CINCINNATI — Uncertainty over Russia’s intentions toward Ukraine is contributing to higher crude oil prices, which are closing in on $90 per barrel, the highest they have been since 2014.
And, given that the price of oil is the single greatest influence on pump prices, U.S. motorists are paying the price. The average price for a gallon of regular gasoline rose three cents this week to $3.36 and, there is concern the price of oil, and therefore gas, could continue to climb even higher.
“What happens overseas does not stay overseas, not when it comes to the global oil market and its impact here in the states,” says Kara Hitchens, AAA spokesperson. “Tensions between Russia and Ukraine have been pushing crude oil prices higher almost daily and resolution does not appear to be at hand.”
Russia is a member of OPEC+, and any sanctions based on their actions toward Ukraine may cause it to withhold crude oil from the global market.
According to new data from the Energy Information Administration (EIA), total domestic gasoline stocks grew by 1.3 million bbl to 247.9 million bbl last week.
On the other hand, gasoline demand rose slightly from 8.22 million b/d to 8.51 million b/d. The increase still puts gas demand in a typical range for the winter driving season, which pre-COVID was 8.8 million b/d in mid-January 2020. Continued growth in crude oil prices has helped maintain elevated pump prices.
If oil prices continue to climb toward $90 a barrel, pump prices will likely follow suit.
Today’s national average of $3.36 is eight cents more than a month ago and 94 cents more than a year ago.
In Ohio, the average price of gas is $3.12, nine cents higher than a week ago, up 13 cents higher than a month ago and 77 cents higher than last year on this date.
Motorists can find current gas prices along their route with the free AAA Mobile app for iPhone, iPad, and Android. The app can also map a route, find discounts, book a hotel, and access AAA roadside assistance. Learn more at AAA.com/mobile.
