own historic higher of $4.51 set previous week, according to AAA.

What is powering history gas expenditures? AAA reports the boosts are currently being pushed generally by the high value of crude oil, which was hovering near $100 a barrel previous 7 days and is now closing in on $110.

“With the value of oil accounting for far more than 50 % of the pump price tag, far more pricey oil indicates more costly gasoline,” reported Andrew Gross, AAA spokesperson, in a assertion.

A barrel of U.S. benchmark crude was promoting for all over $100 a barrel Tuesday, a selling price tag that has been climbing in the course of the year. The superior cost of oil is mostly simply because numerous prospective buyers are refusing to invest in Russian oil since of the nation’s invasion of Ukraine. The European Union is thinking about an embargo on oil from Russia, which is a significant supplier. All those pressures depart considerably less oil to go all over.

In accordance to new details from the Strength Facts Administration, total domestic gasoline stocks lowered by 2.2 million barrels to 228.6 million barrels very last week. Even so, gasoline demand greater somewhat from 8.74 million barrels for each day to 8.86 million barrels for every day. Growing gas desire and increasing oil costs have pushed pump price ranges bigger.

What President Joe Biden had to say: President Joe Biden released oil from the Strategic Petroleum Reserve in November and March, hoping to reduce charges. That assisted quickly, but selling prices shot back up and stayed stubbornly higher.

Biden in remarks Tuesday stressed that combating inflation is his major priority, a sign of the two the economic troubles brought on by prices growing at the fastest pace in 4 many years and the political drag for Democrats that has resulted.

“I believe that inflation is our prime financial problem proper now,” Biden reported.

He reported that switching absent from fossil fuels and better electricity efficiency will in the end secure Us citizens from larger gasoline and heating and cooling charges.

Charles Barnes fuels up at Shoppers Categorical in Salt Lake Town on Tuesday, May 10, 2022. Gas prices have hit a new file significant.

Rate hikes possible to continue: As the war Russia is waging on Ukraine continues and demand from customers for gasoline proceeds to expand, professionals are not expecting relief at the pump any time soon.

“We will see this pattern continue on in all probability in the course of summer months, generally because of desire,” explained Gross. “The weather’s getting hotter. The days are finding nicer. Individuals are hitting the street.”

Here’s a glimpse at common rates for every gallon of typical for choose Utah metropolitan parts as documented by AAA on Tuesday: