Drivers will probably pay record-high gas prices during the upcoming Thanksgiving holiday week.
The current national retail average price for a gallon of self-serve regular gasoline is $3.40. Today’s price 51 cents more expensive than one year ago.
Despite a lagging US economy and Europe on the verge of collapsing, oil prices surged past $100 a barrel yesterday. Experts are predicting this may drive gas prices higher in coming months. The last time crude oil settled at more than $100 per barrel was June 9.
Since the beginning of October crude oil prices have risen from $75.67 to $102 per barrel — an increase of more than 30 percent.
However, since early October gasoline demand has remained sluggish due to high prices and a weak economy. Current gas prices at $3.40 are three cents cheaper than one week ago and six cents cheaper than one month ago, but is still 51 cents higher than one year ago.
For now, there are a few reasons to explain why oil has jumped so high, so fast. One is promising. The U.S. economy continued to show signs of strength, meaning that the thirst for fuel may grow.
The other factor is troublesome, as concerns rise about potential disruptions to critical — and tightening — world oil supplies, including unrest in the key oil-producing areas of the Middle East and Africa.
Crude oil prices also increased on tightening U.S. inventories, hopes that euro zone leaders were moving to contain that region’s debt crisis, and weakness in the U.S. dollar. The most recent Department of Energy report showed domestic crude stocks 1.6 million barrels lower than the week prior, putting upward pressure on prices.
Americans are poised to pay a record $489.7 billion on gasoline this year by the calculation of Tom Kloza, chief oil analyst for the Oil Price Information Service. That’s more than $100 billion above what they paid in 2010.
If you or your business has been affected by this year’s high gas prices, you may want to consider investing in a GPS fleet tracking system. GPS vehicle tracking has proven to reduce fuel costs. The Aberdeen Group recently concluded that GPS vehicle tracking systems have helped companies reduce fuel costs by 13.2% on average.
Fleet GPS is a feature-rich navigation system that is uniquely positioned to help improve the efficiency of our cars in ways that reduce fuel consumption and improve sustainability for all. A GPS fleet tracking system can help you save time, money and and reduce fuel costs.