Will We See $5 Gasoline This Year?
Gasoline prices rose to a near four-month high in the U.S. Tuesday, fueled by a number of refinery closures.
The Automobile Association of America reported that national retail prices for regular gasoline are up 13 percent to an average $3.748 a gallon from a month ago, up from $3.604 a week ago and up 5 percent from the same period a year ago.
About one million barrels per day of refining capacity has been taken off line on the East Coast and St. Croix, as the industry responds to low margins and shrinking demand. In January, Hess announced plans to close its Port Reading, N.J., refinery, while refinery shutdowns and planned repairs have cut into gasoline supplies in many parts of the country.
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Inventories have also been constrained by refinery closures and mechanical problems that occurred in the wake of super storm Sandy.
That said, we want to hear from you — do you think we will see $5 gas this year?
Vote now in our "Futures Now" poll!