Friday, August 12, 2022

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US: Average price for gallon of gasoline exceeds $5 for first time

United States: The nationwide average price for a gallon of gasoline has exceeded $5 for the first time ever.

Auto club AAA mentioned that the average price on Saturday was $5.00. Motorists in some parts of the nation, especially California, are paying far above that.

The national average price has jumped 19 cents in just the last week, and it is up to $1.93 from this time in the previous year.

Moreover, there are several reasons for the surge in gasoline prices.

The people from America drive more starting about Memorial Day, so demand is up. Global oil prices are rising, compounded by sanctions against Russia, a leading oil producer, because of its war against Ukraine. And there are limits on refining capacity in the United States due to some refineries shut down during the pandemic.

Add it all up, as well as the cost of filling up, is draining money from Americans, who are facing the highest inflation rate in 40 years.
Along with this, California has the highest average price, at $6.43, according to AAA. The lowest average is Mississippi, at $4.52.

Furthermore, while this is the first time breaking the $5 barrier, it’s still not a record when inflation is taken into account. Gas peaked at $4.11 a gallon in July 2008, which would be equal to about $5.40 a gallon today.

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