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CAMARILLO, Calif. (June 27) - Gas prices surged an average of 8 cents a gallon during a two-week period, tracking the steep climb in the cost of crude oil, according to an industry survey.
With the summer driving season under way, the average retail price for all three grades of gas hit $2.24 a gallon, up from $2.16 on June 10, said Trilby Lundberg, who publishes the semimonthly Lundberg Survey of 7,000 gas stations around the country.
The price was 8 cents from the all-time average high of $2.32 set in April.
"Retailers and refiners lost some of their profit margins," Lundberg said. "The rise in crude oil prices in the two-week period suggests a 15 cent-per-gallon increase in pump prices. That means retailers and refiners will be under pressure to recover that difference, which means we can expect further upward pressure in retail gas prices."
Lundberg also said economic growth is driving increased demand, supporting price increases.
"It is certainly possible that in the next few days, gas prices will exceed that all-time record, but if crude oil prices were to fall $3 or $4 per barrel, gas prices would stabilize and probably fall," Lundberg said.
Last week, crude oil futures settled at a record of just below $60 a barrel, after prices jumped on speculative buying and fears of supply disruptions. Lundberg said pump prices are being supported by demand, which continues to grow.
The jump in gas prices arrested a gradual slide that had been taking place at the pump since April.
According to the survey, self-serve regular averaged $2.21 a gallon, up from $2.13 from the June 10 survey. That's an increase of about 4 percent. Midgrade was pegged at $2.31 nationwide, with premium-grade hitting $2.40.
Among the stations included in the survey, the highest price for unleaded regular was in Honolulu at $2.46 a gallon.
The lowest was in Charleston, S.C., at $2.04 a gallon.
06-27-05 01:28 EDT
With the summer driving season under way, the average retail price for all three grades of gas hit $2.24 a gallon, up from $2.16 on June 10, said Trilby Lundberg, who publishes the semimonthly Lundberg Survey of 7,000 gas stations around the country.
The price was 8 cents from the all-time average high of $2.32 set in April.
"Retailers and refiners lost some of their profit margins," Lundberg said. "The rise in crude oil prices in the two-week period suggests a 15 cent-per-gallon increase in pump prices. That means retailers and refiners will be under pressure to recover that difference, which means we can expect further upward pressure in retail gas prices."
Lundberg also said economic growth is driving increased demand, supporting price increases.
"It is certainly possible that in the next few days, gas prices will exceed that all-time record, but if crude oil prices were to fall $3 or $4 per barrel, gas prices would stabilize and probably fall," Lundberg said.
Last week, crude oil futures settled at a record of just below $60 a barrel, after prices jumped on speculative buying and fears of supply disruptions. Lundberg said pump prices are being supported by demand, which continues to grow.
The jump in gas prices arrested a gradual slide that had been taking place at the pump since April.
According to the survey, self-serve regular averaged $2.21 a gallon, up from $2.13 from the June 10 survey. That's an increase of about 4 percent. Midgrade was pegged at $2.31 nationwide, with premium-grade hitting $2.40.
Among the stations included in the survey, the highest price for unleaded regular was in Honolulu at $2.46 a gallon.
The lowest was in Charleston, S.C., at $2.04 a gallon.
06-27-05 01:28 EDT
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