Market Overview

July 4 Gas Price Forecast: Highest Average Since 2014

Share:
July 4 Gas Price Forecast: Highest Average Since 2014
Related USO
A Peek Into The Markets: US Stock Futures Surge; All Eyes On Fed Decision
A Peek Into The Markets: US Stock Futures Up Ahead Of Fed Meeting
Bracing For The Fed And The Trade War With Kirk Spano (Podcast) (Seeking Alpha)

A record-breaking 46.9 million Americans are expected to travel more than 50 miles from home this Independence Day holiday, according to American Automobile Association estimates.

Why Gas Prices Are Rising

AAA’s figures show that the vast majority — 39.7 million people — will take to the roads, despite higher prices at the pump.

Motorists will shell out an estimated average of $2.90 per gallon, the highest Independence Day level since 2014, according to GasBuddy. Gas prices averaged $3.66 per gallon in 2014, and dropped each year through 2017.

Gas prices had dropped for five straight weeks before reversing Wednesday as oil surged to $73 per barrel. They are expected to continue climbing ahead of July 4.

jul4.png

The U.S. State Department’s order that buyers curb their purchases from Iran by November, as well as OPEC’s recent meeting — during which the organization announced a smaller-than-expected production cap increase — are affecting oil prices.

These events, combined with a government report showing U.S. inventories dropped more than expected as total exports hit new highs, have fueled speculation that global inventories will continue to drop.

American motorists are projected to pay over $1 billion more than last year over the first four days of July.

Finding A Deal

For travelers who fear overpaying for gas, GasBuddy’s head of petroleum analysis Patrick DeHaan recommends checking prices before crossing state lines.

“In some extreme cases, we’ve seen consumers spend an extra $25 on a single tank when refueling on the wrong side of the line,” said DeHaan.

Related Links:

What The Oil Market Can Tell Us About Some Of The Top Energy Stocks

Caution Remains On Wall Street Even As Concern Eases On Foreign Investment

Posted-In: AAA Fourth of JulyCommodities Travel Top Stories Markets Personal Finance General Best of Benzinga

 

Related Articles (USO)

View Comments and Join the Discussion!

Fireworks And Insurance: What To Know Before The 4th Of July

Chipotle's Stock Surge Is Thanks To Its New CEO