AAA says crude oil is up beyond $70 per barrel.
Towson, Md (KM). The declining gasoline prices that motorists have enjoyed since the Memorial Day Weekend could be coming to an end. That’s according to AAA Mid-Atlantic. “We’re seeing prices now on the up tick,”says spokeswoman Christine Delise. “Maryland’s average has gone up a penny, it seems like, the past couple of days. The national average has gone up a penny. We’re seeing many areas across the state increasing as well.”
AAA says the average national price is $2.86 per gallon, an increase of one-cent from last week. In Maryland, the average is $2.81 per gallon, also a one-penny increase. The average in Frederick is similar to the state’s which is $2.81 per gallon, a one-cent increase from last week, according to the auto club.
“We’re seeing crude oil back above $70 per barrel now. That’s been trading that way for over a week now,” says Delise. :”And this all despite OPEC increasing production. It just seems it won’t be enough to keep up with the global supply of oil.” On Friday, June 29th, the price of West Texas Intermediate settled at $74.15 per barrel.
And even supplies have taken a hit, Delise says. “We’re seeing the latest Energy Information Administration report showing the largest one-week reduction in crude inventories, and we don’t know yet if that’s a trend in the making,” she says. If it is, Delise says it could lead to higher prices at the pump.
Along with all of this, geopolitical concerns are playing a role in the price of gasoline. “We have market observers watching the crude production levels in Libya and Venezuela, amid economic woes in Venezuela. We’re still waiting on final details on the Iran sanctions,” says Delise.
If you’re planning to take a road trip this summer, AAA suggests you go on line to Fuel Price Finder at AAA.com/fuelfinder to locate the lowest prices in your community. Before leaving, you can go to AAA Gas Cost Calculator at GasPrices.AAA.com/AAA-gas-cost-calculator to help with travel budget expenses. And to find the best fuel prices while on the road, go to AAA.com/mobile.
The auto club also says make sure your car is properly maintained, and be sure the tires are inflated, and you;’re not driving around with a large amount of heavy items in your vehicle. All three could cut into your vehicle’s fuel efficiency,, says Delise.
By Kevin McManus