18.05.15 Summer Gas Prices

May 16, 2018


AAA: Gas prices are up 22% this year, national average now $2.87/gal.

The good news & bad news about what will likely be the most expensive driving season in years.

I feel like this happens EVERY Summer… Why?

U.S. economic growth has boosted demand for oil which means most consumers should be able to afford to pay more at the pump, BUT wildcards in oil-producing areas may mean higher prices ahead.

“Three dollars is like a small fence. You can get through it, you can get over it. But $4 is like the electric fence in Jurassic Park. There’s no getting over that.”

Patrick DeHaan, GasBuddy analyst


  • Seasonality: Federal & state laws require cleaner, costlier gas.
  • Iran: Reimposing sanctions may constrict supply & while we don’t get our oil from Iran, Econ 101 says less global supply = higher prices.
  • Saudi Arabia: World’s largest oil producer signaled it wants oil prices $80-$100/barrel. Oil just toppedA $70/bbl, a level notA seen since 2014 & upA 50% vs. last year.

Feeling Tapped Out?

Higher gas prices are on track to cost Americans an extra $38B this year, erasing about one-third of the direct benefit from Pres. Trump’s tax cuts, Morgan Stanley estimates.

If gas stays at these levels for the year, it’ll cost the average American household $450 extra.


It’s expected to be the most expensive summer driving season in years –A so what can you do to lessen the pain at the pump? Click to learn the best days of week to buy gas, according to a new study from Gas Buddy.

by Jenna Lee,